THE PEOPLE’S CAR
COMPANY PROFILE
 Jameshedji Nusserwaji Tata, Father of Indian Industry is the
legendary who has started TATA Group of Companies in year
1868.
 In 1991 Tata Motors was listed in New York Stock Exchange.
 TATA is mainly in to seven Business Sectors like
communications and information technology, engineering,
materials, services, energy, consumer products and chemicals.
TATA MOTORS
•TATA Motors formerly called TATA Engineering and Locomotives Ltd (TELCO).
•TATA Motors is India’s largest automobile company.
•TATA is mainly in to seven Business Sectors like communications and information
technology, engineering, materials, services, energy, consumer products and
chemicals.
MILESTONE
•Acquisition of Jaguar and Land Rover is major for TATA Motors.
•NANO the cheapest car.
•Mr. Ratan Tata, The Chairman is called the HERO for the Indian Business.
NANO INTRO
 The term NANO is derived from the fact that Nano is superior technology
which is small in size.
 Nano popularly called the People’s car.
OBJECTIVE AND MISSION:
 Mr. Ratan Tata, had dream of a family car which can be purchased at
affordable price middle class people.
 The objective of Tata Motors and Ratan Tata is to release the car to reach
the standards of its customers.
TYPES
Model Name Basic Models Nano CX
model
Nano LX model
COST Rs. 1,36,000 Rs. 1,60,000 Rs. 1,84,600
COLOR Ivory White
Racing Red
Summer Blue
Ivory White
Racing Red
Summer Blue
Gold
Lunar Silver
Sunshine Yellow
Champange Yellow
Lunar Silver
SWOT ANALYSIS
Strengths:
 Affordable Price
 Easy for Parking
 Brand
 Innovation
 Fuel Efficiency (Mileage)
F I V E FO RC ES M O D E L TO A N A LYZ E T H E ECO N O M I C A N D M A R K E T
FO RC ES T H AT W I L L U LT I M AT E LY I N F LU E N C E A N I N D U ST RY ’ S
P RO F I T P OT E N T I A L .
T H O S E F I V E FO RC ES A R E :
•T H R EAT O F N E W E N T R A N T S
•B A RG A I N I N G P OW E R O F S U P P L I E RS
•B A RG A I N I N G P OW E R O F B U Y E RS
•T H R EAT O F S U B ST I T U T E P RO D U C T S O R S E RV I C ES
•D EG R E E O F R I VA L RY A M O N G E X I ST I N G CO M P E T I TO RS
Competitive Analysis of TATA Nano using Porter
Five forces
Threat of new entrants is influenced by
Overall Rating: LOW
Factors Tata NANO Advantages Threat of new entrants
Entry Deterring Price Yes, The Price is Rs 130,000. Low
Retaliation by TATA in case
of competition
Yes, because of large
resources.
Low
High Entry Costs Yes, TATA spent Rs 17oo*
crore as initial investment +
4 years on research
Medium because of reverse
engineering process and
availability of resources.
Experience HIGH because of its parent
experience(TATA Motor)
Low
Other Cost advantages Yes** Low
Bargaining power of buyers is influenced by
Overall Rating: LOW
Factors Tata NANO Advantages Buyer Power
Differentiation Price , Durability , Brand equity Low
Concentration Large number of consumers Low
Profitability Easy Availability of loans Low
Quality •Car has passed the full frontal
crash and side impact crash
•Passed Govt. Test of
emission,noise and vibration
Low
Threat of Substitute product is influenced by
Overall Rating: LOW
Factors Threat of substitute
Availability Same category -NO low
Other Category substitutes Yes, but, minimal extent e,g.
High end bikes and other car
models like Reva,Alto
Medium
Time Lag in availability of
same category product
High Low
Quality of substitute Quality influences the
customer.
Low in short term
Rivalry among existing competitors is influenced by
Overall Rating: MEDIUM
Factors Rivalry among existing
competitors
Brand Image Brand equity influences the
customer
Low among same category
No. of Competitors Negligible in short term low
Size of payoff Depends on Volume Low
Switching costs Medium as customers can
switch to other products
Medium
Origin of competitors Diverse High

SWOT Analysis - Nano car

  • 1.
  • 2.
    COMPANY PROFILE  JameshedjiNusserwaji Tata, Father of Indian Industry is the legendary who has started TATA Group of Companies in year 1868.  In 1991 Tata Motors was listed in New York Stock Exchange.  TATA is mainly in to seven Business Sectors like communications and information technology, engineering, materials, services, energy, consumer products and chemicals.
  • 3.
    TATA MOTORS •TATA Motorsformerly called TATA Engineering and Locomotives Ltd (TELCO). •TATA Motors is India’s largest automobile company. •TATA is mainly in to seven Business Sectors like communications and information technology, engineering, materials, services, energy, consumer products and chemicals. MILESTONE •Acquisition of Jaguar and Land Rover is major for TATA Motors. •NANO the cheapest car. •Mr. Ratan Tata, The Chairman is called the HERO for the Indian Business.
  • 4.
    NANO INTRO  Theterm NANO is derived from the fact that Nano is superior technology which is small in size.  Nano popularly called the People’s car. OBJECTIVE AND MISSION:  Mr. Ratan Tata, had dream of a family car which can be purchased at affordable price middle class people.  The objective of Tata Motors and Ratan Tata is to release the car to reach the standards of its customers.
  • 5.
    TYPES Model Name BasicModels Nano CX model Nano LX model COST Rs. 1,36,000 Rs. 1,60,000 Rs. 1,84,600 COLOR Ivory White Racing Red Summer Blue Ivory White Racing Red Summer Blue Gold Lunar Silver Sunshine Yellow Champange Yellow Lunar Silver
  • 6.
    SWOT ANALYSIS Strengths:  AffordablePrice  Easy for Parking  Brand  Innovation  Fuel Efficiency (Mileage)
  • 7.
    F I VE FO RC ES M O D E L TO A N A LYZ E T H E ECO N O M I C A N D M A R K E T FO RC ES T H AT W I L L U LT I M AT E LY I N F LU E N C E A N I N D U ST RY ’ S P RO F I T P OT E N T I A L . T H O S E F I V E FO RC ES A R E : •T H R EAT O F N E W E N T R A N T S •B A RG A I N I N G P OW E R O F S U P P L I E RS •B A RG A I N I N G P OW E R O F B U Y E RS •T H R EAT O F S U B ST I T U T E P RO D U C T S O R S E RV I C ES •D EG R E E O F R I VA L RY A M O N G E X I ST I N G CO M P E T I TO RS Competitive Analysis of TATA Nano using Porter Five forces
  • 8.
    Threat of newentrants is influenced by Overall Rating: LOW Factors Tata NANO Advantages Threat of new entrants Entry Deterring Price Yes, The Price is Rs 130,000. Low Retaliation by TATA in case of competition Yes, because of large resources. Low High Entry Costs Yes, TATA spent Rs 17oo* crore as initial investment + 4 years on research Medium because of reverse engineering process and availability of resources. Experience HIGH because of its parent experience(TATA Motor) Low Other Cost advantages Yes** Low
  • 9.
    Bargaining power ofbuyers is influenced by Overall Rating: LOW Factors Tata NANO Advantages Buyer Power Differentiation Price , Durability , Brand equity Low Concentration Large number of consumers Low Profitability Easy Availability of loans Low Quality •Car has passed the full frontal crash and side impact crash •Passed Govt. Test of emission,noise and vibration Low
  • 10.
    Threat of Substituteproduct is influenced by Overall Rating: LOW Factors Threat of substitute Availability Same category -NO low Other Category substitutes Yes, but, minimal extent e,g. High end bikes and other car models like Reva,Alto Medium Time Lag in availability of same category product High Low Quality of substitute Quality influences the customer. Low in short term
  • 11.
    Rivalry among existingcompetitors is influenced by Overall Rating: MEDIUM Factors Rivalry among existing competitors Brand Image Brand equity influences the customer Low among same category No. of Competitors Negligible in short term low Size of payoff Depends on Volume Low Switching costs Medium as customers can switch to other products Medium Origin of competitors Diverse High