AUTOMOBILE INDUSTRY

Tata Motors Ltd

 INTRODUCTION
• Tata Motors Ltd is a multinational corporation  headquartered
in Mumbai, India. Part of theTata Group, it was formerly known
as TELCO (TATA Engineering and Locomotive Company).

• Tata Motors is India’s largest automobile company, with

consolidated revenues of USD 20 billion in 2009-10. It is the leader
in commercial vehicles and among the top three in passenger
vehicles. Tata Motors has products in the compact, midsize car and
utility vehicle segments.

• The company is the world's fourth largest truck manufacturer, the

world's second largest bus manufacturer, and employs 24,000
workers. Since first rolled out in 1954, Tata Motors has produced
and sold over 4 million vehicles in India
 Continued..
• Established in 1945, when the company began
manufacturing locomotives, the company manufactured its first
commercial vehicle in 1954 in a collaboration with Daimler-Benz
 AG, which ended in 1969.

• Tata Motors in 2005, was ranked among the top 10 corporations in

India with an annual revenue of 320 billion. In 2010, Tata Motors
surpassed Reliance to win the coveted title of 'India's most valuable
brand' in a annual survey conducted by Brand Finance and The
Economic Times. 

• Tata Motors has auto manufacturing and assembly plants

in Jamshedpur, Pantnagar, Lucknow, Ahmedabad, Sanand, Dharwa
d and Pune in India, as well as in Argentina, South Africa and
Thailand.
 History of Tata motors
• Tata Motors is a part of the Tata Group manages its share-holding
through Tata Sons. The company was established in 1945 as a
locomotive manufacturing unit and later expanded its operations to
commercial vehicle sector in 1954 after forming a joint venture
with Daimler-Benz AG of Germany.

• Despite the success of its commercial vehicles, Tata realized his

company had to diversify and he began to look at other products.
Based on consumer demand, he decided that building a small car
would be the most practical new venture.

• So in 1998 it launched Tata Indica, India's first fully indigenous

passenger car. Designed to be inexpensive and simple to build and
maintain, the Indica became a hit in the Indian market. It was also
exported to Europe, especially the Uk and Italy.
 Acquisitions
• In 2004 Tata Motors acquired Daewoo's truck manufacturing
unit, now known as Tata Daewoo Commercial Vehicle, in
South Korea.

• In 2005, Tata Motors acquired 21% of Aragonese Hispano

Carrocera giving it controlling rights of the company.

• In 2007, Formed a joint venture with Marcopolo of Brazil and

introduced low-floor buses in the Indian Market.

• In 2008, Tata Motors acquired British Jaguar Land Rover (JLR),

which includes the Daimler and Lanchester brand names. 
10, Tata Motors acquired 80% stake in Italy-based design and engineering company Trilix for a consideration of €1.85 million. The acquisition is in line with the company’s objective to enhance its styling/design capabilities to global standa

Continued..
• In 2010, Tata Motors acquired 80% stake in
Italy-based design and engineering company
Trilix for a consideration of €1.85 million. The
acquisition is in line with the company’s
objective to enhance its styling/design
capabilities to global standards.
Expansion
 Continued..
• The FIRST generation Tata Indica V2's excellent fuel economy,
powerful engine and aggressive marketing strategy made it one of the
best selling cars in the history of the Indian automobile industry.

• After years of dominating the commercial vehicle market in India, Tata

Motors entered the passenger vehicle market in 1991 by launching
the Tata Sierra, a multi utility vehicle.

• After the launch of three more vehicles, Tata Estate (1992,

a stationwagon design based on the earlier 'TataMobile' (1989), a light
commercial vehicle), Tata Sumo (LCV, 1994) and Tata Safari (1998,
India's first sports utility vehicle).

• Tata launched the Indica in 1998, the first fully indigenous passenger

car of India
 Continued..
Though the car was initially panned by auto-analysts, the car's
excellent fuel economy, powerful engine and aggressive marketing
strategy made it one of the best selling cars in the history of the
Indian automobile industry.

• A newer version of the car, named Indica V2, was a major

improvement over the previous version and quickly became a
mass-favourite.

• Tata Motors also successfully exported large quantities of the car to

South Africa.

• The success of Indica in many ways marked the rise of Tata Motors.
 Joint Venture
• Tata Motors has formed a 51:49 joint venture in bus body building
with Marcopolo of Brazil. This joint venture is to manufacture and
assemble fully-built buses and coaches targeted at developing mass
rapid transportation systems.

• The joint venture will absorb technology and expertise in chassis

and aggregates from Tata Motors, and Marcopolo will provide
know-how in processes and systems for bodybuilding and bus body
design.

• Tata and Marcopolo have launched a low-floor city bus which is

widely used by Chennai, Chandigarh ,Delhi, Mumbai, Lucknow and
Bengaluru transport corporations. It's manufacturing facility is
based in Dharwad
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• Tata Motors also formed a joint
venture with Fiat and gained access to Fiat’s diesel
engine technology. 

• Tata Motors sells Fiat cars in India through a 50/50

joint venture Fiat Automobiles India Limited, and
is looking to extend its relationship with Fiat
and Iveco to other segments.

• Tata has also formed several JV's with many small

companies in various countries around the world.
 Tata’s global operations
• Tata Motors has been in the process of acquiring foreign brands to
increase its global presence. Through acquisition, Tata has
operations in the UK, South Korea, Thailand and Spain. Among
these acquisitions is Jaguar Land Rover, a business comprising two
struggling iconic British brands that was acquired from the Ford
Motor Company in 2008.

• In 2004, Tata acquired the Daewoo Commercial Vehicles Company,

South Korea’s second largest truck maker. The rebranded 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.
 Continued..
• In 2005, Tata Motors acquired a 21% controlling stake in Hispano
Carrocera, a Spanish bus and coach manufacturer.

• Tata Motors continued its market area expansion through the

introduction of new products such as buses (Starbus & Globus,
jointly developed with subsidiary Hispano Carrocera) and trucks
(Novus, jointly developed with subsidiary Tata Daewoo).

• In May, 2009 Tata unveiled the Tata World Truck range jointly
developed with Tata Daewoo . Debuting in South Korea, South
Africa, the SAARC countries and the Middle-East by the end of
2009. In 2006, Tata formed a joint venture with the Brazil-based
Marcopolo to manufacture fully-built buses and coaches for India
and other international markets.
 Continued..
• Tata Motors has expanded its production and assembly operations
to several other countries including South Korea, Thailand, South
Africa and Argentina and is planning to set up plants
in Turkey, Indonesia and Eastern Europe. 

• Tata also has franchisee/joint venture assembly operations in

Kenya, Bangladesh, Ukraine, Russia and Senegal. Tata has
dealerships in 26 countries across 4 continents. 

• Though Tata is present in many countries it has only managed to

create a large consumer base in the Indian Subcontinent,
namely India, Bangladesh, Bhutan, Sri Lanka and Nepal.

• Tata has a growing consumer base in Italy, Spain and South Africa.

Important developments
 Nano
• In January 2008, Tata Motors launched Tata Nano, the least
expensive production car in the world at about 120,000 (US
$3000).

• The city car was unveiled during the Auto Expo 2008

exhibition in Pragati Maidan, New Delhi.

• Tata has faced controversy over developing the Nano as some

environmentalists are concerned that the launch of such a
low-priced car could lead to mass motorization in India with
adverse effects on pollution and global warming.

• Tata has set up a factory in Sanand, Gujarat.

 Tata Ace

• Tata Ace, India's first indigenously developed sub-one

ton mini-truck, was launched in May 2005. The mini-truck
was a huge success in India with auto-analysts claiming that
Ace had changed the dynamics of the light commercial
vehicle (LCV) market in the country by creating a new
market segment termed the small commercial vehicle (SCV)
segment .
• By October 2005, LCV sales of Tata Motors had grown by
36.6 percent to 28,537 units due to the rising demand for
Ace.
• Ace is still a top seller for TML with 5 lakh units sold to date
(June 2010)
 Sales and service network
Tata Motors has more than 250 dealerships in
more than 195 cities across 27 states and
4 Union Territories of India.
It has the 3rd largest Sales and Service
Network after Maruti Suzuki and Hyundai.
Some famous products
Subsidiary brands