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tionships with existing customers (base management). Once a marketer has converted the
prospective buyer, base management marketing takes over. The process for base management
shifts the marketer to building a relationship, nurturing the links, enhancing the benefits that sold
the buyer in the first place, and improving the product/service continuously to protect the
business from competitive encroachments.
For a marketing plan to be successful, the mix of the four "Ps" must reflect the wants and desires
of the consumers or Shoppers in the target market. Trying to convince a market segment to buy
something they don't want is extremely expensive and seldom successful. Marketers depend on
insights from marketing research, both formal and informal, to determine what consumers want
and what they are willing to pay for. Marketers hope that this process will give them a
sustainable competitive advantage. Marketing management is the practical application of this
process. The offer is also an important addition to the 4P's theory.
The American Marketing Association (AMA) states, "Marketing is an organizational function
and a set of processes for creating, communicating and delivering value to customers and for
managing customer relationships in ways that benefit the organization and its stakeholders.
1

2. Marketing methods are informed by many of the social sciences, particularly psychology,
sociology, and economics. Anthropology is also a small, but growing influence. Market research
underpins these activities. Through advertising, it is also related to many of the creative arts.
Marketing is a wide and heavily interconnected subject with extensive publications. It is also an
area of activity infamous for re-inventing itself and its vocabulary according to the times and the
culture.
Concept of Marketing
"Marketing" is an instructive business domain that serves to inform and educate target markets
about the value and competitive advantage of a company and its products. “Value” is worth
derived by the customer from owning and using the product. “Competitive Advantage” is a
depiction that the company or its products are each doing something better than their competition
in a way that could benefit the customer.
Marketing is focused on the task of conveying pertinent company and product related
information to specific customers, and there are a multitude of decisions (strategies) to be made
within the marketing domain regarding what information to deliver, how much information to
deliver, to whom to deliver, how to deliver, when to deliver, and where to deliver. Once the
decisions are made, there are numerous ways (tactics) and processes that could be employed in
support of the selected strategies.
As Marketing is often misinterpreted as just advertising or sales, Chris Newton, in What is
marketing? (Marketing Help Online, 2008), defined marketing as every strategy and decision
made in the following twelve areas:
• Identifying and quantifying the need in the marketplace
• Identifying and quantifying the target markets
• Identifying the optimum cost effective media – online and offline - to reach the target
markets
• Reviewing the priorities of the product offering in your overall product mix ‘matrix’
• Identifying and developing the most effective distribution channels, be they wholesaler
networks, partnering alliances, franchising, or any number of conduits to the market.
2

3. • Testing different ways of packaging the concepts or products to find their most 'easy-to-
sell' form
• Testing to find the optimum pricing strategies
• Developing effective promotional strategies and effective advertising and supporting
collateral, offers, and launch strategies
• Developing and documenting the sales process
• Finding the optimum execution of the sales process – through testing of selling scripts,
people selection, supporting collateral, skills and attitudinal training, tracking, measuring
and refining
• Ensuring that sales projections reflect realistic production capacities
• Developing nurture programs to optimise the lifetime value of the customer
The goal of marketing is to build and maintain a preference for a company and its products
within the target markets. The goal of any business is to build mutually profitable and sustainable
relationships with its customers. While all business domains are responsible for accomplishing
this goal, the marketing domain bears a significant share of the responsibility.
Within the larger scope of its definition, marketing is performed through the actions of three
coordinated disciplines named: “Product Marketing”, “Corporate Marketing”, and “Marketing
Communications”.
3

4. Two levels of marketing
Strategic marketing: attempts to determine how an organization competes against its competitors
in a market place. In particular, it aims at generating a competitive advantage relative to its
competitors.
Operational marketing: executes marketing functions to attract and keep customers and to
maximize the value derived for them, as well as to satisfy the customer with prompt services and
meeting the customer expectations. Operational Marketing includes the determination of the
porter's five forces
Four Ps
In the early 1960s, Professor Neil Borden at Harvard Business School identified a number of
company performance actions that can influence the consumer decision to purchase goods or
services. Borden suggested that all those actions of the company represented a “Marketing Mix”.
Professor E. Jerome McCarthy, also at the Harvard Business School in the early 1960s,
suggested that the Marketing Mix contained 4 elements: product, price, place and promotion.
In popular usage, "marketing" is the promotion of products, especially advertising and branding.
However, in professional usage the term has a wider meaning which recognizes that marketing is
customer-centered. Products are often developed to meet the desires of groups of customers or
even, in some cases, for specific customers. E. Jerome McCarthy divided marketing into four
general sets of activities. His typology has become so universally recognized that his four
activity sets, the Four Ps, have passed into the language.
4

5. The four Ps are:
• Product: The product aspects of marketing deal with the specifications of the actual
goods or services, and how it relates to the end-user's needs and wants. The scope of a
product generally includes supporting elements such as warranties, guarantees, and
support.
• Pricing: This refers to the process of setting a price for a product, including discounts.
The price need not be monetary - it can simply be what is exchanged for the product or
services, e.g. time, energy, psychology or attention.
• Promotion: This includes advertising, sales promotion, publicity, and personal selling,
branding and refers to the various methods of promoting the product, brand, or company.
• Placement: (or distribution): refers to how the product gets to the customer; for example,
point of sale placement or retailing. This fourth P has also sometimes been called Place,
referring to the channel by which a product or services is sold (e.g. online vs. retail),
which geographic region or industry, to which segment (young adults, families, business
people), etc. also referring to how the environment in which the product is sold in can
affect sales.
These four elements are often referred to as the marketing mix,[2]
which a marketer can use to
craft a marketing plan.
The four Ps model is most useful when marketing low value consumer products. Industrial
products, services, high value consumer products require adjustments to this model. Services
marketing must account for the unique nature of services.
Industrial or B2B marketing must account for the long term contractual agreements that are
typical in supply chain transactions. Relationship marketing attempts to do this by looking at
marketing from a long term relationship perspective rather than individual transactions.
5

6. As a counter to this, Morgan, in Riding the Waves of Change (Jossey-Bass, 1988), suggests that
one of the greatest limitations of the 4 Ps approach "is that it unconsciously emphasizes the
inside–out view (looking from the company outwards), whereas the essence of marketing should
be the outside–in approach". Nevertheless, the 4 Ps offer a memorable and workable guide to the
major categories of marketing activity, as well as a framework within which these can be used.
Seven Ps
As well as the standard four P's (Product, Pricing, Promotion and Place), services marketing calls
upon an extra three, totaling seven and known together as the extended marketing mix. These
are:
• People: Any person coming into contact with customers can have an impact on overall
satisfaction. Whether as part of a supporting service to a product or involved in a total
service, people are particularly important because, in the customer's eyes, they are
generally inseparable from the total service . As a result of this, they must be
appropriately trained, well motivated and the right type of person. Fellow customers are
also sometimes referred to under 'people', as they too can affect the customer's service
experience, (e.g., at a sporting event).
• Process: This is the process(es) involved in providing a service and the behaviour of
people, which can be crucial to customer satisfaction.
• Physical evidence: Unlike a product, a service cannot be experienced before it is
delivered, which makes it intangible. This, therefore, means that potential customers
could perceive greater risk when deciding whether to use a service. To reduce the feeling
of risk, thus improving the chance for success, it is often vital to offer potential customers
the chance to see what a service would be like. This is done by providing physical
evidence, such as case studies, testimonials or demonstrations.
6

7. Four New Ps
• Personalization: It is here referred customization of products and services through the
use of the Internet. Early examples include Dell on-line and Amazon.com, but this
concept is further extended with emerging social media and advanced algorithms.
Emerging technologies will continue to push this idea forward.
• Participation: This is to allow the customer to participate in what the brand should stand
for; what should be the product directions and even which ads to run. This concept is
laying the foundation for disruptive change through democratization of information.
• Peer-to-Peer: This refers to customer networks and communities where advocacy
happens. The historical problem with marketing is that it is “interruptive” in nature,
trying to impose a brand on the customer. This is most apparent in TV advertising. These
“passive customer bases” will ultimately be replaced by the “active customer
communities”. Brand engagement happens within those conversations. P2P is now being
referred as Social Computing and is likely to be the most disruptive force in the future of
marketing.
• Predictive modeling: This refers to algorithms that are being successfully applied in
marketing problems (both a regression as well as a classification problem).
Product
Steps in product design
• Design and development of product ideas.
• Selection of and sifting through product ideas.
• Design and testing of product concept.
• Analysis of business instead of product concept.
• Design and testing of emotional product.
7

8. Packaging
Requirements of good packaging
• Functional - effectively contain and protect the contents
• Provide convenience during distribution, sale, opening, use, reuse, etc.
• Be environmentally responsible
• Be cost effective
• Appropriately designed for target market
• Eye-catching (particularly for retail/consumer sales)
• Communicate attributes and recommended use of the product and package
• Compliant with retailers' requirements
• Promotes image of enterprise
• Distinguishable from competitors' products
• Meet legal requirements for product and packaging
• Point of difference in service and supply of product.
• For a perfect product, perfect colour.
Forms of packaging
• Specialty packaging — emphasizes the elegant character of the product
• Packaging for double-use
• Combination packaging two or more products packaged in the same container
• Kaleidoscopic packaging — packaging changes continually to reflect a series or
particular theme
• Packaging for immediate consumption — to be thrown away after use
• Packaging for resale — packed, into appropriate quantities, for the retailer or wholesaler
8

9. Trademarks
Significance of a trademark
• Distinguishes one company's goods from those of another
• Serves as advertisement for quality
• Protects both consumers and manufacturers
• Used in displays and advertising campaigns
• Used to market new products
Brands
A brand is a name, term, design, symbol, or other feature that distinguishes products and services
from competitive offerings. A brand represents the consumers' experience with an organization,
product, or service.
A brand has also been defined as an identifiable entity that makes a specific promise of value.
Co-branding involves marketing activity involving two or more products.
Pricing
Pricing refers to the amount of money exchanged for a product. This value is determined by
utility to the consumer in terms of money and/or sacrifice that the consumer is prepared to give
for it.
Objectives
• Increase sales volume
• Increase revenue
• Achieve or increase profits
• Increase or maintain market share
• Eliminate competition
9

10. • Achieve advantages of mass production
Factors influencing price-determination
• Production and distribution costs
• Substitute goods available
• Normal trade practices
• Fixed prices
• Reaction of distributors
• Reaction of consumers
• Nature of demand:
o elastic/inelastic
• Form of market:
o Perfect competition
o Monopolistic competition
o Monopoly
o Oligopoly
Steps to determine price
• Determine market share to be captured
• Set up price strategy
• Estimate demand
• Evaluate competitors' reactions
Distribution (Place)
Channels
• Manufacturer to consumer (most direct)
• Manufacturer to wholesaler to retailer to consumer (traditional)
• Manufacturer to agent to retailer to consumer (current)
• Manufacturer to agent to wholesaler to retailer to consumer
10

11. • Manufacturer to agent to customer ( ex : DCL,AMWAY )
Manufacturers
Reasons for direct selling methods
• Manufacturer wants to demonstrate goods.
• Wholesalers, retailers and agents not actively selling.
• Manufacturer unable to convince wholesalers or retailers to stock product.
• High profit margin added to goods by wholesalers and retailers.
• Middlemen unable to transport.
Reasons for indirect selling methods
• Manufacturer does not have the financial resources to distribute goods.
• Distribution channels already established.
• Manufacturer has no knowledge of efficient(specific) distribution.
• Manufacturer wishes to use capital for further production.
• Too many consumers in a large area; difficult to reach.
• Manufacturer does not have a wide assortment of goods to enable efficient marketing.
• Direct on-selling advantages.
Wholesalers
Reasons for using wholesalers
• Bear risk of selling goods to retailer or consumer
• Storage space
• Decrease transport costs
• Grant credit to retailers
• Able to sell for the manufacturers
• Give advice to manufacturers
• Break down products into smaller quantities
11

12. Reasons for bypassing wholesalers
• Limited storage facilities
• Retailers' preferences
• Wholesaler cannot promote products successfully
• Development of wholesalers' own brands
• Desire for closer market contact
• Position of power
• Cost of wholesalers' services
• Price stabilisation
• Need for rapid distribution
• Make more money
Ways of bypassing wholesalers
• Sales offices or branches
• Mail orders
• Direct sales to retailers
• Travelling agents
• Direct Orders
• Specific channel
Agents
• Commission agents work for anyone who needs their services. They do not acquire
ownership of goods but receive del credere commission.
• Selling agents act on an extended contractual basis, selling all of the products of the
manufacturer. They have full authority regarding price and terms of sale.
• Buying agents buy goods on behalf of producers and retailers. They have an expert
knowledge of the purchasing function.
• Brokers specialize in the sale of one specific product. They receive a brokerage.
12

13. • Factory representatives represent more than one manufacturer. They operate within a
specific area and sell related lines of goods but have limited authority regarding price and
sales terms.
Marketing communications
Marketing communications breaks down the strategies involved with marketing messages into
categories based on the goals of each message. There are distinct stages in converting strangers
to customers that govern the communication medium that should be used.
Advertising
• Paid form of public presentation and expressive promotion of ideas
• Aimed at masses
• Manufacturer may determine what goes into advertisement
• Pervasive and impersonal medium
Functions and advantages of successful advertising
• Task of the salesman made easier
• Forces manufacturer to live up to conveyed image
• Protects and warns customers against false claims and inferior products
• Enables manufacturer to mass-produce product
• Continuous reminder
• Uninterrupted production a possibility
• Increases goodwill
• Raises standards of living (or perceptions thereof)
• Prices decrease with increased popularity
• Educates manufacturer and wholesaler about competitors' offerings as well as
shortcomings in their own.
13

14. Objectives
• Maintain demand for well-known goods
• Introduce new and unknown goods
• Increase demand for well-known goods/products/services
Requirements of a good advertisement
• Attract attention (awareness)
• Stimulate interest
• Create a desire
• Bring about action
Eight steps in an advertising campaign
• Market research
• Setting out aims
• Budgeting
• Choice of media (television, newspaper, radio)
• Choice of actors (New Trend)
• Design and wording
• Co-ordination
• Test results
Personal sales
Oral presentation given by a salesman who approaches individuals or a group of potential
customers:
• Live, interactive relationship
• Personal interest
• Attention and response
• Interesting presentation
14

15. Sales promotion
Short-term incentives to encourage buying of products:
• Instant appeal
• Anxiety to sell
An example of this is coupons or a sale. People are given an incentive to buy, but it does not
build customer loyalty, nor encourage repeat buys in the future. A major drawback of sales
promotion is that it is easily copied by competition. It cannot be used as a sustainable source of
differentiation.
Marketing Public Relations (MPR)
• Stimulation of demand through press release giving a favourable report to a product
• Higher degree of credibility
• Effectively news
• Boosts enterprise's image
Customer focus
Many companies today have a customer focus (or customer orientation). This implies that the
company focuses its activities and products on consumer demands. Generally there are three
ways of doing this: the customer-driven approach, the sense of identifying market changes and
the product innovation approach.
In the consumer-driven approach, consumer wants are the drivers of all strategic marketing
decisions. No strategy is pursued until it passes the test of consumer research. Every aspect of a
market offering, including the nature of the product itself, is driven by the needs of potential
consumers. The starting point is always the consumer. The rationale for this approach is that
there is no point spending R&D funds developing products that people will not buy. History
attests to many products that were commercial failures in spite of being technological
breakthroughs.
15

16. A formal approach to this customer-focused marketing is known as SIVA[4]
(Solution,
Information, Value, Access). This system is basically the four Ps renamed and reworded to
provide a customer focus.
The SIVA Model provides a demand/customer centric version alternative to the well-known 4Ps
supply side model (product, price, place, promotion) of marketing management.
Product → Solution
Promotion → Information
Price → Value
Place → Access
The four elements of the SIVA model are:
1. Solution: How appropriate is the solution to the customer's problem/need?
2. Information: Does the customer know about the solution? If so, how and from whom do
they know enough to let them make a buying decision?
3. Value: Does the customer know the value of the transaction, what it will cost, what are
the benefits, what might they have to sacrifice, what will be their reward?
4. Access: Where can the customer find the solution? How easily/locally/remotely can they
buy it and take delivery?
This model was proposed by Chekitan Dev and Don Schultz in the Marketing Management
Journal of the American Marketing Association, and presented by them in Market Leader - the
journal of the Marketing Society in the UK.
The model focuses heavily on the customer and how they view the transaction.
Product focus
16

17. In a product innovation approach, the company pursues product innovation, then tries to develop
a market for the product. Product innovation drives the process and marketing research is
conducted primarily to ensure that a profitable market segment(s) exists for the innovation. The
rationale is that customers may not know what options will be available to them in the future so
we should not expect them to tell us what they will buy in the future. However, marketers can
aggressively over-pursue product innovation and try to overcapitalize on a niche. When pursuing
a product innovation approach, marketers must ensure that they have a varied and multi-tiered
approach to product innovation. It is claimed that if Thomas Edison depended on marketing
research he would have produced larger candles rather than inventing light bulbs. Many firms,
such as research and development focused companies, successfully focus on product innovation
(Such as Nintendo who constantly change the way Video games are played). Many purists doubt
whether this is really a form of marketing orientation at all, because of the ex post status of
consumer research. Some even question whether it is marketing.
• An emerging area of study and practice concerns internal marketing, or how employees
are trained and managed to deliver the brand in a way that positively impacts the
acquisition and retention of customers (employer branding).
• Diffusion of innovations research explores how and why people adopt new products,
services and ideas.
• A relatively new form of marketing uses the Internet and is called Internet marketing or
more generally e-marketing, affiliate marketing, desktop advertising or online marketing.
It typically tries to perfect the segmentation strategy used in traditional marketing. It
targets its audience more precisely, and is sometimes called personalized marketing or
one-to-one marketing.
• With consumers' eroding attention span and willingness to give time to advertising
messages, marketers are turning to forms of permission marketing such as branded
content, custom media and reality marketing.
• The use of herd behavior in marketing.
17

18. OBJECTIVES
18

19. Following are the objectives of the project:-
 To find the marketing techniques of Tata NANO
Finding out the marketing techniques which were successful in bringing out the world’s cheapest
car into the market, is the main objective of the project.
 To study the brand awareness
The brand awareness that Tata Co. successfully created among the general public with the help
of different media, is to be studied.
 To know the secret behind its popularity
Finding the secret behind NANO’s immense popularity is to be given emphasis on.
 To study the cost reduction techniques
It is to be thoroughly studied as to how the company managed to reduce the cost of production of
the car and bring down the market sales price to just Rs.1 lakh.
 To check its awareness among general public using questionnaires
The awareness of the product among the general public is to be checked, in order to find out the
intensity of its popularity.
 To analyze what makes NANO different from its competitors
Comparisons are to be made with the car’s competitors in order to find out its edge over them.
19

20. METHODOLOGY
TOOLS:
Questionnaire and other observations have been the tools used in the project. Out of 30
questionnaires distributed among selected respondents, 25 clear ones have been taken for the
analysis.
STATISTICAL TOOLS:
Bar diagrams and Pie diagrams are the statistical tools used in the project, for the analysis and
interpretation of the data collected from respondents.
SAMPLE UNIT:
The sample unit which has been used in the survey is the ‘Urban middle class’ people of
Chennai.
SAMPLE SIZE:
The sample size of the survey consists of 30 respondents who belong to the urban middle class.
20

21. SOURCES OF DATA:
Primary Source
Questionnaires have been the primary source of data for the project survey.
Secondary Source
The secondary data in the project includes data collected from Magazines, Newspapers and
Internet
KINDS OF RESPONDENTS:
The different kinds of respondents for the project survey have been the Working class, the Urban
Indian middle class and Other professionals.
21

22. LIMITATIONS
The obvious limitation is that the responses reflect those of a sample picked up from a small
geographic region. More importantly, the sample size is rather small and the results are not
statistically valid. The findings can nonetheless be considered as indicatory, though not
conclusive.
• The survey was conducted only in Chennai. Hence only minimum number of respondents
had been met.
• The sample of 25 respondents was limited to the smallest nature of sample and therefore
is a limitation.
• Biased opinion of some of the respondents
• Since the sales of Tata NANO has not yet commenced, the survey was restricted.
22

23. LITERATURE REVIEW
 The Automobile Industry
 Indian Automobile Industry
 Tata Company Profile
 A “People’s Car” named NANO
o Introduction
o History & conception
o The launch
o Features
o Controversies
o Competitors
o Comparison with MARUTI 800
23

24. THE AUTOMOBILE INDUSTRY
Automobiles as we know them today are the product of centuries of tinkering and innovation.
Automobile production has grown from small companies making simple so-called horseless
carriages to international corporations that mass-produce advanced, reliable automobiles for
consumers.
Early Automobile Concepts
In the 15th century, Italian inventor Leonardo da Vinci envisioned possibilities for power-driven
vehicles. By the late 17th century, English physicist Sir Isaac Newton had proposed a steam
carriage, and by the late 18th century French army captain Nicholas-Joseph Cugnot had actually
built one. By the mid-1800s, the popularity of steam vehicles began to decline because they were
dangerous to operate and difficult to maintain. At about the same time, inventors became
interested in the internal-combustion engine.
Robert Street of England filed a patent in 1794 that summarized how an internal-combustion
engine might work, but it was Belgian-born French inventor Jean-Joseph-Étienne Lenoir who
built the first commercially successful internal-combustion engine in 1859. Lenoir’s engine had a
carburetor that mixed liquid hydrocarbons, which formed a vapor. An electric spark in a cylinder
ignited the vapor. By 1876 German shop clerk Nikolaus August Otto had improved on Lenoir's
engine, and the Otto engine became the model of the internal-combustion engines used today.
Germans Gottlieb Daimler and Karl Benz attached motors to tricycles and automobiles, building
what are regarded as the first modern cars in 1885 and 1886 (DaimlerChrysler AG).
In America, lawyer George Baldwin Selden studied many of the European engines at the
Philadelphia Centennial Exposition of 1876, then redesigned what he considered to be the best
among them. He reduced the engine weight so it could power a light road vehicle. Selden
patented his engine, so he ultimately received a royalty, or small payment, for almost every car
made in the United States.
24

25. Why is that? Buckle up as we take an insider's look at road dangers, inspired by author Tom
Vanderbilt's new book "Traffic: Why We Drive the Way We Do (and What It Says About Us)."
Dispersal of hazardous chemicals
• State
• Impact
• Driving forces
• Pressure
• Response
Hazardous waste in the wrong places can represent a more serious danger to health and the
environment than ordinary waste does. This is because it contains toxic, inflammable, corrosive
or other hazardous chemicals. If hazardous waste is dumped with ordinary waste it may result in
the dispersal of harmful substances in the environment. They may spread via seepage of
contaminated water from landfills, or in the flue gases, ash or slag produced in the incineration
process. Hazardous waste which is disposed in the sewage may cause increased pollution of sea
and seabed due to malfunctioning of purifying plants.
Growth in consumption of hazardous waste
• State
• Impact
• Driving forces
• Pressure
• Response
The volume of waste in a society is closely related to its level of consumption. A growth in
consumption translates into a growth in waste. It also means more hazardous waste, especially
waste from consumer products. The amounts of hazardous waste generated are also closely
related to the development in business and industry. In Norway, we have experienced a
considerable increase in the amounts of hazardous waste generated by the offshore industry in
the 1990s.
25

26. More hazardous waste is processed now
• State
• Impact
• Driving forces
• Pressure
• Response
Today we have better knowledge of the hazardous properties of substances and what products
they are used in than earlier. This has led to an increase in the amounts of waste that are
classified as hazardous waste. We have for instance become aware that old insulating windows
contain such high amounts of PCB that they are classified as hazardous waste when they are to
be disposed of. Another example is the return schemes that provide consumers free delivery of
electrical/electronic (EE) waste. Consumers may deliver their old personal computers, mobile
telephones and so on to the distributors of such products who in turn are obliged to collect them.
The harmful components are segregated for special collection. In the old days entire TV sets
were simply dumped as household waste without removing the hazardous components.
26

27. Promoting sound management
• State
• Impact
• Driving forces
• Pressure
• Response
All sorts of measures are employed to promote proper handling of hazardous waste, including
special regulations, inspections and audits, industry-specific schemes, return schemes, taxes and
information.
Regulations
Under the Pollution Control Act the competent Norwegian authorities have issued regulations
concerning hazardous waste. These define waste categories and lay down rules for permits to
manage hazardous waste, the obligation to deliver hazardous waste, declaration, the
responsibilities of the municipalities, packaging, inspection and audit. Many other provisions
govern specific types of hazardous waste and associated problems, including batteries, waste oil,
oily water, photographic chemicals, amalgam, PCBs, CFCs, brominated flame retardants, fire
and explosion hazards, export and import, chemicals in general, warning labels and health,
environmental and safety activities in enterprises ("internal control").
Permits and licenses
A permit is normally required from the competent pollution control authorities before a
contractor may process hazardous waste. The Norwegian Pollution Control Authority issues
permits for collection and processing of hazardous waste, whilst the county governor issues
permits for the reception and temporary storage of hazardous waste. The permits specify criteria
that must be met to ensure proper handling.
27

28. Control and inspection
The pollution control authorities supervise and inspect all handling of hazardous waste.
Industry-specific schemes and taxation fees
Various industry-specific schemes and taxes are also used for hazardous waste. One provides for
a refund when waste oil is delivered to approve facilities. Another is an auto-industry return
scheme for lead accumulators and old insulating windows containing PCB.
Hazardous waste strategy
Measures are proposed for seven of the most dangerous types of hazardous waste. They include
waste that contains hazardous substances which could harm the environment and be injurious to
health. All these substances are included on the Norwegian List of Priority Substances.
The most important measures in the strategy are to:
• provide more information and guidance to the public and the industry
• improve the established return schemes and consider whether there is a need to establish
new schemes
• increase the quality of hazardous waste treatment
• simplify purchasing more environmentally sound products
• develop new regulations and instruments to lead to less use of chemicals in new products.
28

29. INDIAN AUTOMOBILE INDUSTRY
The automobile industry in India is the tenth largest in the world with an annual production of
approximately 2 million units. India is expected to overtake China as the world's fastest growing
car market in terms of the number of units sold and the automotive industry is one of the fastest
growing manufacturing sectors in India. Because of its large market, a low base of car ownership
and a surging economy, India has become a huge attraction for car manufacturers around the
world.
Though several major foreign automakers, like Ford, Suzuki, GM and Honda have their
manufacturing bases in India, Indian automobile market is dominated by domestic companies.
Maruti Suzuki is the largest passenger vehicle company, Tata Motors is the largest commercial
vehicle company while Hero Honda is the largest motorcycle company in India. Other major
Indian automobile manufacturers include Mahindra & Mahindra, Ashok Leyland and Bajaj Auto.
The automotive industry directly and indirectly employs 13 million individuals in India.While
automobiles were introduced to India in the late 1890's, the manufacturing industry only took off
after independence in 1947. The protectionist economic policies of the government gave rise in
1950s to the Hindustan Motors Ambassador, based on a 1950's Morris Oxford, and, is still
ubiquitous in the roads and highways of India. Hindustan Motors and a few smaller
manufacturers such as Premier Automobiles, Tata Motors, Bajaj Auto, Ashok and Standard
Motors held an oligopoly until India's initial economic opening in 1980s. The maverick Indian
politician Sanjay Gandhi championed the need for a "people's car"; the project was realized after
his death with the launch of a state-owned firm Maruti Udyog which quickly gained over 50%
market share. The Maruti 800 became popular because of its low price, high fuel efficiency,
reliability and modern features relative to its competition at the time. Tata Motors exported buses
and trucks to niche markets in the developing world.
The liberalization of 1991 opened the flood gates of competition and growth which have
continued up to today. The high growth in the Indian economy has resulted in all major
29

30. international car manufacturers entering the Indian market. General Motors, Ford, Toyota,
Honda, Hyundai and others set up manufacturing plants. Rolls Royce, Bentley and Maybach are
examples of the few high end automobile manufacturers which entered India in the recent years.
The Tata Nano is at the lower end of the price range costing approx US$ 2,500 and Bugatti
Veyron at the other with a price tag of over US$ 2 million.
India's love affair with the automobile is famously embodied in 1920s Rolls Royce collections of
the erstwhile maharajas. The growing middle class aspires for the automobile for its convenience
and as a status symbol. Upper middle class and wealthy car owners employ full-time chauffeurs
to navigate the aggressive and seemingly lawless traffic patterns of most cities. The construction
of expressways such as the Mumbai-Pune expressway has opened up new touring opportunities.
The expected launch of a Formula One circuit in New Delhi is expected to spark public
enthusiasm for a motor sporting industry.
30

31. TATA COMPANY PROFILE
Tata Motors Limited is India’s largest automobile company, with revenues of Rs. 35651.48
crores (USD 8.8 billion) in 2007-08. 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. The company is the world’s fourth largest truck manufacturer,
and the world’s second largest bus manufacturer.
The company’s 23,000 employees are guided by the vision to be “best in the manner in which
we operate, best in the products we deliver, and best in our value system and ethics.”
Established in 1945, Tata Motors’ presence indeed cuts across the length and breadth of India.
Over 4 million Tata vehicles ply on Indian roads, since the first rolled out in 1954. The
company’s manufacturing base in India is spread across Jamshedpur (Jharkhand), Pune
(Maharashtra), Lucknow (Uttar Pradesh) and Pantnagar (Uttarakhand). Following a strategic
alliance with Fiat in 2005, it has set up an industrial joint venture with Fiat Group Automobiles
at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and Fiat powertrains. The
company is establishing two new plants at Dharwad (Karnataka) and Singur (West Bengal).
The company's dealership, sales, services and spare parts network comprises over 3500 touch
points; Tata Motors also distributes and markets Fiat branded cars in India.
Tata Motors, the first company from India’s engineering sector to be listed in the New York
Stock Exchange (September 2004), has also emerged as an international automobile company.
Through subsidiaries and associate companies, Tata Motors has operations in the UK, South
Korea, Thailand and Spain. Among them is Jaguar Land Rover, a business comprising the two
iconic British brands that was acquired in 2008. In 2004, it acquired the Daewoo Commercial
Vehicles Company, South Korea’s second largest truck maker. The rechristened Tata Daewoo
Commercial Vehicles Company has launched several new products in the Korean market,
while also exporting these products to several international markets. Today two-thirds of heavy
commercial vehicle exports out of South Korea are from Tata Daewoo. In 2005, Tata Motors
31

32. acquired a 21% stake in Hispano Carrocera, a reputed Spanish bus and coach manufacturer,
with an option to acquire the remaining stake as well. Hispano’s presence is being expanded in
other markets. In 2006, it formed a joint venture with the Brazil-based Marcopolo, a global
leader in body-building for buses and coaches to manufacture fully-built buses and coaches for
India and select international markets. In 2006, Tata Motors entered into joint venture with
Thonburi Automotive Assembly Plant Company of Thailand to manufacture and market the
company’s pickup vehicles in Thailand. The new plant of Tata Motors (Thailand) has
begun production of the Xenon pickup truck, with the Xenon having been launched in Thailand
at the Bangkok Motor Show 2008.
Tata Motors’ is also expanding its international footprint, established through exports since
1961. The company’s commercial and passenger vehicles are already being marketed in several
countries in Europe, Africa, the Middle East, South East Asia, South Asia and South America.
It has franchisee/joint venture assembly operations in Malaysia, Kenya, Bangladesh, Ukraine,
Russia and Senegal.
The foundation of the company’s growth over the last 50 years 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. With over 2,500 engineers and scientists, the company’s
Engineering Research Centre, established in 1966, has enabled pioneering technologies and
products. The company today has R&D centres in Pune, Jamshedpur, Lucknow, in India, and in
South Korea, Spain, and the UK. It was Tata Motors, which developed 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. Within two years of launch, Tata Indica
became India’s largest selling car in its segment. In 2005, Tata Motors created a new segment
by launching the Tata Ace, India’s first indigenously developed mini-truck
In January 2008, Tata Motors unveiled its People’s Car, the Tata Nano, which India and the
world have been looking forward to. A development, which signifies a first for the global
automobile industry, the Nano brings the comfort and safety of a car within the reach of
thousands of families. When launched in India later in 2008, the car will be available in both
32

33. standard and deluxe versions. The standard version has been priced at Rs.100,000 (excluding
VAT and transportation cost).
Designed with a family in mind, it has a roomy passenger compartment with generous leg
space and head room. It can comfortably seat four persons. Its mono-volume design will set a
new benchmark among small cars. Its safety performance exceeds regulatory requirements in
India. Its tailpipe emission performance too exceeds regulatory requirements. In terms of
overall pollutants, it has a lower pollution level than two-wheelers being manufactured in India
today. The lean design strategy has helped minimise weight, which helps maximise
performance per unit of energy consumed and delivers high fuel efficiency. The high fuel
efficiency also ensures that the car has low carbon dioxide emissions, thereby providing the
twin benefits of an affordable transportation solution with a low carbon footprint.
The years to come will see the introduction of several other innovative vehicles, all rooted in
emerging customer needs. Besides product development, R&D is also focussing on
environment-friendly technologies in emissions and alternative fuels.
Through its subsidiaries, the company is engaged in engineering and automotive solutions,
construction equipment manufacturing, automotive vehicle components manufacturing and
supply chain activities, machine tools and factory automation solutions, high-precision tooling
and plastic and electronic components for automotive and computer applications, and
automotive retailing and service operations.
True to the tradition of the Tata Group, Tata Motors is committed in letter and spirit to
Corporate Social Responsibility. It is a signatory to the United Nations Global Compact, and is
engaged in community and social initiatives on labour and environment standards in
compliance with the principles of the Global Compact. In accordance with this, it plays an
active role in community development, serving rural communities adjacent to its manufacturing
locations.
With the foundation of its rich heritage, Tata Motors today is etching a refulgent future
33

34. A “People’s Car” named NANO
INTRODUCTION
The Strategy Behind NANO
The media is raising a lot of hue and cry over the latest innovation from the Tata and predicts
that NANO will send two-wheeler manufacturers into oblivion. But then this is too
oversimplified a story. The majority of the mass two-wheeler market exists in the ‘below Rs.0.40
lakh category’; and to a significant extent in the semi-urban and rural markets where upgrading
to an Rs.1 lakh car may still be too distant a dream. More so, the two products meet completely
different lifestyle needs with very little overlapping boundaries. Therefore, two-wheeler
manufacturers need not worry.
Then where lies the market for NANO? What segment is Ratan Tata eyeing at? Besides, the
Tatas also plan to take NANO to the global level. The car is not only the cheapest in India, but
also the cheapest in the world; cheaper than even some bicycles sold in Europe (Madone 5.2).
The car is expected to be a major hit in Latin America, Africa and South East Asia. Ratan Tata
also points out that several US and European car owners often prefer to possess a sub-compact
car as a second or third car. Such a discerning trend is emerging in other markets as well. NANO
could evolve under this category. The group even has plans to extend its manufacturing base
beyond Singur, in West Bengal; where commercial roll-out is expected in October 2008. It is
also rumoured that the Tatas are already holding talks for setting up a second manufacturing base
in Thailand. Given the enormous trust and commitment associated with the “Tata” brand even in
the global circles, the dream is not too far-fetched. As Ratan Tata once commented, “I am a
moderate risk taker but I am not risk averse, nor am I a gambler. If I believe in something, I
would pursue it vigorously.” (Hindustan Times, September 6, 2004).
34

35. What’s so NANO about it?
The core team initially experimented with a lot of innovative ideas like replacing steel with
engineering plastics or reducing metal gauge to break the price barrier. But toying around with
such amateurish ideas alone was just not enough. They needed to come out with something
radically different, in an industry which has matured since the launch of the Ford Model T in
1908. But then isn’t this being in a state of utopia, that too when the giants of Detroit, Japan and
Germany have failed to perform anything close to it? Ratan Tata refused to take a “no” for an
answer. That’s when “Nano” struck him.
Nano-technology broadly refers to a field of applied science and technology whose unifying
theme is the control of matter at the sub-atomic or molecular scale to the order of 10, and the
fabrication of devices with critical dimensions that lie within that size range. It is a highly multi-
disciplinary field, drawing from domains such as applied physics, material science, interface and
colloid science, device physics, self-replicating machines and robotics, chemical engineering,
mechanical engineering and electrical engineering. It follows broadly two approaches. In the
“bottom-up” approach, materials and devices are built from molecular components which
assemble themselves chemically by principles of molecular recognition. In the “top-down”
approach, nano-objects are constructed from larger entities without atomic-level control (which
incidentally is what the Tatas followed). Though by external appearance NANO looks a little
different from a typical four-wheeler, the use of nano-technology at multiple levels led to 34
patents being filed, and the delivering of a car at an unimaginable price of $2500. The resultant
effect is that it has become a global envy, and India’s pride. The prototype has already been
launched, leaving speculators and critics in awe.
35

36. HISTORY AND CONCEPTION
The project to create the world's most inexpensive car began in 2003, under the Chairman of
Tata Motors, Ratan Tata, inspired by the number of Indian families with two-wheeled rather than
four-wheeled transport. NANO's development has been tempered by the company's success in
producing the low cost 4 wheeled Ace truck in May 2005.
NANO was unveiled at the 2008 New Delhi Auto Expo
Contrary to speculation that the car might be a simple four-wheeled auto rickshaw, The Times of
India reported the vehicle is "a properly designed and built car". The Chairman is reported to
have said, "It is not a car with plastic curtains or no roof — it's a real car."
To achieve its design parameters, Tata has refined the manufacturing process, emphasized
innovation and sought new design approaches from suppliers. The car was designed at Italy's
Institute of Development in Automotive Engineering — with Ratan Tata requesting certain
changes, such the elimination of one of two windscreen wipers.
NANO has 21% more interior space and an 8% smaller exterior, when compared with its closest
rival, the Maruti 800. The car will come in different versions, including one standard and two
deluxe variants. The deluxe version will have air conditioning, but no power steering. The car is
expected to be produced in the Singur plant in West Bengal, which is under construction. The
initial production target set by Tata Motors is 250,000 units per year.
36

37. THE LAUNCH
Tata Motors non-committal on launch date of NANO
Tata Motors showcased NANO at the Delhi Auto Expo but the company is non-committal on the
date for the market launch of the car. Customers are getting ready to buy the car in September,
but it remains to be seen when they will be able to drive their dream.
While a large numbers of Indians are getting ready to own the world’s cheapest car ‘NANO’ in
September this year, but Tata Motors, the makers of this marvel are non-committal about the
exact date when the booking will start.
The company said that the booking will start in the later part of 2008 but the exact month has not
been decided as yet.
When asked whether car could be booked at the Tata dealers countrywide or new dealers will be
appointed, a company spokesperson, said that existing network will be able to serve the Nano
customers.
She, however, said that new dealerships could be added to meet excess demand if the need it felt,
but declined to identify the month when NANO will be launched in the market.
There is huge excitement in the country as well as abroad over the launch of NANO-the one-lakh
car.
Since, its launch by Ratan Tata, chairman Tata Motors at the Auto Expo in Delhi, the car has
managed to remain in the limelight in the national and international media. Huge crowds could
be witnessed at the Tata Motors stall at Pragati Maidan on Sunday, who wanted to have a
glimpse of NANO, dubbed as nothing short of revolutionary by the auto experts as well the
general populace.
37

38. Despite the low-price tag, the standard variant NANO is a four-door car that can seat four-five
passengers. As compared to MARUTI 800, it is eight per cent smaller from outside, but provides
21 per cent more leg space than the MARUTI 800 from inside.
It conforms to all the emission standards as well as the Offset and Side Crash norms followed
internationally. It is also compliant with the Bharat 3 norm and the Euro 4 norm with respect to
keeping pollution at bay.
It is a 33-bhp car with a 624 cc engine. It will provide a mileage of 23 km/litre.
Ratan Tata’s Quotes
“I observed families riding on two-wheelers – the father driving the scooter, his young kid
standing in front of him, his wife seated behind him holding a little baby. It led me to wonder
whether I could conceive of a safe, affordable, all-weather form of transport for such a family.
Tata Motor’s engineers and designers gave their all for about 4 years to realise this goal. Today,
we indeed have a People’s Car, which is affordable and yet built to meet safety requirements and
emission norms, to be fuel efficient and low on emissions”.
- Ratan Tata (Chairman, Tata Motors)
[after revealing the Rs.1 lakh car]
FEATURES
38

39. The first thing that strikes you about 'NANO' is that it is not a bad looking ugly boxy hatch but
for the price it’s quite proportionate and well styled. Its mono box design might seem boxy
but generates a lot of interior space which can seat four adults comfortably. It has four
doors, is 3.1 metres long and 1.5 metres wide with a height of 1.6 metres. 'NANO' has an
all aluminum two cylinder 623cc (33bhp) petrol engine mated with a four speed
manual gearbox. Company officials during the press conference confirmed that a diesel
engine is also on the cards but the timeframe hasn’t been chalked out yet. The NANO has
its engine at the rear and is a rear wheel drive car. That makes it sound like a small fun
hatch to run around town in.
Fuel efficiency is expected to be in the range of 18-20 kmpl and the NANO has been tested at a
top speed of 105 kmph by Tata Motors. The wheel size seems tiny at only 12 inches, shod with
MRF tubeless radials. The front tyres are narrower than those at the rear which are driven as
NANO is a rear wheel drive. The NANO's electrical would be powered by an Exide battery. The
rear looks very neat with a well crafted bumper integrated with the exhaust pipe in the centre.
NANO meets all emmission and safety norms including crash test norms in India and would be
geared to meet European & other country norms as and when it is launched internationally. The
car has a provision to be fitted with airbags and ABS however these are not being offered on any
variant in India as it is not yet mandatory for manufacturers to do so.
The base model would not have air conditioning. A deluxe model is planned which will feature
air-conditioning and more luxurious interiors however no power steering as their might be no
need for it in a light rear wheel drive car like NANO. NANO has a provision for a music system
with speakers located under the rear seats. These of course will cost more, and Tata hints that
profit will only come from these more expensive variants. Speaking of challenges faced during
NANO small car project Mr. Tata said that at no time did they feel that it wan not possible to
produce such a car however many a times they were faced with challenges in meeting cost and
time targets. NANO will be produced entirely at Tata’s Singur plant (West Bengal) which is
under construction and is going to have an annual capacity of 250,000-350,000 units. The plant
was flooded during the monsoon season however construction work is underway and it is
39

40. scheduled to be complete soon. As part of the cost-cutting exercise, 35 parts suppliers have
moved into the same complex, reducing transport costs and time delays dramatically. Tata has
filed for 34 patents for NANO most of which are for the powertrain. NANO will be sold in India
for two or three years before Tata look at selling it in Africa, Latin America and S.E Asia. The
possibility of a global distribution tie-up with Fiat seems strong.
The base model of Tata NANO will cost Rs. 1 lakh (ex-factory) and would attract 12.5% VAT +
Transport + Registration + Insurance costing to about Rs. 1.2 lakh on road in most Indian cities.
Buyers can queue up for NANO in the second half of the current financial year, when the car
goes into showrooms.
40

41. Rear mounted engine
The use of a rear mounted engine to help maximize interior space makes NANO similar to the
original Fiat 500, another technically innovative "people's car". A concept vehicle similar in
styling to NANO, also with rear engined layout was proposed by the UK Rover Group in the
1990s to succeed the original Mini but was not put into production. The eventual new Mini was
much larger and technically conservative. The independent, and now-defunct, MG Rover Group
later based their Rover CityRover on the Tata INDICA.
Tata is also reported to be contemplating offering a compressed air engine as an option
Technical specifications
According to Tata Group's Chairman Ratan Tata, NANO is a 33 PS (33 hp/24 kW) car with a
623 cc rear engine and rear wheel drive, and has a fuel economy of 4.55 L/100 km (21.97 km/L,
51.7 mpg (US), 62 mpg (UK)) under city road conditions, and 3.85 L/100 km on highways
(25.97 km/L, 61.1 mpg (US), 73.3 mpg (UK)). It is the first time a two-cylinder non-opposed
petrol engine will be used in a car with a single balancer shaft. Tata Motors has reportedly filed
34 patents related to the innovations in the design of Nano, with powertrain accounting for over
half of them. The head of Tata Motors' Engineering Research Centre, Girish Wagh has been
credited with being one of the brains behind NANO's design.
According to Tata, NANO complies with Bharat Stage-III and Euro-IV emission standards.
Ratan Tata also said, 'The car has passed the full-frontal crash and the side impact crash'.
41

42. Powertrain
• Engine:
o 2 cylinder petrol with Bosch multi-point fuel injection (single injector) all
aluminium 33 horsepower (25 kW) 624 cc (38 cu in)
o Value Motronic engine management platform from Bosch
o 2 valves per cylinder overhead camshaft
o Compression ratio: 9.5:1
o bore × stroke: 73.5 × 73.5 mm
o Power: 33 PS (33 hp/24 kW) @ 5500 rpm
o Torque: 48 N·m (35 ft·lbf) @ 2500 rpm
• Rear wheel drive, 4-speed manual transmission
• Steering: mechanical rack and pinion
Performance
• Acceleration: 0-70 km/h (43 mph): 14 seconds
• Maximum speed: 105 km/h (65 mph)
• Fuel economy (combined City + Highway): 30 kilometres per liter (5 L/100 km, 47 US
miles per gallon, 56 UK miles per gallon)
Suspension, tires and brakes
• Front brake: disc
• Rear brake: drum
• Front track: 1,325 mm (52.2 in)
• Rear track: 1,315 mm (51.8 in)
• Ground clearance: 180 mm (7.1 in)
• Front suspension: McPherson strut with lower A arm
• Rear suspension: Independent coil spring
• 12-inch wheels
42

43. Body and dimensions
• Seat belt: 4
• Trunk capacity: 15 L (0.53 cu ft)
SUPPLIERS TO TATA NANO
Supplier Product
Bosch Gasoline injection system (diesel will follow), starter, alternator, brake
system
Caparo Inner structural panels
Continental Gasoline fuel supply system, fuel level sensor
Delphi Instrument cluster
Denso Windshield wiper system (single motor and arm)
FAG Rear-wheel bearing
Ficosa Rear-view mirrors, interior mirrors, manual and CVT shifters, washer
system
Freudenberg Engine sealing
GKN Driveshafts
INA Shifting elements
43

44. ITW Deltar Outside and inside door handles
Johnson Controls Seating
Mahle Camshafts, spin-on oil filters, fuel filters and air cleaners
Saint-Gobain Glazing
TRW Brake system
Valeo Clutch sets
Vibracoustic Engine mounts
Visteon Air induction system
ZF Friedrichshafen
AG
Chassis components, including tie rods
Behr HVAC for the luxury version
CONTROVERSIES
Mass motorization and climate change
44

45. As NANO was conceived and designed around introducing the automobile to a sector of the
population who are currently using eco-friendly bicycles and motorcycles, environmentalists are
concerned that its extraordinarily low price might lead to mass motorization in countries like
India and therefore possibly aggravate pollution and global warming as well as increase the
demand for oil. Rajendra Pachauri, an Indian and chairman of the Intergovernmental Panel on
Climate Change, said he was "having nightmares" because of this car and added that the car
represents bankruptcy of India's environmental policy. The ecology focused German newspaper
die tageszeitung feels that such concerns are "inappropriate" as the Tata NANO has lower
emissions compared to the average Volkswagen, and that developing countries shouldn't be
denied the right to motorized mobility when industrialized countries should be looking to reduce
their emissions and usage of cars. Die Welt reports that the car conforms to environmental
protection, and will have the lowest emissions in India.
In crowded metropolitan cities like Mumbai, Ratan Tata has conceived a scheme to only offer
the Nano to those individuals who do not have an automobile already. NANO will also replace
many overloaded and worn-out two-stroke polluting vehicles, both two and three-wheeled.
In the current policy and regulatory framework, Centre for Science and Environment consider
that the low-cost cars will be disastrous. This can change if renewable energies are used. Tata
Motors is working with a French firm on using compressed air as fuel.
45

46. COMPETITORS
India's recent cut in excise tax small cars has encouraged several manufacturers to draw up plans
for small cars.
Bajaj Auto
Bajaj Auto-Renault-Nissan ULC (no prototype has yet been presented)
Bajaj Auto says its $2,500 car, which it is building with Renault and Nissan Motor, will aim at a
fuel-efficiency of 30 km/litre, or twice an average small car, and carbon dioxide emissions of
100 gm/km.
The Bajaj venture will have an initial capacity of 400,000 units, while Tata expects eventual
demand of 1 million NANOs.
Others
Rival car makers including Fiat, General Motors, Ford Motor, Hyundai and Toyota Motor have
all expressed interest in building a small car that is affordable to more middle-class consumers in
emerging markets. The bulk of demand there is for small cars because people are much more
sensitive to fuel prices.
Honda and Toyota are leading the way on cleaner gasoline-electric hybrids, and some
environmentalists argue getting prices down on these technologies is where efforts should be
concentrated.
46

47. Singur car factory land dispute
Controversies also arose about Tata's planned manufacturing unit for the car in Singur, West
Bengal, where the state government of West Bengal has allocated 997 acres (4.03 km²) to Tata
Motors. The construction of the car factory on that tract of land will require fertile agricultural
land and the expropriation and eviction of ca. 15,000 peasants and agricultural workers. The
affected farmers fear they will receive inadequate or no compensation and therefore lose their
livelihoods.
Activists near Kolkata, where Tata's manufacturing unit is located, started burning the car in
effigy. In New Delhi, a group of six women protested wearing T-shirts bearing slogans that said,
"The Rs.1 lakh car has Singur people's blood on it." The Trinamool Congress alleged that Tata
motors usurped the agrarian land for the construction site and has threatened to stall the
manufacture of the car. The 11 cases were dismissed.
Used Car Market Effects
The NANO is alleged to have severely affected the used car market in India, as many Indians opt
to wait for the NANO's release rather than buying used cars, such as the Maruti 800 (a rebadged
Suzuki ALTO), which is considered as the NANO's nearest competitor. Sales of new Maruti
800s have dropped by 20%, and used ones by 30% following the unveiling of the NANO. As one
automotive journalist summarises; “People are asking themselves – and us - why they should
pay, say, 250,000 Rupees for a Maruti ALTO, when they can wait and get a brand new NANO
for less in a few months’ time, a car that is actually bigger”.
47

48. COMPARISON WITH MARUTI 800
Basis Maruti 800 Tata NANO
Dimensions
Overall length 3.34 m 3.1 m
Overall height 1.4 m 1.6 m
Overall width 1.44 m 1.5 m
Engine
Type MPFI, Front wheel drive MPFI, Rear wheel drive
No. of cylinders 3 2
Engine size 796 cc 623 cc
Peak power 37 bhp 33 bhp
Transmission 4 – speed manual 4 – speed manual
Tyres Radial Tubeless
48

49. 49

50. ANALYSIS
50

51. What is income per annum?
Annual Income No. Of Respondents Percentage Of
Respondents
< than 1 lakh 1 4%
1-2 lakh 18 72%
2-3 lakh 3 16%
Above 3 lakh 3 16%
TOTAL 25 100%
Table: A
Chart: A
INTERPRETATION:
According to the respondents chosen for this survey, it can be observed that majority of 72% of
the respondents earns income between 1-2 lakh per annum; this was followed by 16% of
respondents who earned 2-3 lakh per annum; and another 16% who earned above 3 lakh and the
least no. of respondents who earned less than 1 lakh are 4%.
51

52. 11) How would you rate Mr.Ratan Tata’s marketing strategies?
Table: 11
Chart: 11
INTERPRETATION:
Opinion No.Of Respondents Percentage Of Respondents
Excellent 19 76%
Good 5 20%
Average 1 4%
TOTAL 25 100%
52

53. The above chart depicts that 76% of the respondents consider his marketing strategy as
excellent; while 20% think, strategies are good and the remaining 4% of the respondents rate
Mr.Tata’s strategies as average.
12) What do you think will be the future of Tata Co.?
Future No. Of Respondents Percentage Of Respondents
Flourishing 22 88%
Risky 3 12%
TOTAL 25 100%
Table: 12
Chart: 12
INTERPRETATION:
53

54. From the graph, we observe that a majority of 88% of the respondents depict the future of Tata
Co. as flourishing And the least no. of respondents i.e. 12%, think it’s risky. Hence, from the
analysis it is found that there is significant difference between the respondents opinion.
13) Do you believe that NANO would be a new automobile revolution, a dream come true?
Opinion No. Of Respondents Percentage Of Respondents
Yes 20 80%
No 5 20%
TOTAL 25 100%
Table: 13
Chart: 13
INTERPRETATION:
54

55. It can be inferred from the analysis that 80% of the respondents believe in NANO and also claim
that it has created a new automobile revolution, an Indian dream come true; and the remaining
20% do not believe so.
14) Will NANO’S bulk sales, be a threat to the environment?
Opinion No. Of Respondents Percentage Of Respondents
Yes 16 64%
No 9 36%
TOTAL 25 100%
Table: 14
Chart: 14
INTERPRETATION:
55

56. From the above table it can be observed that 64% of the respondents think, there will be a threat
to the environment if Nano if Nano’s sales shoots up; And the rest 36%, don’t think so.
56

57. 1) Are you aware of Tata’s NANO?
Opinion No. Of Respondents Percentage Of Respondents
Yes 25 100%
No 0 0%
TOTAL 25 100%
Table: 1
Chart: 1
INTERPRETATION:
Out of 25 respondents chosen for the survey, all the 100% of the respondents are aware about
NANO. This shows the popularity of TATA’S NANO in India and also helps them to cut down
there cost on promotional expenses.
57

58. 2) At what price it is quoted?
Price Quoted No. Of Respondents Percentage Of Respondents
Rs. 300000 1 4%
Rs. 200000 3 12%
Rs. 100000 20 80%
Don’t Know 1 4%
TOTAL 25 100%
Table: 2
Chart: 2
INTERPRETATION:
A highest of 80% respondents quotes the price of NANO at 1 lakh; while 12%, quote at 2 lakh;
where 4% respondents quote the price as 3 lakh; and the remaining 4% of the respondents are
not aware about the Nano’s price.
58

59. 3) How often do you change your car?
Opinion No. Of Respondents Percentage Of
Respondents
Once in a year 2 8%
Once in 2 year 6 24%
When the car
becomes
obsolete
17 68%
TOTAL 25 100%
Table: 3
Chart: 3
INTERPRETATION:
Out of all the respondents chosen for the survey, a highest of 68% respondents, change the car
when it becomes obsolete; while 24% change once in 2 year; and the remaining 8%once in a
year.
4) Through which media did you come to know about NANO?
59

60. Source Of Information No. Of Respondents
Percentage Of
Respondents
T.V 13 52%
Newspapers 7 28%
Magazines 3 12%
Other Sources 2 8%
TOTAL 25 100%
Table: 4
Chart: 4
INTERPRETATION:
From this study, it can be infeered that 52% of respondents knew about NANO through
television; while 28% are knowledge through newspaper; where 12% through magazines and
the remaining 8% through other sources such as hooding, etc.
5) Would you prefer NANO to two-wheeler?
60

61. Opinion No. Of Respondents Percentage Of
Respondents
Yes 15 60%
No 10 40%
TOTAL
25 100%
Table: 5
Chart: 5
INTERPRETATION:
In this study, 60% of the respondents would prefer purchasing NANO than a Two-wheeler and
the remaining 40% of the respondents accounted that they would rather prefer to buy a two-
wheeler.
61

62. 6) Which one would you prefer to own among the following?
Cars No. Of Respondents Percentage Of Respondents
Tata Nano 16 64%
Maruti 800 8 32%
REVA 1 4%
TOTAL 25 100%
Table: 6
Chart: 6
INTERPRETATION:
The above pie chart depicts that 64% of the respondents would prefer to own NANO; and
another 32%of respondents prefer Maruti 800 and the remaining 4% would like to own REVA.
Therefore, this research shows the popularity of NANO Before its Launch.
62

63. 7) Do you believe that NANO will cause less pollution, compared to two wheelers?
Table: 7
Chart: 7
INTERPRETATION:
Majority of 72% of the respondents believe that Nano will cause less pollution, as it was stated
by Mr.Tata and the rest 28% of the respondents do not believe that, two wheelers cause more
pollution than NANO.
8) Do think that NANO would be a big challenge to its competitors?
Opinion No. Of
Respondents
Percentage Of
Respondents
Yes 18 72%
No 7 28%
TOTAL 25 100%
Opinion No. Of
Respondents
Percentage Of
Respondents
Yes 16 64%
No 9 36%
TOTAL 25 100%63

64. Table: 8
Chart: 8
INTERPRETATION:
In this study, majority of the respondents i.e. 64% think that Nano will be a big challenge to its
competitors and the remaining 36% of the respondents think that it won’t create much
difference.
9) What prime feature do you think would help the car survive in the market?
Prime Features No. Of Respondents Percentage Of
Respondents
Attractive Design 21 84%
Compact Model 2 8%
Low Price 2 8%
64

65. TOTAL 25 100%
Table: 9
Chart: 9
INTERPRETATION:
The study suggests that 84% of the respondents felt Low Price would be the prime feature for
its survival, 8% think the car will survive because of its Compact Model and the remaining 8%
think the car will survive in the market for its Attractive Design.
10) Do you feel the quality has been compromised with the cost?
Opinion No. Of Respondents Percentage Of Respondents
Yes 8 32%
No 17 68%
TOTAL 25 100%
Table: 10
65

66. Chart: 10
INTERPRETATION:
While 32% of the respondents believe that the quality will be compromised with the cost,
And another majority of 68% respondent’s opinion is that, in spite of its low cost feature
NANO’S market entry will not be compromised with Quality.
15) Do you feel that TATA would lose customers because of the delay in its market entry?
Opinion No. Of Respondents Percentage Of Respondents
Yes 4 16%
No 21 84%
TOTAL 25 100%
Table: 15
66

67. Chart: 15
INTERPRETATION:
The above chart depicts that 16% of the respondents feel, TATA Motors will lose their
customers because of its delay in market entry and hence, it can be ascertained that majority
of 84% don’t think that Tata will lose their customers.
16) Do you have any plan of buying NANO in future?
Opinion No. Of Respondents Percentage Of Respondents
Yes 13 52%
No 5 20%
Undecided 7 28%
TOTAL 25 100%
Table: 16
67

68. Chart: 16
INTERPRETATION:
From the study, we derived that 52% of the respondents plan to buy Nano in future and the
least no.of the respondents 20% dont have any plan of buying Nano in future And the
remaining 28%, did not decide or rather ineffective of its market launch.
68

69. CONCLUSION
69

70. LATEST
Road finally cleared for Tatas to roll out NANO
{Monday, 08 September , 2008}
Kolkata: The road has been cleared for Tata Motors to roll out the world's cheapest car NANO
as planned following a far-reaching pact between the West Bengal government and the
opposition Trinamool Congress here Sunday night over the disputed farmland acquired for the
project at Singur.
West Bengal Governor Gopalkrishna Gandhi mediated the talks, held over three days since
Friday, that finally put an end to the protest that had started 28 months ago following the
acquisition of 997.11 acres of land at Singur, 40 km from here, for the car plant and ancillary
units.
Singur imbroglio resolved, Trinamool withdraws stir
After several rounds of talks full of twists and turns, the deal was clinched when Chief Minister
Buddhadeb Bhattacharjee and Trinamool chief Mamata Banerjee met in person in the study of
Raj Bhavan, the governor's official residence, to thrash out all remaining irritants.
Amid high drama late Sunday, it was Governor Gandhi, Mahatma Gandhi's grandson, who
mediated the marathon talks between the Left Front government and the Trinamool-backed
farmers' body Krishijami Jiban jibika Raksha Committee (KJJRC), told reporters that the
imbroglio was resolved.
70

71. Text of Singur agreement
As per the agreement, the state government will form a committee to look into the affected
farmers' demands. It will give its report in seven days. Till then the construction of the ancillary
units will be on hold, said Gandhi, with Bhattacharjee and Banerjee at his side.
The agreement said the government "has taken the decision to respond to the demand of those
farmers who have not received compensation, by means of land to be provided to the maximum
within the project area and the rest in adjacent areas as early as possible".
"Towards this, a committee will be constituted to ascertain the scope and settle the modalities
within a period of one week. During this time, the government will urge the vendors not to make
any construction," according to the text of the pact inked by Industries Minister Nirupam Sen
and Leader of Opposition Partha Chattopadhyay.
Banerjee said: "This is a great victory for all those who have been agitating for almost two and
half years. As the government has decided to provide land to the unwilling farmers, it is a big
outcome of the dialogue."
She soon left for Singur to formally call off the protest at the factory site.
The KJJRC had been agitating on the demand that 400 acres "forcibly" acquired by the
government from "unwilling farmers" for the project be returned.
Banerjee said the opposition also suggested that the ancillary units be shifted to a plot of land
opposite the project site. "But work in the mother plant can go on," she said.
The 110-minute tete-a-tete between Bhattacharjee and Banerjee in the presence of Gandhi and
his adviser for the talks, former justice Chittatosh Mukherjee, helped hammer out an "acceptable
formula," but soon after the Chief Minister left for his party headquarters, Banerjee did a volte-
face.
71

72. The discussions had led to an understanding that work would continue in the ancillary units
where construction had started, while those units yet to receive permission for starting work
would have to maintain status quo till the committee gave its report.
But Banerjee demanded that construction had to be stopped in all the units, forcing Bhattacharjee
to rush back to Raj Bhavan for one more round of talks and concede the demand to settle the
bitter controversy over farmland acquisition for the Rs.15 billion ($375 million) project.
The day saw intense negotiations by the Governor, who met Bhattacharjee Sunday morning for
an hour, before Banerjee arrived at 2.35 pm, and Bhattacharjee returned at 4.45 pm.
Several hours before the compromise was cobbled together, the Sri Lanka government invited
Tata Motors to relocate the car project to that country.
In New Delhi, Communist Party of India-Marxist (CPI-M) general secretary Prakash Karat broke
his silence on the controversy, saying his party wanted Tata Motors to stay in West Bengal.
And in Kolkata, the state committee of the ruling CPI-M-led Left Front met twice and advised
Bhattacharjee's government to be more flexible and find more land, if needed, to resolve the
issue.
The government had presented a package on Friday, including provision for shopping malls on a
plot adjacent to the NANO plant, for those farmers who had given their land.
The Tata group last week suspended work at the factory after farmers, protesting against land
acquisition, assaulted its employees, and threatened to relocate the project.
On Wednesday, a farmer, who had sold his land willingly for the project, committed suicide. His
three sons were employed at the NANO factory as security guards, and stood to lose their jobs if
the project was shifted.
Following the suicide, Singur people started coming out in support of the project that aims to
build the world's cheapest car at a dealer price of Rs 100,000.
72

73. THE ROAD AHEAD
With the Tatas having proven that manufacturing a standard car under $2500 is indeed a distinct
reality; this has paved the way for other players (Eg. Bajaj, Suzuki, Hyundai, Renault) to enter
the sub-small segment. While critics are already questioning the competitiveness of NANO;
Tata’s first mover advantage will be difficult to overtake. While some are also questioning the
superior rural penetration of Bajaj as a potential threat; the Tatas have proved the critics wrong
on several counts in recent times (the Tata INDICA is one such reminder). Further, given the
global attention that NANO has already drawn; the Tatas would be spending a miniscule
(average players in the car market spend over 4% in the initial years, followed by an average
ranging around 1.5%) amount to promote their product compared to what others would have to
dish out. Therefore, no matter how many brands enter this segment, the NANO will remain in
automobile history as a significant milestone; that something the world thought was unattainable,
was indeed possible. In Ratan Tata’s own words, “First people said it can’t be done, and then
they said it shouldn’t be done, and now that it is done, they say it shouldn’t be on the road”.
73

74. ANNEXURE
74

75. COVERING LETTER
Dear Sir/ Madam,
We, the IInd
year B.Com (Marketing Management) students of MOP Vaishnav
College, are conducting a survey as part of our project for Marketing Research
and Consumer Behaviour. The main objective of this is to check the impact of
the car Tata Nano amongst the general public. Our vital respondents are
working class people like you. Kindly help us go ahead with our project with
your opinions and suggestions, by filling the questionnaire fully that has been
enclosed.
Thanking you,
Yours truly,
Anita Bhattar
Parvathy Avanoor
Preety G
Rajkumari Agarwal
Sneha Mutha
IInd
year B.Com (MM)
M.O.P. Vaishnav College for Women (Autonomous)
Chennai
75

76. Questionnaire
Marketing Strategies of “TATA NANO”
Name :
Age :
Designation :
What is your income per annum?
a) Less than 1 lakh
b) 1 - 2 lakhs
c) 2 - 3 lakhs
d) Above 3 lakhs
76

77. 1. Are you aware of Tata’s NANO?
a) Yes
b) No
2. At what price is it quoted?
a) Rs.3,00,000
b) Rs.2,00,000
c) Rs.1,00,000
d) Don’t know
3. How often do you change your car?
a) Every year
b) Once in two years
c) When the car becomes obsolete
4. Through which media did you come to know about NANO?
a) T.V.
b) Newspapers
c) Magazines
d) Others ________
5. Would you prefer NANO to a two-wheeler?
a) Yes
b) No
6. Which one would you prefer to own among the following?
a) Tata NANO
b) Maruti 800
c) REVA
77

78. 7. Do you believe that NANO causes less pollution, compared to two-wheelers?
a) Yes
b) No
8. Do you think that NANO would be a big challenge to its competitors?
a) Yes
b) No
9. What prime feature do you think would help the car survive in the market?
a) Low price
b) Compact model
c) Attractive design
d) Others _________
10. Do you feel that quality has been compromised with the cost?
a) Yes
b) No
11. How would you rate Mr.Ratan Tata’s marketing strategies?
a) Excellent
b) Good
c) Average
d) Unsatisfactory
12. What do you think will be the future of Tata Co.?
a) Flourishing
b) Risky
78

79. 13. Do you believe that NANO would be a new automobile revolution, an Indian dream come
true?
a) Yes
b) No
14. As an aftermath of bulk sales of this car, do you think there will be a threat to the
environment?
a) Yes
b) No
15. Do you feel that Tata would lose customers because of the delay in its market entry?
a) Yes
b) No
16. Do you have any plan of buying NANO in future?
a) Yes
b) No
c) Undecided
Thank you for your valuable suggestions
79