Tata Motors

Topics: Tata Motors, Automobile industry in India, Automotive industry Pages: 48 (11171 words) Published: January 11, 2013
“A promise is promise and I kept my promise”- this is the historical statement which Mr. RATAN TATA said when he launched his ambitious TATA NANO; the people’s car in India on 23 rd march 2009. Tata has always given value products in the Indian Car Market whether it is path breaking recently launched TATA NANO or TATA INDICA (which created great brand into the car industry in the diesel segment).

Not only is the passenger car, even into the heavy vehicle segment TATA is the only sole leader in India.
TATA has created its brand value not only in India but even outside India it has created its brand by acquiring Jaguar-Land Rover, Corus Steel during 2007-08.
TATA has been named among top 10 brand companies by Fortune Magazine in the year 2008. It has got into top 100 companies in the survey of Standard & Poor Mody’s research in the year 2008. Being into most valued brand in world the consumer satisfaction to its customers is very important for TATAS and thus they are continuously working into this area where their objective is to provide best products with full value of the money of their customers. The TATA INDICA VISTA has been one of those products you just cannot ignore. While it got media coverage around the world, the reactions, though mixed, flowed easily. On the one hand there has been pride in the “World’s mid size small car” tag, as a great achievement for Indian industry. The “World’s mid size small Car” tag has been well received with the hope that a whole new category of people can look to buy a car now.


a) Historical Background
In India there are 100 people per vehicle, while this figure is 82 in China. It is expected that Indian automobile industry will achieve mass motorization status by 2014. Since the first car rolled out on the streets of Mumbai (then Bombay) in 1898, the Automobile Industry of India has come a long way. During its early stages the auto industry was overlooked by the then Government and the policies were also not favorable. The liberalization policy and various tax reliefs by the Govt. of India in recent years has made remarkable impacts on Indian Automobile Industry. Indian auto industry, which is currently growing at the pace of around 18 % per annum, has become a hot destination for global auto players like Volvo, General Motors and Ford. A well developed transportation system plays a key role in the development of an economy, and India is no exception to it. With the growth of transportation system the Automotive Industry of India is also growing at rapid speed, occupying an important place on the 'canvas' of Indian economy.

Today Indian automotive industry is fully capable of producing various kinds of vehicles and can be divided into 03 broad categories : Cars, two-wheelers and heavy vehicles. 

The first automobile in India rolled in 1897 in Bombay.
India is being recognized as potential emerging auto market. Foreign players are adding to their investments in Indian auto industry. Within two-wheelers, motorcycles contribute 80% of the segment size. 2

Unlike the USA, the Indian passenger vehicle market is dominated by cars (79%). Tata Motors dominates over 60% of the Indian commercial vehicle market. 2/3rd of auto component production is consumed directly by OEMs. India is the largest three-wheeler market in the world.

India is the largest two-wheeler manufacturer in the world.
India is the second largest tractor manufacturer in the world. India is the fifth largest commercial vehicle manufacturer in the world. The number one global motorcycle manufacturer is in India.
India is the fourth largest car market in Asia - recently crossed the 1 million mark. 40% of the three-wheelers are used as goods transport purpose. Piaggio holds 40% of the market share. Among the passenger transport, Bajaj is the leader by making 68% of the three-wheelers. Cars dominate the passenger vehicle market by 79%....
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