TATA MOTORS PESTEL ANALYSIS
Tata Motors Limited is an automotive vehicle manufacturing company based in India. The company is engaged in development, design, manufacture and assembly, sale, and financing of vehicles, as well as sale of auto parts and accessories. The company primarily operates in India, South Korea, South Africa, Thailand, Bangladesh, Indonesia, Singapore, Spain, and UK. The company is headquartered in Mumbai. TATA Motors got listed on the New York Stock Exchange in 2004.
SWOT Analysis
Strengths: Strong domestic player (Indian market).
It is a key manufacturer of commercial vehicles. It has a market share of 64% which has always remained constant. It is India’s largest automobile manufacturer in terms of revenue. It
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“The foundation of the company’s growth is a deep understanding of economic stimuli and customer needs, and the ability to translate them into customer-desired offerings through leading edge R&D” (Tata). Employing 1,400 scientists and engineers, Tata Motors’ Research and Development team is ahead of the pack in India’s market and right with the rest of the field internationally. Tata’s firsts are “the first indigenously developed Light Commercial Vehicle, India 's first Sports Utility Vehicle and, in 1998, the Tata Indica, India 's first fully indigenous passenger car,” as well as the increasingly famous Tata Nano, which is projected to be the world’s cheapest production car (Tata).
Economic Analysis: Operating in numerous countries across the world, Tata Motors functions with a global economic perspective while focusing on each individual market. Because Tata is in a rapid growth period, expanding or forming a joint venture in over five countries world-wide since 2004, a global approach enables Tata Motors to adapt and learn from the many different regions within the whole automotive industry. They have experience and resources from five continents across the globe, thus when any variable changes in the market they can gather information and resources from all over the world to address any issues. . For instance, if the price of the aluminum required
Tata motors limited is the India’s largest automobile company, with the consolidated revenues of INR 2, 62,796 crores in the year of 2014-15. It is the leader in the commercial vehicles in each segment, and among the top in the passenger vehicles with the winning products in the compact, midsize cars and the utility vehicle segments. The Tata motors group has over 60,000 employees are been guided by the mission “to be passionate in anticipating and providing the best vehicle and experience that excite our customer globally. It has been established in the year of 1945, Tata motors presence cuts across the length and the breath of India. Over 8 million Tata vehicles ply on Indian roads, since the first rolled out
Tata Motors-have aussi Followed the footsteps beens and a pioneer in Technical Advancements in automobile sector. Tata Motors Benefit from the advanced Technically engineers operate in more than That 20 publicly traded companies Tata Group for it's R & D practical purposes. As Ratan Tata Said "The foundation of the company's growth is a deep understanding of Economic stimuli and customer needs, and the Ability to translate customer-Them Into Desired offerings through leading edge R & D". Tata Motors employs more than 1400 Scientists and Engineers All which make Tata Motors a winner in terms of technology in home market. Tata Indica, first as Indigenous, and Tata Nano, world's cheapest car, are examples of the technical capabilities and cost effective production efficiency of Tata Motors. Tata Motors-have-been Continuously investing around 2% of it's annual profits in research and development to stay ahead in the competition. Tata Motors is equipped with the 'only certified crash test facility in India' and Tata Motors set up it's European Technical Centre in 2005 That Improved companies competency in design engineering and product development. In services also, Tata Motors Developed has a -Electronic Control Unit as Compared to the Conventional Unit That the marriages accessories in a Manner effective sans Requiring a full fledges servicing
Tata is confided for its recognition to strong values together with business ethics. Every single Tata company is run independently and has its individual BOD and in addition shareholders with whom it is responsible. There are more than thirty Tata publicly-listed subsidiaries. These subsidiaries possess an aggregate marketplace capitalization of around $152 billion and in addition the investor base of around 62 million (ET Bureau, 2011). Tata Group’s major subsidiaries are:
The past of aviation has extended more than two thousand years from the earliest kites and attempts at tower jumping to supersonic, and hypersonic journey by powered, heavier-than-air jets. Now I want to talk about aviation industry information ,The airline industry provides transportation services for passengers as well as cargo through scheduled air routes. The aviation industry derives its revenues from regular ticket fees and freight charges. Other major components of the aviation sector include Air traffic
TATA Motors is the flagship company of the TATA group & is India's largest automobile player with consolidated revenues of USD 14 billion in 2008-09. It is the leader in commercial vehicles in each segment, and among the top three in passenger vehicles with winning products in the compact, midsize car and utility vehicle segments. TATA Motors was listed on the New York Stock Exchange in 2004.
Economic With business practices all over the world , Tata Motors concentrates on global economies while focusing on individual markets within countries. In recent years Tata Motors has experienced high growth since 2004. They have created joint ventures with 5 countries across the
The People’s Car will also provide reliable, cost-efficient transportation to consumers. Tata is planning to produce 250,000 People's Cars within the first year (Giridharadas). Considering that India's middle class is almost 300 million, the potential for sales is enormous. Profits will be made, leading to benefits for both India and Tata Motors. Even if the profit margins are small, the numbers of products being sold will generate a sufficient amount to make it worthwhile for Tata Motors.
Tata Motors has continued to increase its presence in the car industry throughout Asia and the world, but especially in their home country of India. From their goal of providing innovative affordable products for the masses, they have expanded from commercial vehicles into passenger cars, becoming India’s largest automobile company. As part of their global expansion strategy, Tata Motors acquired Jaguar Land Rover (JLR) in 2008, which allowed them to move into the higher end car market. The timing of which proved difficult, due to global recession. The latest innovative product that Tata has developed is the Nano, a low cost car designed to compete as a safer and more comfortable alternative to 2-wheeled vehicles in India. Tata was able to find a Blue Ocean with this product. The Nano’s release in 2009 was a resounding success, with over 206,000 orders in the first year. The interim plant was able to produce 50,000 vehicles the first year, with the new plant expected to have a capacity of 350,000 vehicles in 2010. Initial estimates put the potential market demand for vehicles similar to the Nano near one million units per year in India, with the potential to expand to global markets. Global automakers have plans to start production of ultra low cost (ULC) vehicle, so this will be a highly competitive market. The core problem for Tata Motors is that they need to decide if they continue as planned with their production of only 250,000 vehicles or if
Tata Motors enjoys giant-sized growth thanks to its Nano cars. The company -- India 's largest automobile maker by sales -- makes buses, trucks, tractor-trailers, passenger cars (Indica, Indigo, Jaguar, Land Rover, Safari, Sumo, and the popular micro car Nano), light commercial vehicles, and utility vehicles. It also makes construction equipment and provides IT services. Tata Motors sells through more than 1,000 dealers in India, as well as exports vehicles to countries in Africa, Asia, Europe, the Middle East, and South America. In addition, the company distributes Fiat-brand cars in India through its Tata-Fiat dealer network.
Tata Motors is the market leader. it is known for commercial vehicles and the top three in passenger vehicles in the world . It is the world's fourth largest bus and fifth truck manufacturer company. Tata Motors passenger vehicle and commercial vehicles are being marketed in several parts of the countries like Africa, Europe, South Asia, the Middle East, South America, South East Asia, CIS and Russia. Tata Motors has a Joint Venture/ franchisee assembly operation in Ukraine Senegal and Bangladesh.
Indian automobile industry and the small car segment in particular was witness to history being created when Mr. Ratan Tata unveiled ‘Nano’ – the Rs. 1 Lakh ($2,500) small car from Tata Motors. Nano is conceptualized and designed to fulfill the middle income Indian household’s dream of owning a car. It is projected that Nano is going to expand the
Tata Motors were traditionally positioned as an Indian based automaker that they had major market share in Indian’s commercial truck and passenger cars. However, when it goes overseas, it hardly has any competitive advantages compared with traditional international brands that consumers would think of when they plan to purchase a car. Tata Motors were simply not on that list. Tata Motors were practically forced on the route of internationalization by its tragic failure in domestic market in the late 1990s. Tata Motors made some mistakes by assuming it can just march into mature international markets by partnering up with existing well-known brands, like what it did with Tata Tea.
Tata Motors is India 's largest automobile company, with revenues of US $ 7.2 billion in 2006-2007. With over 4 million Tata vehicles plying in India, it is the leader in commercial vehicles and the second largest in passenger vehicles. It is also the world 's fifth largest medium and heavy truck manufacturer and the second largest heavy bus manufacturer. Tata cars, buses and trucks are being marketed in several countries in Europe, Africa, the Middle East, South Asia, South East Asia and South America. Tata Motors and Fiat Auto have formed an industrial joint venture in India to manufacture passenger cars, engines and transmissions for the Indian and overseas markets; Tata Motors also has an agreement with Fiat Auto to build a pick-up vehicle at Cordoba, Argentina. The company already distributes Fiat branded cars in India. Tata Motors’ international footprint includes Tata Daewoo Commercial Vehicle Co. Ltd. in South Korea; Hispano Carrocera, a bus and coach manufacturer of Spain in which the company has a 21% stake; a joint venture with Marcopolo, the Brazil-based
Tata Motors Limited is India 's largest automobile company. It is the leader in commercial vehiclessegment. It is ranked among the top three in passenger vehicles segment such as compact car,midsize car and other utility vehicle segments. It is the world 's second largest bus manufacturer andworld 's fourth largest truck manufacturer.Tata Motors Limited is established in 1945 with its vision
Today Tata Motors ranks as the world’s fifth-largest manufacturer of medium and heavy trucks—it has a 61 percent domestic market share in this segment—and has taken the number-two position for sales of passenger vehicles in the Indian market. It has also built a significant global presence, both through sales efforts in overseas markets (such as the former Soviet republics, the Middle East, South Africa, South Asia, and Turkey) and through acquisitions such as the takeover of Daewoo’s commercial-vehicle business in South Korea and the purchase of a 21 percent stake in the Spanish bus