A good move from the company point of view but what will happen to its A.S.S!! When coupled with Mahindra they had no problem , but now they have to establish everything again independently. And as Zinam mentioned prices may increase still further which will affect its prospect in India!
The number of cities that Renault will open its own dealerships is still under review as Mahindra dealers have also indicated their willingness to open separate dealerships. Mahindra-Renault have 100 dealerships, which sell the Logan. If Renault were to go independent, the dealerships would continue to sell Logan.
Renault will definitely have these factors in mind for sure and they will never make such a mistake especially when they have to compete with FIAT & VW. If they add new models to their product line with competitive price tags with a good A.S.S network, they will establish well. Setting up the Sales & Support network will not be that difficult for them. They can even think about giving this to Bajaj.
Its a truth that none of the M&M dealers are taking pain to sell Renault cars. Try stepping into a showroom and you will know that if the enquirey is about Renault they are least bothered. Renault should get out of this, and establish their own. I think, this move will give more alternatives for Indian buyers.
well it is good that Renault has finally decided to quit the tie up with mahindra.
as someone said above that mahindra was itself not interested to sell renault cars otherwise both carmakers could have made high profits if both the wheels were on track! so after tie up is finished, logan will be still sold at Mahindra dealers? can anyone explain post.19?
The Indian unit of French carmaker Renault said on Tuesday its four-year-old joint venture with Indian utility vehicle maker Mahindra & Mahindra to make the no-frills Logan sedan would be restructured.
"We are exploring all options. A final decision on this will be taken in 30 to 45 days," Chief Operating Office Sudhir Rao, Renault India, told reporters.