Market Entrance Strategy Of Tata Motors

MARKET ENTRANCE STRATEGY OF TATA MOTORS

COMPANY PROFILE 

Tata motors were established on September 1, 1945, originally for the manufacture of Steam Locomotives at Jamshedpur and it’s the first Indian industry who is listed in the New York stock exchange

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In 1969 Tata motors had become an independent producer of Medium Commercial Vehicles. It had also developed the capability of designing, testing and manufacturing such vehicles.

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It is the country's leading commercial vehicle manufacturer and has significant presence in the multi-utility and passenger car segments.

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With the Launch of Tata Indica, an Euro 2 compliant vehicle, is the country’s first indigenously designed, developed and manufactured passenger car.

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Tata Motors has auto manufacturing and assembly plants in Jamshedpur, Pantnagar, Lucknow, Ahmadabad and Pune in India.

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Motors has been aggressively acquiring foreign brands to increase its global presence. Tata Motors has operations in the UK, South Korea, Thailand and Spain

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With the launch of Tata nano, Tata has penetrated the market to its extreme by making a car available for Rs. 132000 only. This is the cheapest car in India till date and with the announcement of its diesel variant it has made potential buyers to eagerly wait for it.

PLAYERS IN THE COMPACT SEGMENT  Maruti

Udyog Ltd.  Zen estilo, WagonR  Hyundai motors India Ltd.  Santro  Fiat India Automobiles Pvt. Ltd.  General Motors  Sparks

Main Market strategies Its aims to presence worldwide through 

Acquisitions &

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Joint ventures

Acquisition of Daewoo commercial vehicles 

With the success of Tata Indica, Tata Motors aimed to increase its presence worldwide. In 2004, it acquired the Daewoo Commercial Vehicle Company of South Korea. The reasons behind the acquisition were

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Now the Tata motors wants to enter in the heavy commercial vehicles segments , so they approach to the Daewoo commercial vehicle company because company global plan to reduce the domestic exposure

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To expand the product portfolio Tata Motors recently introduced the 25MT GVW Tata Novus from Daewoo’s (South Korea) (TDCV) platform.

Tata Novus is one of the best selling commercial trucks in South Korea.

Hispano Divo at the 2008 FIAA in Madrid

Acquisition Hispano Carrocera 

In 2005, sensing an opportunity in the fully-built bus segment, Tata Motors acquired a 21% controlling stake in Hispano Carrocera SA the leading European bus and coach cabin maker. In 2009, the company picked up the remaining 79% stake in Hispano Carrocera SA for an undisclosed sum, making it a fully-owned subsidiary.

Acquisition of British Jaguar Land Rover 

After acquiring the world’s top automobile company the Tata Motors became a major player in the international automobile market.

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On 27 March 2008, Tata Motors reached an agreement with Ford to purchase their Jaguar and Land Rover operations for US$2 billion. The sale was completed on 2 June 2008 Tata has gained the rights to the Daimler, Lanchester, and Rover Company

Joint ventures 

Tata motors have joint venture with the Macrcoplo of Brazil its is working in bus body building venture is to manufacture and assemble fully-built buses and coaches targeted at developing mass rapid transportation system

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Tata and Marcopolo have launched a low-floor city bus which is widely used by Delhi, Mumbai and Bangalore Transport Corporations.

Tata MarcoPolo released this low-floor bus in India and now it is widely used as public transport in Delhi, Mumbai and Bangalore

Joint ventures with fiat’s diesel 

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Tata Motors also formed a joint venture with Fiat and gained access to Fiat’s diesel engineering technology Tata Motors sells Fiat cars in India and is looking to extend its relationship with Fiat and Iveco to other segments. Fiat's first body-on frame pickup will have the same styling as Tata Xenon and is to be named Fiat Terra. Tata has also formed several JV's with many small companies in various countries around the world.