Mahindra and Mahindra is planning to invest nearly USD 60 million for promoting its brand in the world’s largest automotive market, the United States. Mahindra primarily plans to make its foray in the US market with its diesel models of its sports-utility vehicles. Although it may launch hybrids in future, it will presently mark its presence with pick ups, four door and two door models. Mahindra and Mahindra has appointed the ad agency StrawberryFog for its global brand building and advertising campaigns. Mahindra entered the US market in 1994 as Mahindra USA. It is currently the world’s third largest tractor maker selling nearly 85,000 units annually in 10 countries. Mahindra is also India’s largest tractor maker. The company will be the first Indian company to enter the US market in the passenger vehicle segment. It plans to lure the American customers with its fuel efficient models - they are already looking for alternative options to gas-guzzling vehicles like Hummer presently available in their country. "We were a little lucky because the products we make do not quite compete with the Americans," says Keshub Mahindra. He points out that the American range of tractors are mostly over 75 HP, while Mahindra went in with 40 HP tractors, where there was less intense competition.
