MUMBAI: Mahindra & Mahindra is looking to strengthen its global presence even as its sales have been shrinking in the local market, and industry experts say alliances with global auto majors could play a key role.The Mumbai-based company is working out a joint entry strategy in key markets with Korean unit Ssangyong Motor and exploring alliance opportunities with Swedish carmaker Saab and Peugeot Citroen of France, people in the know said.M&M is considering riding piggyback on Ssangyong in Russia, which is the Korean unit’s largest export market. In China, where Ssangyong just made its entry, M&M will make its presence felt after Ssangyong has settled in completely. In Chile, M&M and Ssangyong have independent strategies and don’t intend to disturb that, said Executive Director Pawan Goenka.While both brands have been successful in Africa, M&M is on a watch mode for the European markets. "Several years back, before we took over Ssangyong, the brand (Ssangyong) was strong in Europe. Then it lost some of its strength during the financial difficulties of the company. Now it is on a recovery path," said Goenka. And in another tough market, the US, Ssangyong has evinced interest and M&M still needs to firm up its plans.M&M and Ssangyong are two independent brands and "we will cautiously address" both of them independently while taking advantage of possible synergies, said Goenka. The two companies are working on a coordinated global branding strategy, which will be put into action in four-six months.An all-new product from Ssangyong, the X100 the compact SUV, will hit the market in January 2015. This will be the first platform to be launched by Ssangyong after it was acquired by M&M three years ago."There is an element of fatigue in the development work, however it could be a temporary blip," said Mahantesh Sabarad, deputy head research of SBICap Securities.The company is trying to address that and the fill a gap in its product portfolio that is affecting sales. "There is a shift in consumer demand to compact SUVs, so our volumes are suffering a bit right now," said Goenka. It will launch three new platforms (two in the passenger segment and one in the commercial segment) in 2015. One of the engines will be a part of the family of engines jointly developed with Ssangyong.While the two companies have yet to make any joint launch, for Goenka three years "is too short a time to jointly develop any product." Ssangyong was a small acquisition, according to Sabarad of SBICap Securities."With smaller risk, come smaller rewards. Now, M&M needs to go for a bigger risk and bigger reward." The market is abuzz with rumours of Mahindra looking at workable synergies with Saab and PSA Peugeot in brand and technology space."PSA are undoubtable technology leaders when it comes to diesel hybrids and are the inventors of the very promising hybrid air compressed technology. They have also developed two brilliant platforms for their future range of cars. So if Mahindra is able to acquire or participate in any of these powertrain technologies or platforms, they will be able to leapfrog into the future generation," said Gautam Sen, an automobile analyst based out of France.M&M is always interested and looking at M&A opportunities in the automotive space, said Goenka. "While we meet CEOs of international auto companies, it does not mean that it is always to discuss a deal or will lead to an alliance or acquisition. Sometime it is just to discuss the state of the industry and to compare notes."Responding to an email seeking comment, Jonathan Goodman, executive vice present of corporate communications at PSA Peugeot, said the company is "entirely focused" on its turnaround and "we have no comment to make on any rumours".Incidentally, a diesel engine made under licence from Peugeot, called XDP4.90, was the mainstay of Mahindra for a long while during the 1980s and 1990s. So it wouldn't be the first time that Mahindra has turned to the French carmaker for technology. That technology agreement expired a long back and "we have moved on with our own engines and transmissions", said Goenka.Recent international reports indicate that one of Saab’s potential saviours could be Mahindra.National Electric Vehicle Sweden, a Chinese-run company seeking to revive Saab, recently lost the right to use the brand's name as it negotiates with potential investors on a revival plan.The Indian company was keen on acquiring Saab in 2012, only to be beaten by the current owner. Saab didn’t respond to an email seeking comment."Saab was a highly respected brand in both Europe and the US, and had a small, but strong following," said Sen. "So, picking up Saab and using the brand could be a good way for Mahindra to make some headway into these markets. Even Ssangyong has had problems getting anywhere in Europe as many consumers believe that it is a Chinese brand. So re-branding (and redesigning) Ssangyong and Mahindra products into Saabs may work, if quality and design can come up to the expectations of the typically discerning Saab enthusiast," he said. "Having said that, relaunching a brand as specific as Saab would not be that easy either."Goenka said despite the fall in sales for the past eight-nine months, M&M will continue to stay the course on product development and other investments."While there are many speculations that come about on Mahindra’s acquisition interests, we are careful in finding the right opportunities. We take our time so as it brings value in the long run."