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1. Is the Tata Nano a radical innovation or an incremental innovation?

Is it a
component or an architectural innovation? Why?

- Radical innovation is an invention that destroys or supplants an existing business


model. Unlike architectural or incremental innovation, radical innovation blows up
the existing system or process and replaces it with something entirely new.

Incremental innovation doesn't create new concepts or products, as it focuses on


marginal improvements to what already exists.

I think it is an incremental innovation, it didn’t change the car industry. It is


considered in the introduction of the industry life cycle. because there sales are
small and there market penetration is weak, because they are yet to be known.

2. What factors do you think in uence the rate at which consumers have adopted
(or will adopt) the Tata Nano?

- I think there is a single but huge factor which is obviously price. The car is very
cheap. Period. Unsafe, Uncomfortable and Unreliable.

3. What would have been the advantages or disadvantages of Tata collaborating


with automaker on the Tata Nano? Who might it have collaborated with?

- Advantages: They would have much more experts working for them. They would
take much more less time developing and coming up with new ideas. Renew and
better their reputation/ get more exposure.

Disadvantages: It will cost more therefore the price will become Higher.

It would be logical to collaborate with Chery based on the qq3, because of how
cheap it is, so they have similar factors. But if it was me, I wouldn’t collaborate
with them based on the fact that the qq3 got a 0/5 star for safety and was actually
nicknamed the “death trap” By many news articles. I would collaborate with Fiat,
the similar factor between these two is that they’re both small. The at got 3/5
stars on safety. Even though its a bit more expensive, it is still considered cheap
compared to other safe and kind if luxurious cars. It also has an excellent
reputation worldwide.

4. Do you believe the Tata Nano will be pro table? Will the Tata Nano lead to
another advantages in future auto platform by Tata?

- No, because it was not created to be pro table, in fact the exact opposite. He
wanted it as cheap as possible. The only way it will be pro table is if they sold
many units. “Penetration of the market”, and I don’t think that’ll happen.
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