Presentation On Tata Nano

PRESENTED BY: GYAN RANJAN PRABHAT MANI TRIPATHI ROHIT MISHRA

Introduction Of Tata Nano
• “Dream-dream and dream, because dream gives vision, vision gives thoughts and finally thoughts lead to the action". Each letter of these motivational words said by India's former President Dr. A.P.J. Abdul Kalam goes exactly with Mr. Ratan Tata, Chairman of Tata group, who in the year 2003, dreamt of producing a safe, affordable Car for the common man. Finally after the wait of five years, crossing all financial and technological barriers, Ratan Tata kept his promise and unveiled Tata 'Nano' on 10th January 2007, at the 9th Auto Expo 2008 in New Delhi. Tata Nano, cool & smart, launched by Tata Motors is world's cheapest Car with a price tag of $ 2500.

as well as keeping it low in price. and. besides selling them in India. particularly the electric-version. Ratan Tata. to also export them world-wide. who has described it as an eco-friendly "people's car". .Description about Nano  The project has literally become India's claim-for-fame in the internationalmedia due to Tata Motors' innovation in developing the car. as well as expand the Indian car market by 65%.  Tata Group is expected to mass-manufacture the Nano in very large quantities.  The car was envisioned by renowned industrialist. Chairman of the Tata Group and Tata Motors.  The car itself is expected to boost the Indian Economy. create entrepreneurial-opportunities across India.  Nano has been greatly appreciated by many sources and the media for its low-cost and eco-friendly initiatives which include using compressed-air as fuel and an electric-version.

M Euro-IV. Rear Wheel Drive 623 cc 33 PS Multi Point Fuel Injection (MPFI) Petrol.5 metres 1.Features Length 3. Diesel Version will be later Sheet Metal 04 (Four) 20-22 Kmpl (City drive) Mileage Top Speed Emission Norms Safety Norms Versions 26 Kmpl (Highways) 75 K.1 metres Width Height Engine Capacity Power Fuel Injection Fuel Type Body Type Seating Capacity 1. Bharat Stage-III compliant Frontal Crash Tested One Standard and Two Deluxe .6 meters All-aluminium. Rear Mounted.

Skoda Auto India.“ Thomas Kuehl.Reactions about Nano • "It's a good historic moment for the Indian auto industry and also a proud one indeed that an Indian company took a step forward on this road. Andreas Prinz. Managing Director.” Said Jagdish Khattar. "It's good product but it's still too early to say whether it will overtake the 800 because it caters to a totally new market segment. Managing Director (Passenger Cars). Board Member. Its an upgradation for an auto wheeler rider to by a car now. Mahindra and Renault's. Volkswagen Group Sales India.“ Rajesh Jejurikar. but it is not included in our plan. I hope Tata drives to great success with the Rs one lakh car. • • . "I think it is a great thing for India because mobility is giving new opportunities. Former MD of Maruti Udyog Limited "Meeting the proper quality standards and safety is not feasible at all in such a model.

What makes it so cheap ! • The Tata Nano uses plastics and adhesives rather than welding. no power windows. no power bells and whistles. or • partially using inexpensive polymers or biodegradable plastics instead of a full metalbody. • It has no AC. . • introducing the car with an artificially low price through govt-subsidies and tax-breaks. or • using vertical-integration. no power steering.

For the first-time car buyer in India . .Target Market • The low-cost car is clearly intended for the masses. For the family of four that would otherwise ride on a scooter. • Its Also attract the small cars buyers like maruti 800. precariously balancing a tiny tot on the front and a baby on the wife’s lap.a huge market despite the increasing number of cars in the urban and semi-urban areas.

Fundamental Analysis • • • • Overview of Indian Economy Industrial Profile Profile of Indian Automobile Industry Tata Motors .

In the country 499.53 million vehicles this year.Overview of Indian Economy • The Indian economy continued to register impressive GDP growth. • The Indian automotive sector grew by 10% overall during the year with substantial growth in the Light Commercial Vehicles sector and new passenger car introductions. The level of industrial activity has also begun to decline as a result of fiscal constraints imposed on money supply and the raising of interest rates . 120. • Investment flows into India increased by 20% to a record level of about Rs. reflecting inflationary trends driven by the increase in the cost of energy and raw materials.000 Crores.978 new commercial vehicles were sold during the year and passenger car sales grew to 1. . although the rate of growth declined marginally over the previous year.

.

Tata Motors dominates over 60% of the Indian commercial vehicle market. it ranks 11th in the world in terms of car production and 13th in terms of commercial vehicle production.Indian Automobile Industry  According to the UNIDO International Yearbook of Industrial Statistics 2008.recently crossed the 1 million mark. the Indian car makers are earning acclaim worldwide.  India is the fourth largest car market in Asia .  Within two-wheelers. Foreign players are adding to their investments in Indian auto industry.  India is the largest three-wheeler market in the world and the largest two-wheeler manufacturer in the world. which includes both 2-wheelers and 4-wheelers. the Indian passenger vehicle market is dominated by cars (79%).  2/3rd of auto component production is consumed directly by OEMs.  India is the second largest tractor manufacturer in the world. India features among the top 15 auto-makers. Currently.  India is the fifth largest commercial vehicle manufacturer in the world. At the same time. motorcycles contribute 80% of the segment size.  Unlike the USA. statistics:  The first automobile in India rolled in 1897 in Bombay. .  The number one global motorcycle manufacturer is in India.  India is being recognized as potential emerging auto market.

Automobile Industry .

 Vehicle exports also grew. launching new models and due to reduction in excise duty announced by the government in Budget during February’08.9% as compared to over 33% growth achieved in the last fiscal. of India in recent years has made remarkable impacts on Indian Automobile Industry.Automobile Industry  The liberalization policy and various tax reliefs by the Govt. while this figure is 82 in China.8% witnessed in the previous year  The domestic commercial vehicle industry grew by 6.  In India there are 100 people per vehicle.1% by increasing discounts on mature products.9% as compared to 14. . It is expected that Indian automobile industry will achieve mass motorization status by 2014.  The passenger vehicle industry also witnessed a slowdown but managed to grow by 11. Indian auto industry. has become a hot destination for global auto players like Volvo. General Motors and Ford. albeit at a slightly lower rate of 11. which is currently growing at the pace of around 18 % per annum.

Automobile Export .

Tata Motors Limited  Tata Motors Limited. Pune. which also includes the Rover. Part of the Tata Group.  In March 2008. India. The company manufactured its first commercial vehicle in 1954 in collaboration with Daimler-Benz AG. based on figures for 2006. is a multinational corporation headquartered in Mumbai.  Tata Motors was established in 1945. It is India's largest passenger automobile and commercial vehicle manufacturing company.The purchase was completed on 2nd June 2008. Pantnagar.  Tata Motors has its manufacturing base in Jamshedpur. formerly known as TELCO (TATA Engineering and Locomotive Company). The OICA ranked it as the world's 20th largest automaker. Daimler and Lanchester brand names. when the company began manufacturing locomotives. . Lucknow. it finalised a deal with Ford Motor Company to acquire their British Jaguar Land Rover (JLR) business. and one of the world's largest manufacturers of commercial vehicles. which ended in 1969.

Performance of the company’s stock prices (vis-à-vis Sensex and Auto index) .

Market price data on BSE/NSE .

Companies Performance .

com: January 11. 2008  Nano makes it to Time's most important cars of all time The Hindu Business Line: January 17. according to rating agency CRISIL.News from various surveys and research worldwide  Small cars have big potential: Survey Business Standard: January 15. September 08.org)  The car itself is expected to boost the Indian Economy as well as expand the Indian car market by 65%. 2008  Tata Nano sets the platform for India as a frugal engineering hub livemint. 2008  Indian auto industry to lead globally by 2020: IBM New Delhi: The Indian automobile industry is all set to be the global leader by 2020 with the trailblazing work done by the Tatas. . according to IT and consultancy giant IBM. Desi solutions The Economic Times: May 15. 2008 (sources : Indian Brand Equity foundation www.ibef. 2008  Global problems.

. Splitting Neighbors in West Bengal”  “ Tata's problems in West Bengal are scaring off other industries hoping to locate here. Tata Motors took decision to pull out of Singur. Tata Motors is manufacturing Tata Nano at its Pantnagar plant.000 crore .How ever Tata has to suffer in terms of delay and settlement cost .  While existence of Tata Nano could lead to high industrial growth . the "Stalled Car Factory" is "Costing Jobs. for the 'painful' decision.  Due to ongoing opposition to Tata's Singur car-factory by Mamta Banerjee. a software maker that wanted to build a business park that would provide 5.  Tata Motors announced it was pulling out its Nano small car industrial project from West Bengal's Singur and blamed the Mamata Banerjee-led Trinamool Congress. who demanded land to be returned from the factory. which spearheaded the protests against the factory. Due to the Singur land dispute. including Infosys.000 jobs. the exit lead west Bengal a loss of more than 80.Obstacles to Nano  However.

With the exception of Manjeet Kripalani.Competencies of Tata Nano • Tata is now 57th most valuable brand globally livemint.com: April 22. India as well as other nations. • Modular design In fact.com. providing the tools for local mechanics to assemble the car in existing auto shops or even in new garages created to cater to remote rural customers. . BusinessWeek's India bureau chief. 57 in Brand Finance Top 500 Global Brands • Expectations According to one report. have great expectations from the Nano and are keenly and eagerly eagerly awaiting it. 2008 The Tata group’s intense activities in 2007 have seen it rising 45 places to No. few have focused on this breakthrough element of the Nano innovation (BusinessWeek. such as European nations[. especially the electric version of the Nano. Tata envisions going even further. 1/10/08).

• Reputation and Acceptance of Tata After launch “TATAs have shown the world what Indian engineering is truly capable of” Financial Times U K reports • Enthusiastic support Tata Motors is receiving preliminary and some very enthusiastic support in the media and officials.Competencies of Tata Nano • Pricing strategy Tata initially targeted the vehicle as "the least expensive production car in the world"— aiming for a starting price of 100. even from Europe. Since it meeting Euro-4 norms at this price so this is taking as a future of small car segment . for the electricversion from India as well as other-nations. The enthusiasm is even higher than that for the petrol-version .000 rupees or approximately $2300 US despite rapidly rising material prices • Export expectation • Being worlds cheapest car it is expected that not only India demand for Nano will go rise at global level.

low-income consumers in emerging markets often spurs significant innovation. • As customers gain more power. • World is getting tougher day by day being unique is a competitive advantage.Future of Nano (conclusion) • Emerging markets are a fertile ground for innovation. Companies that innovate on this dimension are likely to be richly rewarded. . they will demand more tailoring and value-added service to meet their needs. The challenge of reaching dispersed. • So this as per this project conclusion can be draw as a future car not only of Indian but also if exported than could be to the world. Tata has proved him again not only he came out of the expectations but also came out with a platform for Indian auto sector . Expectations to Nano has proved this . • After 100 years to Henry Ford .

Important questions ? • Will the Nano succeed? • Car of the Future? • Is it fair to blame the Nano for the (upcoming) ills of Indian road infrastructure? • What do you think? Is the Nano a car of the future? Or just another Yugo debacle waiting to happen? Would you drive one? .

• .

Thank you .

Sign up to vote on this title
UsefulNot useful