Maruti Udyog Ltd will continue with its basic Standard 800cc model and Zen VX model even after the introduction of its new models which are expected to hit the markets by the turn of this century.
Speaking to Business Standard, RSSLN Bhaskarudu, managing director MUL, said: "The Standard 800cc model and the Zen VX are the winning horses in MUL's stable. They will remain even if we introduce new models in the market, why should we want to replace them since they are the market leaders in their segments."
Thus, Bhaskarudu has put all speculations to rest regarding the replacement of the Standard 800cc model with a new model from Suzuki's stable. Instead, the new models would be introduced in new segments which will enable MUL to offer a range of cars covering the small segment, compact and luxury segment.
Explaining the rationale behind keeping the Standard 800cc model in its range of cars, Bhaskarudu said: "The on-road price of the Standard 800cc in Delhi is Rs 2.09 lakh. We are convinced that no other car manufacturer can afford to compete with us at that price level. We are offering a common man's car in its true meaning. The Standard 800cc model is well accepted in the Indian markets and we are selling about 1,80,000 cars annually which is high by any standard."
MUL will also continue with its Zen VX model, though all these models will undergo upgradation from time to time. The Zen VX presently commands a price of Rs 3.45 lakh while the Omni 800cc (5-seater) is priced at Rs 1.98 lakh in Delhi.
Reiterating that MUL would be actively promoting the sale of its Standard 800 cc model and Zen VX model, he said: "We are increasing the capacity our plant by another 1,00,000 vehicles per annum. The second plant would be commissioned in February next year and by 1999-2000, we would add 50,000 cars to our existing volume and another 50,000 cars in the year thereafter. The additional capacity would be utilised to produce only 800cc and Zen models."
