Professional Documents
Culture Documents
Should Tata Motors saturate the Indian regions in which the Ace had already
been launched or dispatch the limited production run to a wider market to
establish a presence? Whether and which export markets to tap?
• Given the fact that Tata has supply constraints due to using its existing facilities to produce Tata Ace, and that it has
already launched in South and West, it should look to expand in the remaining geographies (I.e., East & North) first
and have a pan India market presence.
• Only after establishing its presence in India should Tata look to venture abroad. If the supply situation permits, it
should expand to other emerging markets in the subcontinent such as Bangladesh, Pakistan and Nepal as these
countries have similar infrastructure and needs.
• If going into more developed markets, then it should avoid European and American countries as the amount of
changes that Tata Ace would require to fit into the demand there would far exceed the capacity in its current state.
• Among other countries, Tata can expand into South Africa as it already has a strong brand value and well
developed distribution network
How should Tata respond to competition- current and potential? Which are Tata
Ace’s sustainable competitive advantages given new entrants in the market?
• Diesel option: This will make Ace a cheaper car to run which is really important in a price sensitive market such as India.
Omni on the other hand has just a petrol option.
• Competitive pricing: Using similar pricing strategy as Ace, Tata can give Omni a run for it’s money if it is able to set a
cheaper price tag on it’s vehicle and present it as a better value just like Ace.
• Easy Repairability: Just like Ace, Tata can provide repair options at every corner which will further enrich the customer
experience and strengthen the brand against an already established Omni
Which Product extensions should Tata pursue? What synergies can the new products derive from
Ace’s market understanding, manufacturing, marketing etc.?