Tata Fiat

Although different measures were taken by Tata Motors for their product design, engines and transmission yet there were some

As mentioned earlier Tata Motors being the largest automobile firm in India, it is admired to be the most reliable and futuristic manufacturers in today’s world. Tata vehicles and their new cars are preferred globally for their advanced technologies and handiness with over 130 models of passenger vehicles and trucks which tend to boost the Indian market internationally. Tata Motors have various core competencies that further make it different from others in the market place. As stated earlier, a core competency for Tata Motors is the acquisition of jaguar and Land Rover in order for an expansion internationally, directly giving them an ultimate competitive

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

In 2002, the Indian government formulated an “Auto Policy” which aims at promoting integrated, phased, and self-sustained growth of the Indian automobile industry.

Italian firms are renowned for being small and family-owned. Yet some of them have managed to tackle and be successful on the global market. One such firm is Fiat which specializes in vehicles manufacturing. The company was founded by Giovanni Agnelli in 1899. An interesting example of how Fiat has used heritage and tradition is the fact

By adding two competences by both companies the risk of failure will be less. Since Tata was formed in 1945 they have had agreements with other companies to help benefit the company. In 1954 Tata Motors entered a 15 year agreement with Daimler-Benz AG to make medium size commercial vehicles. In 1985 they made hydraulic excavators with Japan Hitachi. Cummins Engine entered a joint agreement with Tata Motors in 1993 to make high horsepower and low emission diesel engines for their cars. Tata Motors went into another joint venture with Daimler-Benz to manufacture Mercedes-Benz passenger cars for the Indian people. India’s first off road vehicle, the Tata Safari was in need for a turbocharger along with a Cummins diesel engine in 1998, so Tata Motors signed a joint venture with Tata Holset from the United Kingdom. Tata Motors have begun a partnership with Bharat Forge and General Dynamics Land Systems in March 2016. These companies bring in their own expertise that will help both companies. Tata Motors strengths are in design and development while Bharat Forge’s will bring strong manufacturing. They have put together $11 billion for a project to create combat vehicles.

Nowadays, Renault-Nissan is the fourth worldwide automaker with sales of 6,129,254 units in 2005, up 5.9% over 2004 (http://www.nissan-global.com/). Considering the traditional position of Mitsubishi in the actual market, the analysis of the Renault-Nissan alliance case would provide you with valuable elements on how to approach the growing and

Opportunities: The external environment plays directly to Tata Motors advantage. In India the average household earned roughly 4,000 U.S. dollars, and only 38 out of every 1,000 people owned a car. With the poor economic state of India, Tata Motors was able to produce and sell the Nano car for 2,500, giving India an affordable alternative to motorcycles and scooters. Being able to produce a low-priced car is huge for Tata Motors considering the majority of India and China’s adult population do not own a car. Producing the lowest priced car on the market is putting Tata Motors in a position to corner the market in India and China. Also a huge opportunity for Tata Motors is that there are

As the world grows smaller through interconnectivity, the only real option these big car companies have left to grow is to expand internationally. This alliance is a good way to expand into new markets with partners who have experience conducting business in vastly different markets. Seeing as both companies have placed sufficient trust in one another to share technology and resources there is a much greater guarantee that this partnership will outlast the one Fiat had with General Motors.

Late accentuation on worldwide environmental change is expanding weight on automotive executives to make the right decisions in many areas to settle on the right choices in numerous zones, including R&D and assembling. Shiv industry is the automotive parts industry face challenges from the lower end competition comes from the unorganized sector and the higher end of technology competition comes from more evolved industries in the current Indian scenario. Indeed, discharge level targets, presently being referred to, undermine to change the whole structure of the car business. These difficulties hit an industry effectively tormented with high expenses, low profit margins, and accelerating competition. In the interim, numerous others are experiencing some type of rebuilding. General macroeconomic and budgetary circumstances are not so much positive, either. The expense of vitality and crude materials keeps on expanding because of rising worldwide interest. Solid vacillations in return and interest rates posture another test and are troublesome and excessive against which to support. In this dynamic business environment, a predominant supply chain is one basic component to helping automakers separate themselves from the opposition. Actually, a number of patterns in the car business are strengthening the need to reclassify supply chain techniques, designs,

According to the Ministry of Commerce and Industry, the automobile industry in India has seen a tremendous compound growth at the rate of 22 % between the year 1992 and 1997. Furthermore, the annual turnover of the automobile sector in India, in the financial year 2002-2003, is said to have surpassed the capital investment of Rs 50,000 crore. With Indian automobile corporations gaining international market, the turnover in the similar year was calculated to be Rs. 59,518 crore. The Indian automobile industry will be a standout amongst the leading in the globe. Those business accounts to 7. 1 percentage of the country 's horrible down home item (GDP). Likewise around FY 2014-15, around 31 % of little autos sold comprehensively need aid made over India. The two Wheelers section with 81 percentage business sector allotment is the pioneers of the Indian car business owing with a developing white collar class What 's more an adolescent populace. Moreover, the developing investment of the organizations in exploring those provincial business sectors further helped those development of the division. Those Generally speaking passementerie vehicle (PV) section need 13 percentage business stake. India may be also a conspicuous auto exporter and need solid fare growth desires for those close future. Clinched together with April-January 2016, fares of business Vehicles enrolled a Growth from claiming 18. 36 % through April-January 2015.

Fiat is an international group of company specializing in designing and manufacturing of auto-cars. The company sells auto-cars for the mass markets, which include Fiat, Lancia, Alfa Romeo, Abarth as well as luxury cars such as Ferrari and Meserati brands. To enhance global competitive market advantages, the group has expanded its brand and reaching the alliance with Chrysler, Dodge, Jeep, SRT and Ram brand vehicles. Fiat group also operates within the components system of Teksid and Magneti Marelli. Following the acquisition of majority of the shares of Chrysler, Fiat has accelerated its objective by creating global competitive advantages. In 2011, the group sold more than 4 million vehicles making the company to be ranked as the 7th largest automobile company globally. With alliance of Fiat and Chrysler, the group has possessed the latest innovative and technologies to design and manufacture cars that could command competitive market advantages.

1. Given that, Fiat existed and operated in India for long why did it decide to form a strategic alliance with Tata?

"Dream-dream and dream, because dream gives vision, vision gives thoughts and finally thoughts lead to the action". Each letter of these motivational words said by India 's former President Dr. A.P.J. Abdul Kalam goes exactly with Mr. Ratan Tata, Chairman of Tata group, who in the year 2003, dreamt of producing a safe, affordable Car for the common man. Finally after the wait of five years, crossing all financial and technological barriers, Ratan Tata kept his promise and unveiled Tata Nano on 10th January 2008, at the 9th Auto Expo 2008 in New Delhi. Tata Nano car, cool & smart, launched by Tata Motors is world 's cheapest Car with a price tag of $ 2500. The dream of People 's Car has come true.

The Automobile Industry in India is attaining significant growth at a rapid pace with broadening domestic and international markets in the past 15 years. This industry, at present has achieved a turnover of Rs. 1,65,000 crores. An investment of Rs. 50000 crores has already been made and another Rs. 35000 crore is in the conduit. This industry caters to a labour utilization to the tune of 1.31 crore people with 17% contribution to the indirect taxes.