TATA NANO

One of the dream project of Mr. Ratan Tata, Chairman of Tata group of companies was Tata
Nano, the cheapest “peoples car” of Rs 1, 00,000 for Indian domestic market. Tata Nano is one
of the product of Tata motors ltd, which is one the SBU(strategic business unit) of the Tata sons
ltd. This product called Tata Nano was one of the most innovative product in the time when it
was launched as it broke all the records in the world to provide the cheapest car. The official
launch of Tata Nano was in 2009, but the idea was formulated in 2003. So using efficient
marketing R&D skills and excellent marketing research during the course of 6 years brought
Tata Nano into existence from a dream.

Tata Nano without a doubt is a revolutionary car, but due to misconception among the consumers
due to bad communications could not turn out to be a useful car. Nano is one of the innovations,
as at such rate no other companies were able to provide a car to the Market. Tata were successful
to bring peoples car into existence but were not able to sustain itself in terms of the sales. Sales
figure dipped down drastically in 2010 compared to the year 2009. In order to make Tata Nano
cost effective and also differentiated Tata motors used plastic for manufacturing the car, this
affected the cost but also the quality. Tata Nano was segmented for the middle class people, but
the most brand conscious is the middle class people who just look around in their segment and
always want to be differentiated.

As still Tata Nano is facing the problem of penetration into the Indian domestic market, we have
done the market research in order to analyze the further prospects of Tata Nano in the market.