HISTORY

Tata Motors is a part of the Tata Group manages its shareholding through Tata Sons. The company was established in
1935 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. Despite the
success of its commercial vehicles, Tata realized his company
had to diversify and he began to look at other products.

TYPE:
INDUSTRY:
FOUNDED:
FOUNDERS:
HEADQUARTERS:
KEY PEOPLE:

PRODUCTS:
SERVICES:
REVENUE:
NET INCOME:
TOTAL ASSETS:
TOTAL EQUITY:

Public.
Automotive.
1945.
JRD Tata.
Mumbai, Maharashtra.
Ratan tata, chairman.
Ravi Kant, vice chairman.
Carl Peter Forster , CEO.
Engines, Automobiles.
outsourced engineering & design.
37,446.50 crore(US$ 8.5 billion) in
2009.
2,240.08 crore (US$ 508.5 million) in
2009.
$15.430 billion (2009)
$763 million (2009)

IMPORTANT DEVELOPEMENT
TATA NANO

In January 2008, Tata Motors launched

Tata Nano, the least expensive
production car in the world at about Rs.
100,000 (US $2,500). The city car was
unveiled during the Auto Expo 2008
exhibition in Pragati Maidan, New Delhi.
Tata has faced controversy over
developing the Nano as some
environmentalists are concerned that the
launch of such a low-priced car could
lead to mass motorization in India with
adverse effects on pollution and global
warming. Tata has set up a factory in
Sanand, Gujarat and the first Nanos are
to roll out summer 2009.
Tata Nano Europa has been developed
for sale in developed economies and is
to hit markets in 2010 while the normal
Nano should hit markets in South Africa,
Kenya and countries in Asia and Africa
by late 2009. A battery version is also
planned.

TATA ACE
Tata Ace, India's first
indigenously developed subone ton mini-truck, was
launched in May 2005. 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 Auto
line Industries. By 2005, Auto
line was producing 300 load
bodies per day for Tata
Motors.
Ace is still a top seller for
TML with 5M units sold to
date (June 2010).

TATA IN INDIA
Tata Motors Limited is Indias largest
automobile company, with revenues of
35,651.48 crore (US$ 8.09 billion) in 200708. It is the leader in commercial vehicles in
each segment, and among the top three in
passenger vehicles in India with products in
the compact, midsize car and utility vehicle
segments.Tata vehicles are sold primarily in
India, and over 4 million Tata vehicles have
been produced domestically since the first
Tata vehicle was assembled in 1954. The
companys manufacturing base in India is
spread across Jharkhand, Maharashtra,
Uttar Pradesh, Uttarakhand and Karnataka.
Following a strategic alliance with Fiat in
2005, Tata set up an industrial joint venture
with Fiat Group Automobiles at Ranjangaon
(Maharashtra) to produce both Fiat and Tata
cars and Fiat powertrains. The company is
establishing a new plant at Sanand
(Gujarat). Tata's dealership, sales, service
and spare parts network comprises over
3500 touch points.

TATAS GLOBAL OPERATIONS

The acquisitions is Jaguar Land Rover, a business comprising two
struggling iconic British brands that was acquired from the Ford
Motor Company in 2008. In 2004, Tata acquired the Daewoo
Commercial Vehicles Company, South Koreas second largest truck
maker.Today two-thirds of heavy commercial vehicle exports out of
South Korea are from Tata Daewoo. In 2005, Tata Motors acquired a
21% controlling stake in Hispano Carrocera, a Spanish bus and
coach manufacturer,Tata Motors continued its market area expansion
through the introduction of new products such as buses (Starbus &
Globus, jointly developed with subsidiary Hispano Carrocera) and
trucks (Novus, jointly developed with subsidiary Tata Daewoo). In
May, 2009 Tata unveiled the Tata World Truck range jointly developed
with Tata Daewoo Debuting in South Korea, South Africa, the SAARC
countries and the Middle-East by the end of 2009 In 2006, Tata
formed a joint venture with the Brazil-based Marcopolo to
manufacture fully-built buses and coaches for India and other
international markets.[29] Tata has franchisee/joint venture assembly
operations in Kenya, Bangladesh, Ukraine, Russia and Senegal.

PRODUCTS
Passenger cars and utility vehicles

Tata Sierra (Discontinued)

Tata Estate (Discontinued)
Tata Sumo/Spacio
Tata Safari
Tata Indica
Tata Vista
Tata Indigo
Tata Manza
Nano
Tata Xenon XT
Tata Aria
tata Tata Indigo Marina
Tata Winger
Tata Magic
Tata pratul

TATA TECHNOLOGIES TTL

TTL provides Engineering and Design (E&D) solutions to
the Automotive Industry. Tata Motors holds 86.91% of TTLs
share capital. TTL is based in Pune (Hinjawadi) and
operates in the US and Europe through its wholly owned
subsidiaries in Detroit and London respectively. It also has a
presence in Thailand. Tata Technologies is a software
service provider in the IT services and BPO space. Its
global client list includes Ford, General Motors, Toyota and
Honda, to name a few. It bought over the British engineering
and design services company, In cat International Plc for
Rs4b in August 2005. In cat specializes in engineering &
design services and product lifecycle management in the
international automotive, aerospace and engineering
markets.

TATA MOTORS
Tata branda Tata Daewoo Jaguar Land Rover Tata Hispano
Cars/MUVs/SUVs Nano Indica Indigo Sumo Sumo Grande
Safari Aria
Concept models One CAT Indica Silhouette Xover Elegante Aria
Coupe Cliff rider
Pick-ups 207 DI TL Xenon XT
Buses Globus Hispano Globus Star bus Marco polo Bus
Medium and heavy trucks Cons truck Novus Prima
Mini vans Winger Magic Iris Venture
SCVs/LCVs 407 Ace
Historic models Sierra Estate Tata Mobile

TATA GROUP
Companies
CMC
*Tata BP Solar
Tata Coffee
*Tata Chemicals
Tata Consultancy Services
*Tata Elxsi
Tata Interactive Systems
* Tata Motors
Tata Steel
*Tata Power
Tata Tea *Tata Communications
Tata Technologies Limited
*Tata Teleservices
Titan Industries *Tata Voltas
The Indian Hotels Company
*Trent (Westside)
Notable non-Indian Companies
Corus Group
Tetley
Tata Daewoo Commercial
VSNL International Canada
Jaguar Cars Land Rover
Brunner Mond
Brands Good Earth Teas Tanishq Taj Hotels I-shakti Tata Salt
Tata Sky Tata Indicom Tata DoCoMo Titan Westside Voltas Virgin
Mobile India

S.W.O.T Matrix
Internal
Analysis

Strengths

Weaknesses
External
Analysis

Opportunities

Threats

SWOT for TATAs 1 Lac Car Project

Strengths

Weaknesses

Goodwill of TATA brand.

Own Steel Plants.
Existing dealers & Service Networks.
Large shareholder base for capital
needs.

Lack of Competence
Lack of reliable technology.

Opportunities

Threats

Largest aspiring middle class.

Huge unexploited market.
Prospective buyers from the twowheeler segment.

Maruti 800 is an established

benchmark.
Safety & reliability issues.
Competition from second hand cars
& Maruti.

 Strengths
Costadvantage
Assetleverage
Effectivecommunication
HighR&D
Innovation
Onlinegrowth
Loyalcustomers
Marketshareleadership
Strongmanagementteam
Strongbrandequity
Strongfinancialposition
Supplychain
Pricing
Realestate
Internationalstrategies

Opportunities
Acquisitions
Assetleverage
Financialmarkets(raisemoneythroughdebt,etc)
Emergingmarketsandexpansionabroad
Innovation
Online
Productandservicesexpansion
Takeovers

Weaknesses
Badcommunication
Diseconomiestoscale
Overleveragedfiancialposition
LowR&D
Lowmarketshare
Noonlinepresence
Notinnovative
Notdiversified
Poorsupplychain
Weakmanagementteam
Weakrealestate
Weak,damagedbrand
Ubiquitiouegory,products,services
weakbrandimage

Threats
Competition
Cheapertechnology
Economicslowdown
Externalchanges(government,politics,taxes,etc)
Exchangeratefluctuations
Lowercostcompetitorsorimports
Maturingcategories,products,orservices
Pricewars
Productsubstitution

S
W
O
T
F
O
R
T
A
T
A
S

Organizational Structure

NOTABLE PEOPLES
Jamsetji Tata - Founder of Tata Group
Dorabji Tata - Founder of New India Assurance Co Ltd. in 1919
Nowroji Saklatwala - He was the only non-Tata chairman of the Tata group from
1932 till his sudden death due to heart attack.He was also a cricket player and
represented the Parsees against the Europeans in 1904.

J. R. D. Tata -JRD was elected Chairman of Tata & Sons making him the head
of the largest industrial group in India.He take over as Chairman of TATA SONS
from his uncle Nowroji Saklatwala.

Ratan Tata Present Chairman of Tata Group

Pallonji Mistry Chairman Designate

The TATAs
Tata is an increasingly powerful multinational conglomerate
with a market value of more than $70bn (35bn) and almost
290,000 people in its workforce in 80 countries. During the
financial year March 2008, its revenues of about 18bn
were equivalent to some 3.2% of India's gross domestic
product.

The
Mumbai-based
group's
subsidiaries
are
major
corporations in their own right, active in industries ranging
from IT services to power generation, to tea production, to
steel. In the UK it already owns Tetley Tea and steelmaker

NEW IDENTITY
TATAs JaGuar and LandRover

Equity and Debt The Concepts

IMPORTANT FACTS
Tatas - the top choice for buying the US auto giant Ford's iconic British brands
Jaguar and Land Rover
The firm demolished the competition from rival Indian firm Mahindra and Mahindra
"When a private equity firm buys a company, the cost of buying it often goes onto
the companies books. If anything then goes wrong how do you refinance the
business?

TATA MOTOR JLR Deal process

12/06/2007- Announcement from Ford that it plans to sell
Land
Rover and Jaguar.
August 2007 - Major bidders are identified
Likely buyers: Tata Motors, M&M, Ceribrus capital
Management, TPG Capital, Apollo Management
Indias Tata Motors and M&M arrive as top bidders ($ 2.05b
& $ 1.9b)
03/01/2008 Ford announces Tatas as the preferred bidders.
26/03/2008 - Ford agreed to sell their Jaguar Land Rover
operations to Tata Motors.
02/06/2008 The acquisition is complete

Why did Tatas acquire JLR?

Long term strategic commitment to automotive sector.
Opportunity to participate in two fast growing auto segments.
Increased business diversity across markets and products.
Land rover provides a natural fit for TMLs SUV segment.
Jaguar offers a range of performance/luxury vehicles to broaden the brand
portfolio.
Benefits from component sourcing, design services and low cost
engineering

What Tata had got???

100% stake in Jaguar TAMO has acquired the business & initially they will be operated
& land Rover
independently of the partner.
Business

3 Plants in UK

These are well invested plants

2 advanced design
& engineering
center

4-5000 engineers engaged in testing ,prototype design &

powertrain
Engineering , development & integration

26 National sales
company

Both existing national sales companies of jaguar/land rover & also

those that are carved out of current Ford operation

Intellectual property This covers all key technologies to be transferred to JLR &
rights
perpetual royalty free license on technologies shared with Ford
Capital Allowance

A minimum guaranteed amount of $1.1 bn which will help

managing in Tax going forward

Support from Ford

Motor Credit

Ford Motor Credit will continue to support the sales of JLR for
around next 12 months

Pension
Ford will contribute $ 600 mn of the Pension Fund
Contributed by Ford

Strategic VIEW POINTS

Considering that Jaguar and Land Rover are two of the most well-known
automotive names in the world, and that Ford had acquired them for a
collective cost of about $5 billion almost a decade earlier, Tata Motors seems
to have got them at a steal at $2 billion.
Over the years, Ford spent close to a total of $10 billion on the brand but
failed to return a profit. After incurring heavy losses for two consecutive years
in 2006 and 2007, Ford took this move.
Tata Motors has assured the employee union that both these factories will
continue to operate without any retrenchments after the takeover.
The process which started in 00 and reached new heights in 07 was said to
have reached a Zenith with this.
The Nanos plans were said to have been targeted towards the down
markets but with this deal going through this has been contradicted as Tata
was equally bullish in the upmarkets.