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1. The Indian Automobile Industry Today………………………………..
2. TATA Motor ltd Overview……………………………………………..
3. Various Products of TATA Motors……………………………………..
4. Other TATA Services……………………………………………………
5. Share Holding Pattern of TATA Motors………………………………...
6. Snapshot Analysis of Company : SWOT………………………………..
7. Recent Business Decisions………………………………………………
8. Marketing Strategies……………………………………………………..
9. Human Resource Strategies……………………………………………...
10. Operation Strategies……………………………………………………..
11. Indian Automotive Players(Financial strategies)………………………..
12. Conclusion………………………………………………………………
13. Bibliography…………………………………………………………….
Executive Summary
This Project report tries to take a look on various aspects on Marketing and study of
Marketing strategies adopted by Tata Motors Limited. We settled for Tata Motors Limited
because it Established under the parent company, Tata Group, in 1945, Tata Motors Limited has
become India’s largest automobile company. It was the first Indian automobile company to list
on the New York Stock Exchange.
Tata Motors began manufacturing commercial vehicles in 1954 and entered the passenger
vehicles market segment in 1991.
In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a reputed Spanish bus and
coach manufacturer. In May 2009, Tata Motors introduced ushered in a new era in the Indian
automobile industry, in keeping with its pioneering tradition, by unveiling its new range of world
standard trucks. In their power, speed, carrying capacity, operating economy and trims, they will
introduce new benchmarks in India and match the best in the world in performance at a lower
life-cycle cost. Tata Motors now ranks second in India’s passenger vehicle market. Hence a
detailed study at the marketing strategies adopted by Tata Motors gives us an excellent learning
opportunity.
Objectives
Some of the Objectives which focused upon in this report are:
To study the Marketing Strategies of Tata Motors.
To Focus on Marketing Mix Of Tata Motors.
Milestones achieved by Tata Motors.
COMPANY OVERVIEW
Founder: J. R. D. Tata
Chairman: Ratan Tata
The Tata Motors group is a passenger and commercial vehicle manufacturer based in
India. The motor group was established in 1945 as part of the larger Tata Group. They have
long been known for their commercial vehicles and in the past ten years entered into the
passenger car market. Currently, Tata Motors has a line of five passenger vehicles and a large
line of commercial vehicles producing pickups, trucks, tractor trailers, tippers, and buses. Both
product lines of the Tata Motors group have seen success, but much of this has been built upon
the more deeply established commercial vehicle product line.
Tata Motors commercial line has been established for several years in many market
segments such as Europe, Africa, The Middle East, Australia, Southeast Asia, and South Asia.
Tata Motors has expanded their business and market share around the world through a series of
acquisitions. In 2004, they acquired Daewoo commercial vehicle Company in South Korea
which was South Korea’s second largest truck manufacturer. This acquisition gave Tata Motors a
significant presence in the Korean market. They have also entered into joint ventures with
companies such as Thonburi Automotive in 2006, which allowed them to manufacture and
market pickup trucks in Thailand. “We think it makes sense for Tata to expand through
acquisition (as it did in tea and steel) than spend a decade to build the business” (Lehman
Brothers). The commercial vehicle area of the business has certainly been how Tata Motors
have built their reputation, with commercial vehicles accounting for 80-85% of company profits.
They are beginning to employ a similar technique as they now expand into the passenger car
business.
Tata Motors have been making global headlines in the auto industry lately; the largest
news being their acquisition of Jaguar and Land Rover from Ford. “Tata paid 2.3 billion dollars
to Ford for the two brands that cost Ford 5.3 billion” (Carty, USA Today). This is a major step
for the company because it catapults them into the luxury car business which they are not known
for at this time. Tata, like many new businesses it acquires, is allowing this new segment of the
business to be run by previous management since they have more experience in the luxury
automotive business. “Tata will give us some space. They want us to run our business, be a
premium British car company” (Mike O’Driscoll, managing director of Jaguar). This is yet
another large acquisition for the Tata Motors group and could create great success for the
company in the near future.
Furthermore, Tata Motors made another large announcement regarding their progress in
the passenger vehicle segment. In January they announced that they, “would release a $2,500 car
that could replace the motor scooters commonly used in developing countries to cart around
whole families” (Carty, USA Today). This is a major breakthrough in the automotive industry
and shows how far reaching, diverse, and competitive the Tata Motors group is becoming. Soon
they will be serving customers in the high-class luxury market while still catering to their older
niches in developing countries.
MILESTONES
It has been a long and accelerated journey for Tata Motors, India's leading automobile
manufacturer. Some significant milestones in the company's journey towards excellence and
leadership.
1945- Tata Engineering and Locomotive Co Ltd (TELCO) is set up as a locomotive maker at the
end of World War II
1954- Company shift to making trucks in a joint venture with Germany’s Daimler-Benz
1961- Exports begin with the first truck begins being shipped to Ceylon (present-day Sri Lanka)
1977- First commercial vehicle manufactured in Pune
1983- Manufacture of heavy commercial vehicles commences
1986- Production of first light commercial vehicle
1991- Launch of the first passenger car, the Tata Sierra. One millionth vehicle rolled out.
1994- Enters joint venture to make Mercedes Benz cars in India
1999-Beings production of India’s first fully indigenous passenger car, the Indica
2002-Ends joint venture with Daimler
2002-TELCO is renamed Tata Motors Ltd.
2003-Tata Motors Ltd. Announces plan to build world’s cheapest car for 100,000 rupees (1,250
pounds or 2,500 dollars)
2004- Acquires South Korea’s Daewoo Commercial Vehicle Company and is listed on the New
York Stock Exchange
2005- Buys 21 percent stake in Spanish bus maker Hispano Carrocera SA, launches mini-truck,
the Ace
2006- Signs initial agreement with Fiat
2008- Unveils one-lakh (100,000 rupee) “People’s Car” also know as the Nano. Acquires Jaguar
and Land Rover.
2009- Tata Motors Ltd. launches Nano. Introduction of new world standard truck range.
MARKETING MIX
Marketing is the process by which a product or service originates and is then priced, promoted,
and distributed to consumers. The principal marketing functions involve market research and
product development, design, and testing. It is the business activity of presenting products or
services in such a way as to make them desirable.
One has to consider promotion that is balanced with a suitable product available at a reasonable
price, provided at all places to maximize the sale of one’s product.
MARKETING MIX
PRODUCT PRICE PROMOTION PLACE
Brand Pricing Strategy Personal Selling Channels of Distributions
Packaging Pricing & Quality Advertising Physical Distribution
Innovations Price & Alterations Public Relations
Quality Discounts
1. PRODUCT (Brand, Packaging, Innovations, Quality) :
a. Brand : Advertising is often used to make consumers aware of a product’s special low
price or its benefits. But an even more important function of advertising is to create
an image that consumers associate with a product, known as the brand image. The
brand image goes far beyond the functional characteristics of the product. The
products of Tata Motors have many special characteristics to them, but when
consumers think of it, they not only think of its features, but they may also associate it
with quality, performance, and class. All of these meanings have been added to the
product by advertising. Consumers frequently buy the product not only for its
functional characteristics but also because they want to be identified with the image
associated with the brand.
Tata Motors have been successful in creating and maintaining a professional
brand image.
b. Packaging : A vehicle cannot have a material packaging. Here, packaging refers to
and effective assembly of features. Tata Motors provide many innovative features to
suit the target customers and the product. E.g. Tata Safari Dicor has ‘Reverse Guide
System’ which includes a weather-proof camera to help the driver while reversing the
vehicle.
c. Innovations : The various motives behind buying an automobile are Need, Prestige,
Comfort, Fashion, Jealousy and Novelty. The R & D Department continuously strives
to bring new innovations in their product. Tata have an industrial experience of over
100 years and they are well known with the Psychology of Indian customers, who
desire more at less price. This experience has helped them to develop products which
fulfill the expectations of Indian consumers.
d. Quality Control : Tata Motors have their Quality Control standards and the QC Dept.
ensures that the customer does not face any inconveniences of a defective product.
Products of Tata Motors:
1. Passenger cars – Indica, Indigo, Indigo Marina, Nano
2. Utility Vehicles – Safari Dicor, Sumo Grandi, Xenon Xt
3. Trucks – SFC 407, SFC 410, SFC 709, SFC 909, LPT 407,
LPT 709, LPT 809, LPT 909.
4. Buses – SFC 407 Bus, LD 407, LP 407 TT, LP 709, LP 909,
LP 613, LP 713, LPO 918, LPO 1109 TC, LPO 1618
2. PRICE (Pricing Strategy, Alterations, Discounts)
a. Pricing Strategy : The prices are fixed keeping in mind a number of factors.
Prices have to be at par with the prices of the competitors. Tata Motors give a
relative price advantage as compares to its competitors. The various determinants
of price are
i. Market Condition
ii. Costs incurred
iii. Profit percentage desired by the Co.
iv. Dealer Profit
b. Alterations : The Company does not allow any alterations to any of the features of
the product. If there is an alteration which affects the performance of the engine,
then the warranty becomes void. However, there may be alterations in the
accessories, if desired by the customer.
c. Discounts : Discounts are decided by the Co. every month. Any further discounts
made from the profits of the dealer. However, the Co. may compensate the dealer
for the discounts allowed to a certain extent.
3. PROMOTION (Personal Selling, Advertising, Sales Promotion, Public Relations)
a. Personal Selling : There is minimal personal selling involved. The Sales Officers
at the dealerships collect prospective customer databases and perform cold calling
to attract customers.
b. Advertising : Advertising is a form of commercial mass communication designed
to promote the sale of a product or service. Tata Motors is responsible for the
advertising of its products. The dealer does play any role in the advertising. The
various media used for advertising are T.V., Newspapers, Magazines, Hoardings,
Internet etc. The dealer conducts point-of-purchase displays to advertise the
products. The advertisements done by the Co. help the dealer to capitalize on the
market.
c. Sales Promotion : The purpose of sales promotion is to supplement and coordinate
advertising and personal selling; Sales promotions are designed to persuade
consumers to purchase immediately by providing special incentives such as cash
rebates, prizes, extra product, or gifts. The Co. conducts intensive sales promotion
during festivals such as festive discounts during Diwali.
d. Public Relations : Public Relations is a management function that creates,
develops, and carries out policies and programs to influence public opinion or
public reaction about an idea, a product, or an organization. The Co. takes serious
measures to maintain good public relations. The Co. follows business ethics to
ensure that the customer is satisfied and receives good service whenever and
wherever he desires.
Advertisement given by Tata Motors:
4. PLACE (Channels of Distribution, Physical Distribution)
a. Channels of Distribution : In case of vehicles, dealership method of distribution
and sales is generally adopted. Tata Motors have also adopted dealership method
of distribution of its products. The dealers purchase products from the Co. at a
negotiated price. The MRP is fixed by the Co. and the dealer gets a profit within
these prices. As the Co. deals in commercial and passenger vehicles, there may be
a single or distinct dealerships to market its commercial and passenger vehicles in
a town. However, if there is a single dealership appointed, then the commercial
and passenger vehicles are managed under Commercial Vehicles Dept. and
Passenger Vehicles Dept. respectively.
Tata Motors have contracts with the Government of India and it supplies
buses and passenger vehicles, in some cases, to the Govt. Sometimes, bulk
quantities of vehicles are ordered by a Govt. Dept. or a private company. The
sales, distribution and billing of these are looked after by the Co. itself.
b. Physical Distribution : The commercial vehicles are manufactured at Jamshedpur,
Lucknow and pantagar whereas the passenger vehicles are manufactured at Pune
plant. From the plant, the finished product is transported to the dealerships. The
nation-wide dealership, sales, services and spare parts network comprises over
2,000 touch points. The dealerships are strategically located in the target and
potential markets to ensure efficient and timely availability of its products in the
market.
ANALYSIS OF THE MARKETING STRETEGIES
PEST ANALYSIS
POLITICAL:
Since Tata Motors operates in multiple countries across Europe, Africa, Asia, the Middle
East, and Australia, it needs to pay close attention to the political climate but also laws and
regulations in all the countries it operates in while also paying attention to regional governing
bodies. Laws governing commerce, trade, growth, and investment are dependent on the local
government as well as how successful local markets and economies will be due to regional,
national and local influence.
On March 26, 2008, Tata Motors reached an agreement with Ford to purchase Jaguar and
Land Rover. In order to be capable of this acquisition, Tata Motors must have a full
comprehension of the governing bodies and laws regulating commerce in the home country, the
United Kingdom, but also in countries Jaguar and Land Rover operate in.
In accordance, Tata’s headquarters in Mumbai, India, strictly controls and regulates
operations in all dealerships and subsidiaries, in addition to knowing and abiding by all labor
laws in the multiple countries where they have manufacturing plants it has to watch political
change. This will be especially vital in the future as Tata Motors continues to expand and grow
into new markets. “While currently about 18% of its revenues are from international business,
the company's objective is to expand its international business, both through organic and
inorganic growth routes”. The foundation of the company’s growth internationally is a deep
understand of economic stimulation, customer needs, and individual government regulations and
laws. Although it is the headquarters ultimate responsibility to make sure each individual office
and branch is operating and abiding by the local laws, it will become increasingly more
important for that duty to be taken care of at the regional or even local level.
ECONOMIC:
Operating in numerous countries across the world, Tata Motors functions with a global
economic perspective while focusing on each individual market. Because Tata is in a rapid
growth period, expanding or forming a joint venture in over five countries world-wide since
2004, a global approach enables Tata Motors to adapt and learn from the many different regions
within the whole automotive industry. They have experience and resources from five continents
across the globe, thus when any variable changes in the market they can gather information and
resources from all over the world to address any issues. For instance, if the price of the
aluminum required to make engine blocks goes up in Kenya, Tata has the option to get the
aluminum from other suppliers in Europe or Asia who they would normally get from for
production in Ukraine or Russia.
Tata Motors also has to pay close attention to shifts in currency rates throughout the
world. Currency fluctuations can equate to higher or lower demands for Tata vehicles which in
turn affect profitability. It can also mean a rise in costs or a drop in returns. But they also have to
pay attention to not just the domestic currency, the rupee, but also to the dollar, euro, bhat, won,
and pound, to just name a few. Just because the rupee is strong against the dollar does not mean
it is strong against all the other currencies. Attention to currency is important because it
influences where capital investment will develop and prosper.
SOCIAL:
Undoubtedly, the beliefs, opinions, and general attitude of all the stakeholders in a
company will affect how well a company performs. This includes every stakeholder from the
CEO and President, down to the line workers who screw the door panel into place, from the
investor to the customer, the culture and attitude of all these people will ultimately determine the
future of a company and whether they will be profitable or not. For this reason, Tata Motors
tends to use an integration and rarely separation technique with foreign companies they acquire.
On the other hand, some economic issues that Tata Motors face must also be looked at
from a more localized perspective. For instance, the market in India for cars is much different
than the market for cars in Italy. For one, India has over one billion more people than Italy does,
thus the market is much larger or not as limited. Second, you must also take into affect the
demographics and the average income of each market. Italians have a higher average income per
capita than Indians and Italian citizens tend to drive larger and fancier cars. For this reason, the
Tata Nano might not do so well in the Italian market. In summation, Tata Motors views the
economy from a global perspective with operations across the entire globe; however, they must
also maintain a local market understanding and knowledge when it comes to product positioning
and placement throughout the different markets Tata conducts business in.
In 2004, Tata Motors acquired Daewoo Commercial Vehicles Company, which was at
the time Korea’s second largest truck maker. Rather than using de-culturation or assimilating
Daewoo, Tata took an integrated approach, and continued building and marketing Daewoo’s
current models as well as introducing a few new models globally just as it had been done under
Korean management.
With the new acquisition of Jaguar and Land Rover, Tata will have to be careful with
how they handle the acquisition. While Land Rover is thriving while under the helm of Ford,
Jaguar was more of the trouble child. “Jaguar cost Ford some $10 billion during its 18-year
stewardship and its sales were in headlong decline, especially in America, its most important
market. Industry analysts also struggled to see what value Tata could add that had eluded Ford,
and what synergies there could be between a maker of trucks and basic cars… and two luxury
marquees”. Separation could be a good approach for the immediate future to keep the name of
Jaguar and Land Rover distinguishable and associated with the luxury automobile market.
Overall, Tata does a good job of integrating some aspects of their large multi-national
conglomerate into new acquisitions; however, the company must also understand that separation
from the name Tata can be valuable in some social areas.
TECHNOLOGY:
Tata Motors and its parent company, the Tata Group, are ahead of the game in the
technology field. The Tata Group as a whole has over 20 publicly listed enterprises and operates
in more than 80 countries world-wide. This equates to Tata Motors having lots of experience and
resources to draw from for research and development purposes. “The foundation of the
company’s growth is a deep understanding of economic stimuli and customer needs, and the
ability to translate them into customer-desired offerings through leading edge R&D”. Employing
1,400 scientists and engineers, Tata Motors’ Research and Development team is ahead of the
pack in India’s market and right with the rest of the field internationally. Among Tata’s firsts are
“the first indigenously developed Light Commercial Vehicle, India's first Sports Utility Vehicle
and, in 1998, the Tata Indica, India's first fully indigenous passenger car,” as well as the
increasingly famous Tata Nano, which is projected to be the world’s cheapest production car. In
the automotive industry, it is becoming increasingly crucial for manufacturers to stay on top of
the technology curve with new problems always rising such as escalating gas prices and
pollution problems. Tata recognizes this and dedicates lots of resources and time into research
and development to be even with or preferably ahead of other competitors, global trends, and
changing economies. In all, an automobile manufacturer must change, adapt, and evolve to stay
competitive in the automotive game, and this is exactly what Tata is doing with their rapid
growth, and extensive research and development.
STP ANALYSIS
Segmentation:
Segmentation is based upon considerable evidence that a single marketing approach or
formula will not work for all members of the community to be served.
Geographic:
The region of Tata motors is whole India with special focus on Type A and fast growing
Type B cities across India.
Demographic:
Age → anybody of age between 18 to 50 years.
Income → anybody with an income of over 4 lakh p.a.
Occupation → millennial employed as professional, managers and those who want to buy
their first car.
Social Class → Middle Class, Upper Middle, Lower Upper and Upper Upper.
Psychographic:
Personality → Dreamers, those who want to achieve big, ambitious, price conscious,
took their first step towards success and value driven.
Behavioral:
Benefits → Quality, Style.
User Status → Potential users and first time users.
Readiness Stage → those who are aware, informed, interested and intend to bye.
Targeting:
Tata Motors has full market coverage in vehicle market as they covers market through
Differentiated Marketing. So Tata Motors typically creates more total sales. However it also
increases the cost of doing business. That’s why they lead to both higher sales and higher costs.
Full Market Coverage
After introducing Tata Nano and acquiring
Jaguar & Land Rover they have full market coverage from Common men to Luxuries loving
people.
So, Tata Motors attempt to serve all customer groups with all the products.
M1 M2 M3
P1
P2
P3
Positioning:
Tata Motors has many products for various sectors. Company has a product like Tata ACE
which is used as mini-truck. This product is mostly used at agriculture level. This product can
carry below 1 tone. So, in agriculture sector this mini-truck makes good image. Like that Tata
Motors introduced Tata Nano car for lower level people who cannot afford car but now they can
buy a car in Rs.1 lakh. It also makes a brand image on customer’s mind that Tata Motors is
companies where Customer gets that product what he want. After acquiring Jaguar & Land they
got drastic change in people’s mind. Now customer has more chooses then before.
When people think to purchase a car then they always think about different companies like
Tata Motors, Mahindra and Mahindra, Hyundai, Maruti etc. In this situation customer always
think about his likings, styles and Tata Motors can provide this as good as possible. Everybody
knows that Tata motors can give them good product by technical.
So, Tata Motors’s brand image instead of the people is trustworthy and reliable car
company.
The Indian Auto Industry Today
In 2009 estimated rate of growth of India auto industry is going to be 9 percent. Auto industry in
India has been hit hard by ongoing global financial recession. Sales figures of India automobile
industry for December 2008 have shown devastating after effects of global financial slowdown.
However, there is still hope for automobile industry of India in 2009 as there are certain factors
working in its favor. India is blessed with a middle class, which is getting economically stronger
with every passing day. This class is being touted as potential consumers for India auto industry
in years to come.
Indian economy has been, more or less, able to withstand tremors of global financial meltdown.
Even though its rate of growth has slowed down considerably, there are hopes of an economic
revival. Work force of auto industry of India is relatively well trained.
All these factors indicate that there could be a decent future for India auto industry in days
Hyundai, a major automobile establishment of South Korea, has put in large sums of money in
India automobile market. As per its estimates, India auto industry could become a major center
for small car manufacturing organizations in future.
There are some other automobile companies of world who have shown interest in India auto
market. Major names among these are General Motors, Skoda Auto and Mercedes-Benz. These
companies have major plans lined up for India auto industry and are likely to invest a huge
amount of money in India automobile market
India domestic auto industry has been passing through a tough phase in 2008 and such a trend is
supposed to continue in 2009 as well. Leading members of India auto industry have forecast a
difficult path in 2009. Shinzo Nakanishi, managing director of Maruti Suzuki, has said that 2009
would present them with a number of challenges.
Tata Motors Limited
Overview
Tata Motors Limited, formerly known as TELCO (TATA Engineering and Locomotive
Company), is a multinational corporation headquartered in Mumbai, India. It is India's largest
passenger automobile and commercial vehicle manufacturing company. Part of the Tata Group,
and one of the world's largest manufacturers of commercial vehicles. The OICA ranked it as the
world's 20th largest automaker, based on figures for 2006.
Tata Motors was established in 1945, when the company began manufacturing locomotives. The
company manufactured its first commercial vehicle in 1954 in a collaboration with Daimler-
Benz AG, which ended in 1969 Tata Motors was listed on the NYSE in 2004, and in 2005 it was
ranked among the top 10 corporations in India with an annual revenue exceeding INR 320
billion. In 2004, it bought Daewoo's truck manufacturing unit, now known as Tata Daewoo
Commercial Vehicle, in South Korea. It also, acquired a 21% stake in Hispano Carrocera SA,
giving it controlling rights in the company. Tata Motors launched the Tata Nano, noted for its Rs
100,000 price-tag, in January 2008.
In March 2008, it finalised a deal with Ford Motor Company to acquire their British Jaguar Land
Rover (JLR) business, which also includes the Rover, Daimler and Lanchester brand names.The
purchase was completed on 2 June 2008
Tata Motors has its manufacturing base in Jamshedpur, Pantnagar, Lucknow, Ahmedabad and
Pune.
1. History
Tata Motors launches its first truck in collaboration with Mercedes-Benz
Tata Motors is a part of the Tata and Sons Group, founded by Jamshedji Nussarwanji Tata and J.
Baker. The company was established in 1945 as a locomotive manufacturing unit and later
expanded its operations to commercial vehicle sector in 1954 after forming a joint venture with
Daimler-Benz AG of Germany.
2.Cars
Tata Indica
After years of dominating the commercial vehicle market in India, Tata Motors entered the
passenger vehicle market in 1992 by launching the Tata Sierra, a multi utility vehicle. After the
launch of three more vehicles, namely, Tata Estate (1992, a stationwagon design based on the
earlier 'TataMobile' [1989] a light commercial vehicle which some people may still think of as
Tata's first passenger car), Tata Sumo (LCV, 1994) and Tata Safari (1998, India's first sports
utility vehicle); In 1998 Tata launched the Indica, the first fully indigenous passenger car of
India. Though the car was initially panned by auto-analysts, the car's excellent fuel economy,
powerful engine and aggressive marketing strategy made it one of the best selling cars in the
history of the Indian automobile industry. A newer version of the car, named Indica V2, was a
major improvement over the previous version and quickly became a mass-favorite. A badge
engineered version of the car was sold in the United Kingdom as the Rover CityRover. Tata
Motors also successfully exported large quantities of the car to South Africa. The success of
Indica in many ways marked the rise of Tata Motors. Note: In 1996-97 Tata launched the Tata
Sumo Deluxe and the Tata Sierra Turbo variants respectively.
3.Daewoo acquisition
Main article: Tata Daewoo Commercial Vehicle
Tata Novus is one of the best selling commercial trucks in South Korea.
With the success of Tata Indica, Tata Motors aimed to increase its presence worldwide. In 2004,
it acquired the Daewoo Commercial Vehicle Company of South Korea. The reasons behind the
acquisition were:
Company’s global plans to reduce domestic exposure. The domestic commercial vehicle
market is highly cyclical in nature and prone to fluctuations in the domestic economy.
Tata Motors has a high domestic exposure of ~94% in the MHCV segment and ~84% in
the light commercial vehicle (LCV) segment. Since the domestic commercial vehicle
sales of the company are at the mercy of the structural economic factors, it is increasingly
looking at the international markets. The company plans to diversify into various markets
across the world in both MHCV as well as LCV segments.
To expand the product portfolio Tata Motors recently introduced the 25MT GVW Tata
Novus from Daewoo’s (South Korea) (TDCV) platform. Tata plans to leverage on the
strong presence of TDCV in the heavy-tonnage range and introduce products in India at
an appropriate time. This was mainly to cater to the international market and also to cater
to the domestic market where a major improvement in the Road infrastructure was done
through the National Highway Development Project
On its journey to make an international foot print, it continued its expansion through the
introduction of new products into the market range of buses (Starbus & Globus).
4. Joint ventures
Tata MarcoPolo NON-AC City Bus in Delhi.The NON-AC version is only used in Delhi while
AC versions are used in Bangalore, Mumbai and Delhi alike
In 2005, sensing the huge opportunity in the fully built bus segment, Tata Motors acquired 21%
stake in Hispano Carrocera SA , Aragonese bus manufacturing company and introduced its high-
end inter-city buses in the country.
Tata Motors has also formed a 51:49 joint venture with Marcopolo S.A., a Brazil-based global
leader, lead by Brian Behrle, in bus body building. This joint venture is to manufacture and
assemble fully-built buses and coaches targeted at developing mass rapid transportation systems.
The joint venture will absorb technology and expertise in chassis and aggregates from Tata
Motors, and Marcopolo will provide know-how in processes and systems for bodybuilding and
bus body design.
5. Tata Ace
Tata Ace was India's first mini truck
Main article: Tata Ace
Tata Ace, India's first indigenously developed sub-one ton mini-truck, was launched in May
2005. The mini-truck was a huge success in India with auto-analysts claiming that Ace had
changed the dynamics of the light commercial vehicle (LCV) market in the country by creating a
new market segment termed the small commercial vehicle (SCV) segment. Ace rapidly emerged
as the first choice for transporters and single truck owners for city and rural transport. By
October 2005, LCV sales of Tata Motors had grown by 36.6 percent to 28,537 units due to the
rising demand for Ace. The Ace was built with a load body produced by Autoline Industries.By
2005, Autoline was producing 300 load bodies per day for Tata Motors. Ace is still one of the
number maker for TML, TML sold the 2,00,000th Ace in August 2008, within 4 years since its
introduction.
Tata Ace has also been exported to several European, South American and African countries.
Electric-versions of Tata Ace are sold through Chrysler's Global Electric Motorcars division.
6. 2007
Tata Pick Up, unveiled in 2007, is expected to enter European and American market by 2009.
In 2007, Tata Motors generated revenues of Rs 31,884.69 crore.
In 2007, Tata Motors launched several concept models and future designs of existing models. It
also formed joint ventures with various local companies in several countries to assemble Tata
cars. Tata Motors launched a re-designed version of Tata Xenon TL during Motor Show Bologna
which would be assembled in Thailand and Argentina. A pick-up variant of Tata Sumo was also
launched under the program 'Global Pick-Up'. The company plans to launch the new pick-up
model in India, Southeast Asia, Europe, South Africa, Turkey and Saudi Arabia. Tata Motors
also unveiled newer model of Tata Indigo and Tata Elegante concept-car during the Geneva Auto
Show.
Tata Motors also formed a joint venture with Fiat and gained access to Fiat’s diesel engine
technology.Tata Motors is looking to extend its relationship with Fiat and Iveco to other
segments like the 'Global Pick-Up' program. The launch of the 'Global Pick-Up' will mark the
entry of the company into developed markets like Europe and the United States. The project was
initially a collaboration between Tata Motors and its subsidiary Tata Daewoo Commercial
Vehicles, but later Tata Motors decided to work with Iveco as Daewoo’s design was not in sync
with the needs of sophisticated European customers. The company has formed a joint venture
with Thailand’s Thonburi Company, an independent auto assembler, in which Tata Motors will
hold a 70% stake.
7.2008 onwards
8. Compressed air car
Motor Development International of Luxembourg has developed the world's first prototype of a
compressed air car, named OneCAT.In 2007, MDI owner Guy Negre was reported to have "the
backing of Tata"
It has airtanks that can be filled in 4 hours by plugging the car into a standard electrical plug. In
2008 MDI planned to also design a gas station compressor, which would fill the tanks in 3
minutes.There are no gasoline costs and no fossil fuel emissions from the vehicle when run in
town, but "the compressed air driving the pistons can be boosted by a fuel burner".
OneCAT is a five seat vehicle with a 200-litre (7.1 cu ft) trunk. With full tanks it will run at
100 km/h (62 mph) for 90 kilometres (56 mi) range in urban cycle. It is actually a dual fuel car
but it is more efficient than any present Hybrid cars.
9. Tata Nano
Tata Nano
Tata has developed a car, named Tata Nano, that aims to sell in 2008. It is the least expensive
production car in the world: the price is about Rs. 1,00,000 (USD $2,000)The company unveiled
the supermini car during the Auto Expo 2008 exhibition in Pragati Maidan, New Delhi. Bajaj
Auto and Mahindra-Renault have[when?] plans to launch cars in this price range.
Tata has faced controversy over developing the Nano. Some environmentalists are concerned
that the launch of such a low-price car could lead to mass motorization in India with adverse
effects on pollution and global warming. There was also strong opposition to the compulsory
acquisition of land for the proposed car factory in Singur West Bengal. NowTata Motors Limited
plan to set up the Nano factory in Sanand, Gujarat, because of the problems faced in West
Bengal.
To solve this, Tata is goingto produce the E-Nano, an electric version, in partnership with
Miljøbil Grenland AS
10. Jaguar Cars and Land Rover
Main articles: Jaguar Cars and Land Rover
As of 27 March 2008, Tata Motors reached agreement with Ford to purchase their Jaguar and
Land Rover operations for US$2 billion. The sale is expected to be completed by the end of the
second quarter of 2008Tata will also gain the rights to the Daimler, Lanchester, and Rover brand
names.
In addition to the brands, Tata Motors has also gained access to 2 design centers and 3 plants in
UK. The key acquisition would be of the intellectual property rights related to the technologies.
11.Electric vehicles
Tata Motors unveiled the electric versions of passenger car Tata Indica and commercial vehicle
Tata Ace. Both run on lithium batteries . The company has indicated that the electric Indica
would be launched locally in India in about 2010, without disclosing the price. The vehicle
would be launched in Norway in 2009.
Tata Motors' UK subsidiary, Tata Motors European Technical Centre, has bought a 50.3%
holding in electric vehicle technology firm Miljøbil Grenland/Innovasjon of Norway for
US$1.93 M, which specialises in the development of innovative solutions for electric vehicles,
and plans to launch the electric Indica hatchback in Europe next year.
12. Global operations
The purchase of Jaguar Cars is expected to help give Tata Motors a foothold in European and
American markets.
With the unveiling of Tata Elegante during Geneva Motor Show, Tata Motors revealed its
intention to enter the sedan and sports car markets.
Tata Indica during an auto exhibition in Bangkok, Thailand. Indica and Xenon TL will be
assembled in Thailand and Argentina.
Tata Prima was unveiled during the Geneva Motor Show in 2009. The Luxury Sedan was
designed by Pininfrina and has marked the entry of Tata into the international sedan market. The
car is to be sold in India by 2013 and around the world by 2015
Tata Motors has expanded its production and assembly operations to several other countries
including South Korea, Thailand, South Africa and Argentina and is planning to set up plants in
Turkey, Indonesia and Eastern Europe.
13.Global brands
Tata Motors has been aggressively acquiring foreign brands to increase its global presence. In
2004, Tata Motors bought Daewoo's truck manufacturing unit, now known as Tata Daewoo
Commercial Vehicle, in South Korea. In March 2005, it acquired a 21% stake in Hispano
Carrocera SA, giving it controlling rights in the company.
On 26 March 2008 Tata Motors agreed to purchase Jaguar Cars and Land Rover from Ford
Motor in a deal worth $2.3bn (£1.15bn)Tata Motors has also acquired from Ford the rights to
three other brand names: Daimler, Lanchester and Rover. it was rumoured in 2008 that Tata was
in negotiations along with Fiat, General Motors and Renault-Nissan as a possible suitor for the
rapidly declining Chrysler, which is currently owned by Cerberus Capital Management 14.
Present global challenge
Tata Motors have some distinct advantages in comparison to other multi-national competitors.
There is definite cost advantage as labor cost is 8-9 percent of sales as against 30-35 percent of
sales in developed economies. Tata motors have extensive backward and forward linkages and it
is strongly interwoven with machine tools and metals sectors. Tata Group's strong expertise in
the IT based engineering solution for products and process integration has helped Tata Motors.
India has a large auto component industry noted for its world class capabilities. There is huge
demand in domestic markets due to infrastructure developments and Tata Motors is able to
leverage its knowledge of Indian market. There are favorable Government polices and
regulations to boost the auto industry.
However, some major automakers have moved their operations to India to cut costs. Volvo
entered India in 1998 to focus on production of its fully built buses. In India, it has focused on
providing economical transport solutions in consonance with its values of safety, quality, and
environmental care. Its competitive advantage is its high technology which makes the vehicle a
very comfortable option to travel through. Tata's trucks have long been reputed for their
unmatched performance, build, and technological advancements that are the flag bearers in their
production activities in India. It is still operating in the niche market of high end buses where the
Tata compete through its Hispano Carrocera and Marcopolo S.A. JV buses.
The Government of India announced an automobile policy in December 1997. The policy
required majority-owned subsidiaries of foreign car firms to invest at least US$50 million in
equity if they wished to set up manufacturing projects in India. It also forced them to take on
export obligations to fund their auto part imports and required them to submit to a schedule for
increasing the share of locally made parts in their cars. Mere car assembling operations were not
welcomed.
An Indian cabinet panel will soon consider a new automobile policy that aims to set fresh
investment guidelines for foreign firms wishing to manufacture vehicles in the country.
Investments in making auto parts by a foreign vehicle maker will also be considered a part of the
minimum foreign investment made by it in an auto-making subsidiary in India. The move is
aimed at helping India emerge as a hub for global manufacturing and sourcing for auto parts. The
policy sets an export target of $1 billion by 2005 and US$2.7 billion by 2010. The policies
adopted by Government will increase competition in domestic market, motivate many foreign
commercial vehicle manufactures to set up shops in India, whom will make India as a production
hub and export to nearest market. Thus Tata Motors CV will have to face tough competition in
near future, which might affect its growth negatively.
15.Future challenges
Tata Xover
Plastic Car Production- Tata plans on producing a car that is made of nearly 100% plastic.
Mahindra and Mahindra: JV with ITEC, North American leader in heavy trucks. M&M
has formed a 51:49 JV called Mahindra International with ITEC, USA (parent Navistar
International), to manufacture commercial vehicles and to bolster its position in the CV
business. ITEC is the leader in medium and heavy trucks and buses in North America,
and is the world's largest manufacturer of medium-duty diesel engines. Mahindra
International aims to have a presence across the CV market (6-35 tonnes GVW) with
variants of passenger transport, cargo and specialised load applications and is likely to
start producing medium/heavy commercial vehicles from FY09.
Force Motors Ltd: JV with MAN for manufacturing high-tonnage vehicles Force Motors
has paired up with MAN in a 70:30 JV to manufacture high-tonnage and specialty
vehicles, such as long-haul trucks, tippers, tractor trailers and multi-axle vehicles in the
16-32 tonne range at its Pithampur plant, with an initial capacity of 24,000 units per
annum and at an investment of Rs7bn. The JV plans to sell nearly half of its production in
the domestic market, while the rest is to be exported to the Middle East, Turkey, Russia,
Asia and Africa. Further, the two companies have formed another JV to manufacture
buses in India from end-2007.
Ashok Leyland : Acquisition of Czech Republic-based Avia. Ashok Leyland (ALL)
recently acquired the truck unit of Czech Republic-based Avia for US$35m. Avia
manufactures 6-9 tonne LCVs and has a capacity of 20,000 units per annum. The
acquisition has given ALL direct access to an entire range of Avia trucks, Avia’s press
shop with dies and tools, welding lines, state-of-the-art paint shop and R&D facilities.
ALL has also entered into technology agreements with Hino Motors of Japan and ZF of
Germany to complement its in-house R&D efforts and developing complementary
components and aggregates.
Various Products of TATA Motors
[1] Passenger cars and utility vehicles
Tata Indigo SW
Tata Sierra
Tata Estate
Tata Sumo/Spacio
Tata Safari
Tata Indica
Tata Indigo
Tata Indigo Marina
Tata Winger
Tata Nano (3RD March 2009)
Tata Xenon XT
Tata Xover (2009)
[2] Concept vehicles
Tata Cliffrider
2000 Aria Roadster
2001 Aria Coupe
2002 Tata Indica
2002 Tata Indiva
2004 Tata Indigo Advent
2005 Tata Xover
2006 Tata Cliffrider
2007 Tata Elegante
2009 Tata Prima
[3] Commercial vehicles
Tata 1616 Starbus
Tata Marcopolo Buses in the Delhi BRT.
Tata StarBus in Nagpur, Maharashtra. Tata Low Floor Buses are also used by administrations in
Delhi, Mumbai, Pune, Udaipur and Indore
Tata Ace
Tata TL/Telcoline/207 DI Pickup Truck
Tata 407 Ex and Ex2
Tata 709 Ex
Tata 809 Ex and Ex2
Tata 909 Ex and Ex2
Tata 1109 (Intermediate truck)
Tata 1510/1512 (Medium bus)
Tata 1610/1616 (Heavy bus)
Tata 1613/1615 (Medium truck)
Tata 2515/2516 (Medium truck)
Tata Starbus (Medium Bus)
Tata Globus (Low Floor Bus)
Tata Marcopolo Bus (Low Floor Bus)
Tata 3015 (Heavy truck)
Tata 3118 (Heavy truck) (8X2)
Tata 3516 (Heavy truck)
Tata 4923 (Ultra-Heavy truck) (6X4)
Tata Novus (Heavy truck designed by Tata Daewoo)
[4] Military vehicles
Tata LSV (Light Specialist Vehicle)
Tata 2 Stretcher Ambulance
Tata 407 Troop Carrier, available in hard top, soft top, 4x4, and 4x2 versions
Tata LPTA 713 TC (4x4)
Tata LPT 709 E
Tata SD 1015 TC (4x4)
Tata LPTA 1615 TC (4x4)
Tata LPTA 1621 TC (6x6)
Tata LPTA 1615 T
Other Tata services:
1) Tata Insurance:
Tata AIG Life Insurance Company Limited and Tata AIG General Insurance Company Limited
(collectively 'Tata AIG') are joint ventures of the Tata Group and American International Group,
Inc. (AIG). Tata AIG combines the strength and integrity of the Tata Group with AIG's
international expertise and financial strength,
2) Tata motor finance:
Tata Motors is the largest automobile company in this part of Asia. The company has grown in a
big way in recent years and has embarked on expansion and acquisition programs. As part of it,
Tata Motors has also strengthened and expanded on its finance wing Tata Motor Finance that
provides for loan and financing options to the customers buying Tata Motors automobiles.Tata
Motorfinance (TMF) is the automobile financing wing of Tata Motors. It was launched in June
2003 and provides for loans on various segments of company automobiles like passenger cars,
utility and commercial vehicles along with construction equipments. The company that has
grown into most of the Indian cities along with a significant presence in some of the foreign
markets too, today boasts of 109 branches in 22 Indian states.
Some of the terms associated with the Tata Motor finance are as follows:
Car financing/loan options available for customers belonging to different categories
The repayment period varies to the tune of 36 months-84 months
The interest paid on the loans are on the lower end
Finance on passenger and commercial vehicles on all Tata vehicles and Fiat models
Palio and Adventure include top up loans, used vehicle finance, loan takeover and
refinancing
The paperwork is limited and the financing company's representative can be called even
at home to complete the formalities, including calculating the likely Equated Monthly
Installment (EMI) that the customer might have to pay.
Marketing Strategies
a) Introduction of the new Tata nano
The introduction of the Nano received media attention due to its targeted low price. The
Financial Times reported[: "If ever there were a symbol of India’s ambitions to become a modern
nation, it would surely be the Nano, the tiny car with the even tinier price-tag. A triumph of
homegrown engineering, the $2,200 (€1,490, £1,186) Nano encapsulates the dream of millions
of Indians groping for a shot at urban prosperity." The car is expected to boost the Indian
economy, create entrepreneurial-opportunities across India as well as expand the Indian car
market by 65% The car was envisioned by Ratan Tata, Chairman of the Tata Group and Tata
Motors, who has described it as an eco-friendly "people's car". Nano has been greatly
appreciated by many sources and the media for its low-cos t and eco-friendly initiatives which
include using compressed-air as fuel and an electric-version (E-Nano Tata Group is expected to
mass-manufacture the Nano, particularly the electric-version, and, besides selling them in India,
to also export them worldwide[25][26]
Critics of the car have questioned its safety in India (where reportedly 90,000 people are killed in
road-accidents every year), and have also criticised the pollution that it would cause (including
criticism by Nobel Peace Prize winner Rajendra Pachauri). However, Tata Motors has promised
that it would definitely release Nano's eco-friendly models alongside the gasoline-model
The Nano was originally to have been manufactured at a new factory in Singur, West Bengal, but
increasingly violent protests forced Tata to pull out October 2008. (See Singur factory pullout
below.) Currently, Tata Motors is reportedly manufacturing Nano at its existing Pantnagar
(Uttarakhand) plant and a mother plant has been proposed for Sanand Gujarat.]The company will
bank on existing dealer network for Nano initially. The new Nano Plant could have a capacity of
500,000 units, compared to 300,000 for Singur. Gujarat has also agreed to match all the
incentives offered by West Bengal government.
Cost Cutting features
The Nano's boot does not open, instead the rear seats can be folded down to access the
boot space
It has a single windscreen wiper instead of the usual Some exterior parts of it are glued
together, rather than welded.
It has no power steering.
Its door opening lever was simplified.
It has 3 nuts on the wheels instead of the statutory 4 nuts.
It only has 1 side view mirror
Price
Tata initially targeted the vehicle as "the least expensive production car in the world"aiming for a
starting price of 100,000 rupees or approximately US$2000 (using exchange rate as of March 22,
2009)6 years ago, despite rapidly rising material prices at the time
As of August 2008, material costs had risen from 13% to 23% over the car’s development, and
Tata faced the choice of:
introducing the car with an artificially low price through government subsidies and tax-
breaks
forgoing profit on the car
using vertical-integration to artificially boost profits on cars at the expense of their
materials industries
partially using inexpensive polymers or biodegradable plastics instead of a full metal-
body raising the price of the car option.
Model versions
At its launch the Nano was available in three trim levels:
the basic Tata Nano Std priced at 123,000 Rupees has no extras;
the deluxe Tata Nano CX at 151,000 Rupees has air conditioning;
the deluxe Tata Nano TX at 135,000 Rupees has air conditioning, Yellow Colour Taxi
Version;
the luxury Tata Nano LX at 172,000 Rupees has air conditioning, power windows and
central locking
the Nano Europa, European version of the Tata Nano has all of the above plus a larger body,
bigger 3-cylinder engine, anti-lock braking system (ABS) and meets European crash standards
and emission. The base model will have fixed seats, except for the driver's, which will be
adjustable, while the deluxe and luxury models will get air conditioning and body coloured
bumpers.
b)Modification in tata sumo
New Tata Sumo
The Toyota Qualis and now competes with Chevrolet Tavera. The discontinuation of Qualis to
launch the Toyota Innova proved advantageous to Tata Sumo. The Sumo has seen a series of
changes in terms of refinement in this decade. It has been the favourite choice for cab owners, as
it is rugged and affordable.
The Tata Sumo has been enjoying its position in the MUV market since 1994. It had stiff
competition with new Sumo Victa has been portrayed as a family lifestyle vehicle, but in fact is a
carry over of the old Sumo, with some cosmetic changes. The Sumo comes in nine Victa
variants: CX 10/7 Str, DI CX 7/9/10 Str, DI EX 7/9 Str, DI GX 7/9 Str, DI LX 7/9 Str, EX
10/7Str, GX 7 Str, GX TC 7 Str, and LX 10/7 Str. All variants, except the Victa DI variants, are
powered by a 2-litre Inline-4 diesel engine. The GX and GX TC variants get a 2-litre
turbocharged diesel engine that generates 89 bhp. The Victa DI variants get a 3-litre
turbocharged diesel engine. Refinement, both internal and external, is evident across the variants.
Tata's latest three variants under the 'Sumo Grande' category are LX, EX and GX available in 2-
seater, 7-seater and 8-seater configurations. Sumo Grande boasts of a powerful 2.2-L direct
injection common rail (DICOR)
engine.
c) New version of indigo,indigo Dicor
Dicor Variants
The DICOR (common rail diesel) version of Tata Indigo is available in two variants which has
already hit the bull's eyes. The beefy & bony structured sedan has the capacity to deliver
maximum torque of 140Nm @ 1800 - 3000 rpm. The Indigo Dicor from Tata Motors has been
made apt for Indian roads especially with its driver & co passengers oriented positive attributes
such as :
Anti-submarine front seats
Quick Take
* Fuel Economy 9/14 kmpl (city/highway)
Available Engines 2.0L Inline-4, 67 bhp diesel
2.0L Inline-4, 89 bhp turbo
diesel
3.0L Inline-4, 69 bhp diesel
2.2L DiCOR In-line 4, 118
bhp diesel
Available Transmissions 5-speed Manual Transmission
(MT)
New electronic instrument cluster with engine RPM meter
Rear Seat with double folding backrest
Video player with MP3: with headrest mounted LCD screens
1.4-litre as rail diesel engine
Indigo LX Dicor
Tata Indigo LX Dicor on the other hand features manually operated with chrome strip outer rear
view window, black dials with chrome rings & star check as the new pattern for its
console&ACfascia.
Indigo LS Dicor
Tata Indigo LS Dicor features manually operated outer rear view mirror, black dials, & Benz
silver as the new pattern for console & AC fascia. It has no mounted LCD screens.
ENGINES
Petrol 1396 cc MPFI Petrol Engine with 32-Bit Microprocessor Max. power - 85 PS @
5500 rpm Max. torque - 12 Kgm @ 3500 rpm
Diesel Turbo-charged 1405 cc Indirect Injection Engine with Intercooler Max. Power -
70 PS @ 4500 rpm Max. Torque - 13.5 kgm @ 2500 rpm
Dicor 32-bit microprocessor based 1396 cc DICOR(Direct Injection Common Rail)
16-valve engine with Dual Over Head Camshafts and a Variable Geometry
Turbocharger(VGT) Max.power-70 PS@4000 rpm Max.torque -
140Nm@1800-3000 rpm
e) Tapping of Rural Markets
According to the National Council for Applied Economic Research, or NCAER, rural India
accounts for 70% of India’s population, 56% of the national income, 64% of the total
expenditure and one-third of the total savings. So, the difficulties faced in cracking these markets
pale before the huge potential they offer a company. Of the total sales (of consumer goods),
around 55% come from rural India, and going ahead, the contribution is likely to grow. NCAER
data suggests that in real terms, at 1999 prices, the size of the rural economy will be about Rs16
trillion in 2012-13 compared with Rs12 trillion in 2007-08. The share of non-farm income will
be about two-thirds of the rural economy by 2012-13.
Noticing this huge potential Tata motors now plans to tap the rural market, 60 per cent of
which runs on cash. Tata motors ltd. are working on strategies to make inroads into these
markets.
Human Resource Strategies
a) Hiring Practices
Hiring the right talent is the greatest challenge in business environment and new and
innovative hiring strategies are the need of the hour if Indian companies have to succeed in
the changing global scenario. With Indian companies entering the phase of global mergers
and acquisitions, already there is a shift in standard hiring practices, the compensation
being offered, sharing the vision of the company and transmitting a sense of passion in the
company to the prospective employee will go a long way in attracting the right talent.
Some of the innovative hiring strategies could include hiring teams and not just individuals
and offering education and placement packages. Over the past few years HR is witnessing a
dramatic increase in lateral hiring of professionals with some years of experience, hiring
from the public sector as well as experienced people looking for second careers. The
challenge facing many firms is to hire with retention.
A smart and sophisticated workforce will be the most important corporate resource over the
next 20 The demand for this resource is sure to go up; however, the supply is already
dwindling.
2.Re-organizing the organizational structure of co.:
At the time of recession its important task of hr personal to reorganize the structure of
the company.so as to avoid extra man force and duplication of work.
3.Reducing in the incentives given to employees.:
Human resourse manger should cut incentives of individuals.for ex-If marketing manager used to
get incentives for hotelling accommodations 2000 per day.it should be cut down to 1200 per
day..as already due to recession he will get equal amount of service by paying the less price.
4.providing various offers to employee so to maintain the moral to work hard.
It is very important from company point of view to survive in recession.so company should
provide different offers and gifts. For achievements of certain targets so as to maintain the moral
of working in the company. Of employees..
5. No salary cuts and increase in Resource and Development
They have not cut salaries of employees. But they have reduced the extra working hours, which
means the work which is to be done in two hours it has to be completed in two hours. They have
reduced delayes in work.
Operations Strategies
a) Reducing no. of shifts :
Tata motors has reduced its number of shifts frm 3 to 2 in a day and so as to control reduce
cost of production. And started making production according to the sales required.
b) Quality Management
Quality management is crucial to effective operations management, particularly
continuous improvement. More recent advancements in quality, such as benchmarking and
Total Quality Management, have resulted in advancements to operation s management as well.
c)Inventory Management
Costs can be substantial to store and move inventory. Innovative methods, such as Just-in-Time
inventory control, can save costs and move products and services to customers more quickly.
From this project we conclude that the marketing strategies of Tata motors are according to
market. They always look after their consumers and their needs. They make changes in their
product what consumer wants, that’s why most of the consumers, are satisfied from the
company. Company wants that every people can purchase their product so, they have product
from low price to high price with number of different styles and designs without compromising
product quality. Company is also providing good services to their customers. Company has its
own show rooms and service centers in different places so customers can’t face many difficulties
to purchase their products.
“Success will largely be determined to the extent a company can differentiate itself in terms
of intangibles that go with a car.” Success could well hinge on the best of bundle of services that
a carmaker can provide.
BIBLIOGRAPHY
[1] Philip Kotler, Kevin Keller,
Marketing Management (Twelth Edition)
[2] Marketing Management, The McGraw.Hill company,
Rajan Saxena (Third Edition)
[3] www.pearsoned.co.in/pkotler
[4] http://www.genmills.com/corporate/company/india.aspx
[5] http://www.utube.com
www.wikipedia.com
[6] http://iegd.institut.com
[7] http://www.rotman.utoronto.com