House of Tata

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HOUSE OF TATA The Business Agricultural Products Base Metals Non-Metallic Mineral Products Chemicals Construction & Allied Activities Electrical and Non-Electrical Machinery Electricity & Non-Conventional Energy Electronics Services Shipping & Exports Hotels Financial Drilling Real Estate Other Watches Pulp & Paper Press Engineering & Locomotive Vertically integrated Focus in domestic market (India) Resources Financial Capital Managerial Expertise Business Network Established brand Structures, Systems & Processes Corporate communication Weekly cross-company director’s meetings Autonomous business unit operations Uniform Policies across the Tata Group SBU’s annual contribution system…show more content…
• TAS was developed as a group resource with MBA participants mobile among group companies. 2.What do you think of some critics’ opinion that Ratan Tata was moving the group of companies in exactly the opposite direction from where it should be going? I do not agree with the critics opinion that Ratan Tata was moving the group of companies in the opposite direction from where it should be going for the following reasons: • The group’s flagship companies Telco and Tisco which had dropped 77% &41% (FY94& FY95)in earnings were showing an increase in earnings, under Ratan’s leadership. • Ratan promoted through TIL in mid 1980’s and mid 1990’s a total of 20 solo and joint ventures with combined sales of Rs.7.5billion as in (FY 96)whilst maintaining a 25 to 50% share and controlling interest. • Ratan was responsible for creating a stronger and collective identity by promoting a unified Tata brand for all companies subscribing to the Tata Brand Equity scheme. This gave the group the advantage of opportunities and ward off competitive threats. • Ratan used the fee money from the brand equity scheme to build a national and international group brand image with a set of core values and ethics • Ratan restructured the group in 1993 by selling the loss making Tata oil mills. • Ratan promoted TAS as a ‘premium

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