Itc Group Problems Faceing Currently
Information about the product:
The Tata Nano is a rear-engine, four-passenger city car built by Tata
Motors, aimed primarily at the Indian market. The car is very fuel
Efficient, achieving around 78mpg on the highway and around 92 in the
City. It was first presented at the 9th annual Auto Expo on 10 January
2008, at Pragati Maidan in New Delhi, India. Nano had a commercial
Launch on March 23, 2009 and, a booking period from April 9 to April
25, generating more than 200,000 bookings for the car. The sales of
The car will begin in July 2009, with a starting price of Rs 115,000
(Rupees), which is approximately equal to UK£1,467 or US$2,421 as of
June 2009. This is cheaper than the Maruti 800, its main competitor
And next cheapest Indian car priced at 184,641 Rupees. Tata had
Sought to produce the least expensive production car in the world —
Aiming for a starting price of Rs.100,000 (approximately US$2,000 in
Juneprice competition often leaves the entire industry worse off.
NANO is the only player so it has the price freedom but as the
Maruti and Honda are also planning to launch the car in the
Same segment the price competition will start.
Porter's 5 Forces Model of the NANO car
There is continuing interest in the study of the forces that impact on an
Organization, particularly those that can be harnessed to provide
Competitive advantage. The ideas and models which emerged during
The period from 1979 to the mid-1980s were based on the idea that
Competitive advantage came from the ability to earn a return on
Investment that was better than the average for the industry sector. As
Porter's 5 Forces analysis deals with factors outside an industry that
Influence the nature of competition within it, the forces inside the
Industry (microenvironment) that influence the way in which firms
Compete, and so the industry’s likely profitability is conducted in
Porter’s five forces mode.
BARRIERS TO ENTRY
•Time and cost of entry – Time is most
The Tata Nano is a rear-engine, four-passenger city car built by Tata
Motors, aimed primarily at the Indian market. The car is very fuel
Efficient, achieving around 78mpg on the highway and around 92 in the
City. It was first presented at the 9th annual Auto Expo on 10 January
2008, at Pragati Maidan in New Delhi, India. Nano had a commercial
Launch on March 23, 2009 and, a booking period from April 9 to April
25, generating more than 200,000 bookings for the car. The sales of
The car will begin in July 2009, with a starting price of Rs 115,000
(Rupees), which is approximately equal to UK£1,467 or US$2,421 as of
June 2009. This is cheaper than the Maruti 800, its main competitor
And next cheapest Indian car priced at 184,641 Rupees. Tata had
Sought to produce the least expensive production car in the world —
Aiming for a starting price of Rs.100,000 (approximately US$2,000 in
Juneprice competition often leaves the entire industry worse off.
NANO is the only player so it has the price freedom but as the
Maruti and Honda are also planning to launch the car in the
Same segment the price competition will start.
Porter's 5 Forces Model of the NANO car
There is continuing interest in the study of the forces that impact on an
Organization, particularly those that can be harnessed to provide
Competitive advantage. The ideas and models which emerged during
The period from 1979 to the mid-1980s were based on the idea that
Competitive advantage came from the ability to earn a return on
Investment that was better than the average for the industry sector. As
Porter's 5 Forces analysis deals with factors outside an industry that
Influence the nature of competition within it, the forces inside the
Industry (microenvironment) that influence the way in which firms
Compete, and so the industry’s likely profitability is conducted in
Porter’s five forces mode.
BARRIERS TO ENTRY
•Time and cost of entry – Time is most