Logan: Good product but Bad luck

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Logan is a sedan segment car from Mahindra Renault (JV) company. In 2007 Logan has launched in Indian market. Renault is a French based car makers entered into India with the help of Mahindra & Mahindra. M&M is providing sales and distribution channel to Renault as far as agreement is concern. Unfortunately, Logan is messing up in market due to bad marketing strategy with excellent product.This is the case of Good product struggling in market with bad strategy.

Fault in strategy- The very first one is they entered into Indian market with M&M and according to joint venture M&M will support them for sales and distribution. Second one is at the same time Renault announced that they will do JV with Bajaj for small car segments. Now being a management student I can say and its very obvious that If you are operating in same segment with two different player you cannot success because it can create dispute between two company. By the way same thing happening with these company. It is clear that one side M&M is selling own brand car and other side they need to push Logan to customer also. so, It is also a great fault done by company.Ultimately problem is not having own distribution channel. so, there is lack of mutual understanding and trust. According to me first Renault should have built his own distribution channel before entering into market.
Issue-As far as marketers and various magazines are concern they are displaying fact that Logan is a good product on each parameter but is suffering in market due to bad strategy. Actually Logan has launched in 2007 since then company has able to sell only 44,000 units and drastic sales down in last year. In sedan segment car price of this car is totally affordable between 5 to 7 lac price.
Recent Announcement- After having Joint venture between M&M and Renault since past three years now it has been broken. From now onwards M&M will manufacture this car under own unit and they can change name if they want. According to sources this is a five year of manufacturing agreement for manufacturing the car. As far as my understanding is concern if M&M will change then they may again face problem because now Logan is moving towards building the brand. Right now in market Logan have some sort of value and respect. whatever has been sold till now are running well. According to me may be M&M wants to add it to in his portfolio so, they can form new strategy and relaunch the product in market but I am sure if M&M will take this thing according to his philosophy they will win.
lets see what will happen............

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