Mahindra to pit Peugeot two-wheelers against Vespa

In 2015, Mahindra acquired a majority stake in Peugeot Motorcycles (PMTC). The company also revealed that it was looking at the possibility of introducing some of the French company's products in India.

Mahindra is reported to be planning to position Peugeot scooters against Vespa in India, like in the European markets. For India, Piaggio has cut the prices of Vespa scooters to less than half of what they are in Europe and Mahindra will have to do the same in order to attract buyers.

At present, Mahindra is in the process of synergising operations between Mahindra Two Wheelers (MTWL) and Peugeot Motorcycles (PMTC). The two companies could opt for joint sourcing to optimise operations.

Mahindra's foray into the two-wheeler market has not been very successful. With the introduction of Peugeot scooters, it will look to improve its position.

Source: ET Auto