Michelin in the Land of the Maharajahs (A): Note on the Tire Industry in India
(8 pages of text)
As opposed to other emerging countries, the tire market in India was almost exclusively dominated by local players: 90 per cent of all tires on the Indian market were made and sold by local Indian companies. It is important to note that the big names of the world tire industry - Michelin, Bridgestone, Goodyear and Continental - were hardly visible in India. Michelin was absent from the Indian tire market and it is very surprising that the world leader of the tire industry had neither a production facility nor a distribution network in India. Why such an absence? Why did Michelin have so little presence in Asian emerging countries and especially in India? This case presents the main features of the tire industry in India. The case allows students to carry out a comprehensive strategic evaluation of the industry's attractiveness as well as an in-depth analysis of the structure of competition. Students will also conduct performance analysis for each company.
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