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INTRODUCTION:

ABOUT TATA COMPANY:


The TATA company was established in !"#$ %amset&i Tata is the 'o(nde)e) o' the company*
Ratan Tata is the p)esent chai)man o' the company* The company has been de+eloped by 'i+e
,ene)ations o' the TATA 'amily* The company is one o' the most s(cess'(ll companies in
India* It was the 'i)st company to establish TC- so't wa)e set (p in India* Besides India it has
deli+e)y cente)s in U.$U-$ h(n,a)y$china etc also* The indias 'i)st indi,eno(sly de+eloped
ca) was p)od(ced by the Tatas in !!# /the Indica0* The companies latest inno+ation the
Nano wo)lds lowest p)ised ca)* Tata -teel$ Tata Moto)s$ Ta& 1otels$ Tata Tea$ Tata
Comm(nications a)e the ma&o) pa)t o' the Tata ,)o(ps* The)e a)e abo(t 2 companies and
b(siness o),anisations (nde) the di''e)ent secto)s o(t o' which 34 ha+e been p(blicly listed*
The company has also ,ained si,ni'icant inte)national )eco,nition* The company has b(siness
t)ansactions and ope)ations in abo(t #5 co(nt)ies all o+e) the wo)ld* It has ,ained many
c)edentials )ecently 'o) its b(siness s(ccess* They a)e not only .nown 'o) thei) s(cess'(ll
b(siness b(t they also acti+ely pa)ticipate in cont)ib(tin, to the de+elopment o' the society*
They p)o+ide '(nds 'o) non p)o'it o),anisations$ )esea)ch acti+ites$ cha)ity t)(sts etc* Abo(t
26 o' the total )e+en(e o' the company is cont)ib(ted towa)ds the society and cha)ity aspects*
TATA MOTOR
Tata Moto)s is the la),est ,)o(p o' the Tata ,)o(p o' companies* It stands as the second
la),est passen,e) ca) man('act()e) in India and ,lobally 5
th
la),est medi(m and hea+y
comme)cial +ehicles man('act()e)* The 1ead7(ate)s o' the company is located in M(mbai
India employin, abo(t 88599 people*
The Tata Moto) has been established in !25 in collabo)ation with the Daimle) Ben: a
,e)man company* The company was established as a locomoti+e man('act()in, (nit and then
it has e;panded its acti+ities to comme)cial +ehicles in !52* In !!# Tata Indica was
la(nched$ which was s(ccess'(l in India and it was e;po)ted to <()opean co(nt)ies* * B)itish
%a,(a) =and Ro+e) we)e )ecently ac7(i)ed by the company* Th)ee mo)e +ehicles -tation
>a,on$ Tata <state$ Tata s(mo we)e la(nched in !#!$!!3 and !!2* The Tata aslo acts as
dist)ib(te)s o' the ?iat b)anded ca)s in India*in 3995 the inte) city b(ses we)e int)od(ced in
india$ a'te) the a7(esition o' 36 o' the A)a,onese and the 1ispano ca))oce)a b(s
man('act()in, companies sha)e +al(e*
The company has abo(t si; R@D cente)s located in India$ UA$ so(th .o)ea and spain* The
+ehicles a)e la),ely e;po)ted to the <()opean co(nt)ies$ A')ica$ middle east and so(th
Ame)ica* The company has the most potential h(man )eso()se with abo(t 299 en,inee)s and
scientists wo).in, e;pecially towa)ds the )esea)ch and the de+elopment* The comme)cial
bein, man('act()ed by the company 'all (nde) a b)oad cate,o)y o' the li,ht twoBtonne t)(c.
to m(ltiBa;led +ehicles in the abo+e 29Btonne a)e man('act()ed by the company* The b)a:il
based man('act()e) o' b(ses Ma)copolo and the 'iat a)e the two companies that a)e wo).in,
in collabo)ation with the Tata Moto)s*
The company not only s(cceeded in la(nchin, many potential p)od(cts in to the ma).et it
also has the conce)n abo(t the en+i)onament* They a)e .nown to be commited towa)ds the
social )esponsibilities*36 o' the ann(al t()no+e) o' the company is spent on the Resea)ch and
De+elopment* Thei) )esea)ch mainly 'oc(ses on de+elopin, en+i)onament sensiti+e
technolo,y * They t)y to )ed(ce the poll(tion by b(ildin, clean en,ines$e;tended li'e '(els*
The emission chec. technolo,y was int)od(ced in India in collabo)ation with the U- based
company C(mmins en,ines in !!3* It has also de+eloped an ad+anced emission technolo,y
)esea)ch (nit*
*
ABOUT TATA NANO:
The NANO is .nown as The Peoples Ca)C* The main aim 'o) de+elopin, the ca) was to
p)o+ide the low economic ,)o(p with the ad+anta,e o' the ca)s which is conside)ed to be
l(;()y in co(nt)ies li.e India we)e othe) ca)s may not be 'easible* Beca(se o' the cost o' the
ca) the potential compteto)s o' the ca) wo(ld be the two and the th)ee wheele)s* The main
)eason 'o) the ,lobal attention towa)ds the ca) was d(e to its low p)ice* The initiati+e 'o) the
de+elopment o' the ca) was b)o(,ht by the chai)man o' the company Ratan Tata* The main
moti+e 'o) the de+elopin, the idea was the h(,e pop(lation in India possessin, tow and th)ee
wheele)s* The idea has 'aced initial c)iticism in te)ms o' comp)omisin, the 7(ality to b)in,
down the cost* The TATA was dete)mined to maintain the 7(ality and the alte)ations in the
man('act()in, desi,n and ideas and inno+ations we)e ta.en ')om all the )eso()ces possible*
The Tata Moto)s ha+e been )epo)ted to 'ile 82 patents d()in, the de+elopment o' the Nano*
The ca) was b(ilt (sin, a )ea) en,ine which wo(ld help inc)easin, space inside the +ehicle
and it was simila) to the ?iat 599 o)i,inal ca)* To )ed(ce the cost o' the ca) the ai)
conditionin,$ powe) windows$ the boot$ one sided +iew mi))o) we)e needed to be
comp)omised* The wheels ha+e ,ene)ally 'o() l(,s which we)e c(t down to th)ee in the
NANO model and cost e''ecti+e biode,)adable plastic was (sed instead o' the solid metal
body* The ca) can ,i+e a mila,e o' 2*5 =D99.m on the ()ban )oads and 8*#5=D99Am on
hi,hways* The +ehicle is b(ild (sin, a no+el technolo,y a non opposin, en,ine (sin, pet)ol
with two cylinde)s and one balance sha't* The technolo,y 'o) de+elopin, the +ehicle was
twea.ed so that the (nto(ched ,)o(p o' la),e cons(me)s wo(ld be ta),eted*The initial
p)od(ction ta),et set by the company was 359999 (nits pe) yea)*
BRAND EA=U<:
The )ep(tation the Tata company ca))ies$ its income$ )e+en(e ,ene)ated and the loyalty won
')om its c(stome)s and its ma).et sha)e cont)ib(tes towa)ds the b)and +al(e* It has been 29
yea)s that the TATA company has been established in India* The )e+enew o' the company
was a)o(nd F49*# billion * The company is )ecently ,i+en 5
st
position amon, the top 99
andIts b)and was +al(ed at F!*!3 billion by an inte)national cons(ltancy 'i)m B)and 'inance*
It stood in 8
th
position amon, the 35
th
most inno+ati+e companies assessed by the b(sinesss
wee. ma,a:ine*
The TATA Moto)s holds 88*3 6 ma).et sha)e o' a(tomobiles in 3994*Acco)din, to the
OICA )epo)t in 3994 it has 496 ma).et sha)e in domestic comme)tal se,ment a)ea and
9*#6 o' the wo)lds ma).et* Tho(,h the company has its basic b(siness is in India thei)
b(siness is e;tended wo)ldwide si,ni'icantly* The company has abo(t 854$999 inte)national
employees* The company is .nown 'o) its ethics and +al(es* The)e a)e se+en ma&o) a)eas to
which the companies b(siness is e;tended* They ha+e ope)ations in comm(nications and
in'o)mation technolo,y$ en,inee)in,$ mate)ials$ they also p)o+ide se)+ices$ chemicals$ ene),y
secto)s a)e also co+e)ed by the company and it also '(nctions in cons(me) p)od(cts* The
company is awa)ded with the
th
position amon, the wo)lds most )ep(table companies*
ann(al s()+ey by the Rep(tation Instit(te in 399! which incl(ded 599 ,lobal o),anisations*
The company is the wo)lds second la),est t)(c. and the 'o()th la),est b(s man('act()e)
The othe) potential compteto)s the company had when it was 'i)st la(ched was 1ind(stan
Moto)s =TD and P)emie) a(tomobile ltd* D(e to the impo)t )est)ictions the a(tomobiles
a+ailable then we)e only the ambassado) and padmini by these two companies man('act()esd
(nde) licence o' 'o)ien companies in India* Then in !#9Cs the ,o+e)nment in a &oint +ent()e
with the s(&(.i moto)s la(nched the Ma)(ti #99 and ma)(ti omni* The companies we)e
mainly 'oc(sin, on the l(;()y se,ment * In !#8 the )e,(lations 'o) a(tomobiles in India
ha+e been libe)alised which led many 'o)ei,n companies to ente) the passen,e) ca) ma).et*
The indica was la(nched in !!2 the ca) ma).et in India co(ld be se,mented as the
s(pe)l(;a)y$medi(mDl(;a)y se,ment and the economicDsmall ca) se,ment* The Indica was a
challen,in, p)od(ct with the inte)io) o' an ambassado)$ si:e o' the :en and cost o' ma)(ti
#99*
The ca) was la(nched and it was s(ccess '(ll and the company .ept its b)and +al(e by
man('act()in, low cost a(tomobiles not comp)omisin, with the )e7(i)ed 7(ality*
The NANO was sta)ted to de+elop ')om 3995* It was ta),eted to the la),e ,)o(p o' middle
class people in the co(nt)y (sin, the two and th)ee wheeled +ehicles* The Tata Nano won
accolades all o+e) the wo)ld the ca) was compa)ed to the 'o)ds model T which abo(t 99 yeas
a,o has chan,ed the de'inition o' the pe)sonalised t)anspo)tation* The s(ccess o' the ca)
co(ld also be att)ib(ted to the +al(e that the company has c)eated to its b)and by
man('act()in, the 7(ality and e''icient p)od(cts since it was established and the ma).et
st)ate,ies*
T1< INT<ND<D TARG<T MARA<T:
Tata moto)s has a ta),eted ma).et app)oach* Tata li.e any othe) m(ltinational has ta),eted
the middle income ,)o(p pop(lation$ as they a)e la),e) in n(mbe)* In o)de) to sell a p)od(ct a
company has to 'i)st ma.e p(blic )ealise the)e impo)tance* >hen a cons(me) chooses to b(y
a ce)tain p)od(ct$ it sho(ld impact the cons(me) in s(ch a way that he o) he) )elates to it*
-econdly the company sho(ld not comp)omise on the sa'ety and 7(alities o' the p)od(ct and
ma.e the cons(me) satis'action thei) p)io)ity*
The ob&ecti+e behind the s(ccess o' ,ainin, pop(la)ity amon, middleBincome pop(lation is
that$ companies can la(nch the inno+ation at a modi'ied le+el instead o' sto)in, it in R@D*
Tata has th(s stated that is +e)y e''ecti+e to sell low cost ca)s with lowe) ma),ins $when the
demand 'o) the p)od(ct is hi,he) in +ol(me*
The Nano ad+anta,e is a conside)able iss(e $as it is bein, p)od(ced by a m(ltinational $
whose p)od(cts )an,e ')om a wide )an,e o' (tilities to chemical composites and
comm(nication se)+ices* Th(s cons(me)s will &(d,e the Nano based on the companyCs
)ep(tation in othe) ma).ets* Potential c(stome)s also .now Tata ')om its socioBeconomic
p)o&ects to imp)o+e local ed(cation and health 'acilities in the nei,hbo)hood o' TataCs plants*
The P)od(ct c)eated by the company is made 'o) the middle class ,)o(p$ the p)od(ct was
planned s(ch that it wo(ls p)o+ide 7(ality and 'eat()es bette) than those which a)e al)eady
p)esent* The )ed(ced cost sho(d not comp)omise on the 7(ality and the sa'ety* The desi,ne
was planned s(ch thet it wo(ld p)o+ide cons(me)s with bette) p)od(ct at the a''o)dable p)ice*
The P)ice o' the p)od(ct was decided to be a)o(nd F8999 incl(din, the ta;es and othe) costs
as the deale) ma),in and t)anspo)tation costs* The )aise in steal p)ice did not e''ect the p)ice
as the plastic was (sed instead o' the steal and e+en the man('act()in, cost to the company
was low* The en,ines (sed a)e the simple '(el e''icient small en,ines with the e''iciency o'
59 miles pe) ,allon* The e''iciency is compa)ably mo)e to othe) small <()opean ca)s*
P)amotion o' the p)od(ct was not a p)oblem to the company*with its inno+ati+e ides nd the
low p)ice ta, attached the p)od(ct att)acted wide media attention* The social )elationships
we)e b(ild with its potential c(stome)s and as the company has wide )an,e o' p)od(cts
)an,in, ')om steel$ chemical$se)+ices to the cons(me) based ,oods* The 7(ality o' the
p)od(cts wo(ld be assessed dependin, the p)od(cts al)eady a+ailable with the company and
e;pe)ience o' the c(stome)s*
The dist)ib(tion system opted by the company was the open dist)ib(tion system* The main
pa)ts we)e decided to be man('act()ed in its 'i)ms and the pa)ts a)e to be t)anspo)ted and
assembled in places close) to the c(stome)s* The companies dist)ib(tion is also mainly amed
at )eachin, the la),e$ widely dispe)sed )()al low economy pop(lation*
The ma).et s.immin, st)ate,y is 'ollowed whe)e it initially places p)ice that wo(ld b)in,
la),e demand bb(t then with the (nde)standin, o' the )esponce and the t)end chan,es the cost
o' the p)od(ct is s(itably 'i;ed chan,in, its cha)ecte)istics acco)din, to the needs o' the
cons(me)s*
PRODUCT RANG<:
The company has man('act()ed th)ee +e)sions o' the ca) the standa)d nano$ CH and the =H
+e)sion* The standa)d +e)sion does not ha+e the special accesso)ies p)esent in the CH and the
=H +e)sion* The powe)ed windows a)e not p)esent in the standa)d +e)sion whe)e man(ally
ope)ated windows a)e p)esent to c(t down the cost$ ai) conditionin, and the cent)al loc.in,
system a)e also p)esent only in the CH and =H +e)sion*
The Tata Nano standa)d +e)sion is p)iced at 38999 )(pees witho(t any e;t)a costs* The
del(;e Tata Nano CH costs 5999 which has ai) conditionin, and the =H +e)sion costs
43999 )(pees and has powe) windows cent)al loc.in,$ 'ab)ic seats alon, with the ai)
conditionin,* The p)od(ct is mainly with pet)ol (tilisin, en,ines*
The models with many othe) +a)ients a)e bein, planned to be la(nched* The ca)s with diesel
based en,ines a)e e;pected*The (se o' comp)essed ai) en,ine is also bein, st(died$ the wo).
is bein, ca))ied o(t in collabo)ation with Mote() De+elopment Inte)national 'o) this p()pose*
The plan to de+elop e NANO (tilisin, sola) o) elect)ic en,ines is also not way behind* The
de+elopment o' ,asoline +e)sion is also wo).ed it to*
BRAND IMAG<:
Tata is now loo.in, 'o)wa)d to int)od(ce newe) machines and e;pand its b(siness nationally
and inte)nationally* One s(ch inno+ati+e e;ample is the new Nano and also de+eloped <.a a
s(pe) comp(te) model* Tata companies ha+e a st)on, ancho)a,e in India and dwellin,
towa)ds bein, a m(ltinational* The)e st)ate,y is si,ni'icant and will be consistent eno(,h to
achie+e e;cellence and inno+ation* Th(s a st)on, ma).et enables the company to s(stain its
b)and ima,e and also ha+e a competiti+e ed,e o+e) othe) companies*
*
The company has t)ied to )each its cons(me)s by (nde)standin, the economic state o' the
people and the needs o' the cons(me)s* They play the )ole o' theC ma).et c)eato)C * The
company is not only conse)ned with the de+elopment o' 7(ality p)od(cts 'o) its cons(me)s
b(t its )esponsibility e;tends to the social conce)ns abo(t the sha)eholde)s$ cons(me)s and
employees* The p)o'it ma.in, is not the only int)est o' the company it also is necessa)y to
loo. in to the ethical and social )esponsibilities* These a)e not the disc)eet acti+ities o' the
companies any mo)e they a)e the 'i)ms b(siness sta)te,ies as impo)tant as any ope)ational
'(nctions*
>ith its 'oc(s on no+el inno+ations desi,ned to )each the necessities o' the la),e pop(lation
,)o(ps they ha+e become the +al(e c)eato)s* Unli.e the con+entional 'i)ms the competition
co(ld not e''ect them* They c)eate a ,)eat ma).et space by 'oc(sin, on inno+ations )athe)
than winnin, thei) opponent* Thei) b)and ima,e enables them to place thei) p)ice not as the
-ch(mpete)ian )ents b(t they a)e based on thema).et s.immin,*
The B)and Ima,e o' the Tata company co(ld be att)ib(ted to its st)ate,ies which help in
maintainin, the 7(ality and bein, s(ccess'(l in the ma).et* The company has the capacity to
sense the chan,es in the en+i)onment the chan,es occ())in, in the ma).et and the chan,in,
inte)ests and demands o' the company* The companiesC capacity to contin(o(sly p)od(ce
no+el ideas bestows with this capacity* The othe) impo)tant 'acto) is the ablity to blend the
in'o)mation a+ailable ')om the inte)nal and the e;te)nal so()ces that wo(ld enable to s(cceed
in the ma).et to maintain its position in ma).et*
Tata is now loo.in, 'o)wa)d to int)od(ce newe) machines and e;pand its b(siness nationally
and inte)nationally* One s(ch inno+ati+e e;ample is the new Nano and also de+eloped <.a a
s(pe) comp(te) model* Tata companies ha+e a st)on, ancho)a,e in India and dwellin,
towa)ds bein, a m(ltinational* The)e st)ate,y is si,ni'icant and will be consistent eno(,h to
achie+e e;cellence and inno+ation* Th(s a st)on, ma).et enables the company to s(stain its
b)and ima,e and also ha+e a competiti+e ed,e o+e) othe) companies*
-TR<NGT1- AND ><AAN<--<-:
Tata moto)s can be b)anded as a ma&o) a(tomobile man('act()e)* The company has a si;
h(nd)ed million dolla) )e+en(e b(siness in India alone* The companyCs ma).et sha)e has
s(bstantially inc)eased since the last 'o() yea)s*
One o' the positi+es to Tata moto)s is$ its c(stome) satis'action* A s()+ey showed that "#6 o'
c(stome)s we)e satis'ied ')om the se)+ice p)o+ided by Tata moto)s* This do(bled (p the sales
,)owth* The Tata company has a st)on, ma).et position$ its the Indias la),est a(tomobile
company with )e+en(e o' F"8!4*# million dolla)s d()in, the yea) 399"B3994* The companies
'o() wheele) ma).et sha)e is inc)eased by 34*46 in the yea) 3994*
The tata moto)s ha+e la(nched la),e n(mbe) o' p)od(cts the th)ee wheele) Ma,ic$ station
wa,on$ tata s(mo$sa'a)i deco)$ indica etc these s(cess'(ll p)od(cts wo(ld enhance the
companies po)t'olio and inc)ease the b)and +al(e o' the company*
The st)en,ths o' the Tata nano is that is is the 'i)st o' its .ind with s(ch a low p)ice sets a
bench ma).* Abo(t 2 new patents a)e .nown to be 'iled d()in, the de+elopment o' the
Nano*its eco')iendly and '(el e''iciency is also hi,h* The inte)nal space is inc)eased by 36
and e;te)nal space is )ed(ced by #6 than ma)(ti #99* The +a)iomet)ic ,ea) system is bein,
(sed to man('act()e which )ed(ces the to)7(e*
The Tata ,)o(p o' company la(nched the Tata moto)s in collabo)ation with the ben:e the
inte)national techni7(es and standa)ds o' the de+elopment o' Nano and its othe) p)od(cts was
easily achi+ed* Its alliance with the 'o)d was also one o' its st)en,th as it co(ld enhance the
companies )each to the inte)national ma).et and its po)t'olio co(ld also be enhanced* The
positionin, o' the NANO is solely dependent on the p)ice and the p)ice is low compa)ed to
the othe) alte)nati+es all o+e) the wo)ld att)actin, a la),e sha)e o' cons(me)s*
The wea.ness o' the company a)e that it has to c(t down the mode)n 'acilities to acco(t 'o)
the low p)ice$ the model cant be (sed 'o) the hilly a)eas and poo) t)a''ic cont)ol*Poo) en,ine
coolin, and o+e)heatin, a)e the othe) d)awbac.s o' the model*
The cash 'lows o' the company ha+e been dec)eased in the yea) 3994 by 3"6 when
compa)ed to 3994 *The ne,ati+es that co(nt a)e mostly ne,li,ible$ e;cept 'o) the )aisin,
diesel p)ices and )ise in the p)ices o' )aw mate)ials* Alon, with the )aisin, Indian pe) capita
income*To(,h the p)icin, o' the company att)acts la),e cons(me)s the na))ow p)icin, o' the
p)od(ct is a d)awbac.* The company mi,ht ha+e compteti+e disad+anta,e d(e to the wea.
pe)'o)mance and sha)e in the l(;()y se,ment o' the moto)s*
The sh(t down o' Tata moto)Cs Nano p)o&ect at -in,() lead to a ,)eat spec(lation* The)e was
a si,ni'icant dec)ease in the sale o' a(tomobiles in the consec(ti+e yea)*
R<COMM<NDATION-:
The Nano has c)eated a niche ma).et and its the wo)lds chepest ca) which co(ld win many
)oyalties and patents* The company can e;pand its p)od(cte e+en to the l(;()y se,ment$
which wo(ld help to bette) withstand its compteto)s*the othe) +a)iablities i' b)o(,ht in the
nano wo(ld help in '()the) penet)atin, the ma).et* * The othe) +a)iations in the model with
diesel en,ines and othe) modi'ications co(ld '()the) inc)ease the ma).et sha)e and the model
co(ld be '()the) modi'ied to 'it 'o) the hilly a)eas and to )ed(ce the t)a''ic con&esions*
CONC=U-ION-:
The ca) has b)o(,ht abo(t a new )e+ol(tion in the pe)sonalised t)anspo)t system* The p)od(ct
was placed in to ma).et ta),etin, the la),e cons(me) ,)o(p and the time o' the la(nchin, the
p)od(ct is also well maintained as the )ecession hit the economy o' many people* The
inc)eased demand 'o) the p)od(ct may also inc)ease the employment opp()t(nities* The tata
moto)s ha+e made a app)eciable ma).et s()+ey and (nde)stood the needs o' its cons(me)s
and the NANO has p)o+ed itsel' to be )eally a peoples ca)*
http:DDwww*sc)ibd*comDdocD2""#2"3DTATABNano
http:DDwww*sc)ibd*comDdocD399!354DTataBNano
http:DDwww*sc)ibd*comDdocD33"59!2!DMa).etin,BaspectsBo'BTataBNano
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