1 December 2009

Tushar Rastogi

Topics of Presentation.
Introduction.

Description about Tata Nano.

Why it is so cheap? Obstacles to Nano

6 Ms
Conclusions.

Introduction.

Dream-dream and dream, because dream gives vision, vision gives thoughts and finally thoughts lead to the action".
By India's former President Dr. A.P.J. Abdul Kalam

Dreams also give you an idea to change

yours and other life.

1 December 2009

Tushar Rastogi

An idea can change your LIFE

An idea can change your WIFE

An idea can also change OTHERS life

Seeds of the Dreams.

Mr. Ratan Tata

 Motivational words said by Dr. A.P.J. Abdul Kalam goes

exactly with Mr. Ratan Tata, Chairman of Tata group, who in the year 2003, dreamt of producing a safe, affordable Car for the common man. Finally after the wait of five years, crossing all financial and technological barriers, Ratan Tata kept his promise and unveiled Tata 'Nano' on 10th January 2008, at the 9th Auto Expo 2008 in New Delhi. Tata Nano, cool & smart, launched by Tata Motors is world's cheapest Car with a price tag of $ 2500

1 December 2009

Tushar Rastogi

Competencies of Tata Nano

Tata is now 57th most valuable brand globally livemint.com: April 22,

2008 The Tata groups intense activities in 2007 have seen it rising 45 places to No. 57 in Brand Finance Top 500 Global Brands Expectations According to one report, India as well as other nations, such as European nations[, have great expectations from the Nano and are keenly and eagerly eagerly awaiting it, especially the electric version of the Nano. Modular design
In fact, Tata envisions going even further, providing the tools for local mechanics to assemble the car in existing auto shops or even in new garages created to cater to remote rural customers. With the exception of Manjeet Kripalani, BusinessWeek's India bureau chief, few have focused on this breakthrough element of the Nano innovation (BusinessWeek.com, 1/10/08).

Competencies of Tata Nano

Pricing strategy

Tata initially targeted the vehicle as "the least expensive production car in the world" aiming for a starting price of 100,000 rupees or approximately $2300 US despite rapidly rising material prices Export expectation
Being worlds cheapest car it is expected that not only India demand for Nano will go rise at global level. Since it meeting Euro-4 norms at this price so this is taking as a future of small car segment .

Reputation and Acceptance of Tata After launch

TATAs have shown the world what Indian engineering is truly capable of
Financial Times U K reports

Enthusiastic support

Tata Motors is receiving preliminary and some very enthusiastic support in the media and officials, even from Europe, for the electricversion from India as well as other-nations. The enthusiasm is even higher than that for the petrol-version

Maruti 800 Engine Length 800 cc 3.335 m

Tata Nano 623 cc 3.1 m

Width Height
Top speed Cost

1.440 m 1.405 m
120 km/hr 2.25 Lakh (on road)

1.5 m 1.6 m
90 km/hr 1.26 lakh (on road)

Variants Models Nano Standard Nano Deluxe-Cx Ex-showroom prices Rs 1,23,360 Rs 1,51,360

Nano luxury-Lx Rs 1,72,360 Engine Options Petrol, Diesel, Hybrid, Electric, Compressed Air

Petrol Engine
2 cylinder petrol all aluminium Engine 624 cc, 33bhp Bosch multi-point fuel injection (mpfi)

Diesel Engine
Jointly developed with Diesel Engine specialist FEV 684 cc Smallest Common Rail Turbocharged Diesel engine

Vehicle Summary
Body Type Seating Capacity Transmission Suspension Hatchback 4 4 Speed Manual McPherson strut & Independent coil spring Front Disk, Rear Drum 580 Kgs 30 Litres 180 mm

Brakes

Kerb Weight Fuel Tank Ground Clearance Wheels

12 inch

Performance
Top Speed
Acceleration Fuel Efficiency Emissions

90 Km/hr
0-70 kmph in14s 22 kmpl (city) 26 kmpl (highway) Bharat III and Euro IV compliant

Safety features
The Nanos safety performance exceeds current regulatory requirements Tata Nano passed the required 'homologation tests The car has passed the full-frontal crash and the side impact crash Tata said the Nano has an all sheet-metal body.

Safety features such as crumple zones, intrusion-resistant doors, seat-belts, strong seats and anchorages. The rear tailgate glass bonded to the body. Tyres are tubeless

Tata Nano Car

Description about Nano

The project has literally become India's claim-for-fame in the

international-media due to

Tata Motors' innovation in developing the car, as well as keeping it low in price.

The car itself is expected to boost the Indian Economy

create entrepreneurial-opportunities across India, expand the Indian car market by 65%.

Mr.Ratan Tata, Chairman of the Tata Group and Tata Motors,

who has described it as an eco-friendly "people's car".

cont Nano has been greatly appreciated by many sources and the
media

for its low-cost and eco-friendly initiatives which include using compressed-air as fuel and an electric-version.

Tata Group is expected to mass-manufacture the Nano in very

large quantities,

particularly the electric-version, and, besides selling them in India, to also export them world-wide.

The Tata Nano is

a rear-engine, four passenger

Design.
The
Peoples Car, designed with a family in mind, has a roomy passenger compartment with generous leg space and head room.

It

can comfortably seat four persons.

Four

doors with high seating position make ingress and egress easy.

What makes it so cheap !

subsidies and tax-breaks,

The Tata Nano uses plastics and adhesives rather than welding.

Introducing the car with an artificially low price through govt-

Using vertical-integration, or partially using inexpensive

polymers or biodegradable plastics instead of a full metal-body.

It has no AC, no power steering, no power windows, no power

bells and whistles.

cont
The Nano's boot does not open, instead the rear seats can be

folded down to access the boot space.

It has a single windscreen wiper instead of the usual pair. Its door opening lever was simplified. It has 3 nuts on the wheels instead of the statutory 4 nuts. It only has 1 side view mirror

Target market.
The low-cost car is clearly intended for the masses.
For the family of four that would otherwise ride on a scooter, Its also attracts the small cars buyers like Maruti 800, bike

riders etc.

Obstacles to Nano
However, Due to the Singur land dispute, the "Stalled Car Factory" is

"Costing Jobs, Splitting Neighbors in West Bengal Tata's problems in West Bengal are scaring off other industries hoping to locate here, including Infosys, a software maker that wanted to build a business park that would provide 5,000 jobs. Due to ongoing opposition to Tata's Singur car-factory by Mamta Banerjee, who demanded land to be returned from the factory, Tata Motors took decision to pull out of Singur. Tata Motors is manufacturing Tata Nano at its Pantnagar plant. Tata Motors announced it was pulling out its Nano small car industrial project from West Bengal's Singur and blamed the Mamata Banerjee-led Trinamool Congress, which spearheaded the protests against the factory, for the 'painful' decision. While existence of Tata Nano could lead to high industrial growth , the exit lead west Bengal a loss of more than 80,000 crore .How ever Tata has to suffer in terms of delay and settlement cost .

1 December 2009

Tushar Rastogi

24

The 6 Ms of Mgt
Manpower
Money Material Machine Method Marketing

MANPOWER
Hired more than 2,500 employees for manufacturing

the peoples car

Training given to unskilled labors

1 December 2009

Tushar Rastogi

27

MONEY
A loan of Rs. 9750 Crore at 0.1% simple rate of

interest. Repayment of this loan @ 0.1% over 20years. They got 100% exemption on electricity duty. The 1100 Crores Land has been given with high subsidies without any stamp duty registration and transfer charges. The payment for land would be made in eight equal annual instalment at a compound interest of 8% p.a.

MATERIALS
1.
2. 3.

4.
5. 6.

Bosch Caparo Continental Delphi Denso Fag Ficosa

8.
9. 10. 11. 12. 13. 14.

Freudenburg GKN Itw Deltar INA Johnson Controls Mahle Saint gobain

MACHINES
State of the art machines were installed in the plant

Marketing Strategies.
For marketing strategy Tata had use conventional media in an

unconventional manner. Nano was big on advertising ,TV campaign was one of the biggest!! Only innovative use of print, radio and other media, particularly the web. The Tata team was working on
Nano news in papers, Nano breaks on radio, Nano appearing in the form of messages or ticker news on TV, Online Nano games,

Nano chat rooms on the Net,

Nano pop-ups on major websites and Nano conversation on Facebook, Orkut and blog spaces

Promotional Tag line.

Have Fun, Pay Less, get more with Tata Nano

Online Marketing.
a. b. The major sections of the site are: Galary (both pictures and videos). Game (rather Link to a nice virtual driving game by Zapak). Community. Why Nano? Booking Details.
Website: www.tatanano.com

c. d. e.

Social Media.

Facebook Blog Orkut YouTube

Nano Game.
The game by zapak was a great move to spread word about the car.

1 December 2009

Tushar Rastogi

38

1 December 2009

Tushar Rastogi

39

Offline Marketing.
Collaborations: Tata partnered with a few banks for releasing

application forms.
Leveraging Existing Infrastructure: People can find Nano

merchandise, application forms and demo cars in Tata Indicom, Titan, Croma and Westside stores. Tata Indicom is also offering a money-back offer with every application form.
.

Print media.

The grand launching ceremony of Tata Nano was covered by all kind of media personal. It was a front page headline in many leading newspapers. International motor show at Geneva where Mr. Tata shows the Nano in front of international media. Business tycoon like Mr. Tata when delivered the first Nano to a comman person, itself it makes a big news.

METHOD

Reactions about Nano.

"It's a good historic moment for the Indian auto industry and also a proud one indeed that an Indian company took a step forward on this road. Its an upgradation for an auto wheeler rider to by a car now. Rajesh Jejurikar, Managing Director, Mahindra and Renault's. "It's good product but it's still too early to say whether it will overtake the 800 because it caters to a totally new market segment. Said Jagdish Khattar, Former MD of Maruti Udyog Limited "Meeting the proper quality standards and safety is not feasible at all in such a model. Andreas Prinz, Managing Director (Passenger Cars), Volkswagen Group Sales India.

"I think it is a great thing for India because mobility is giving new opportunities. I hope Tata drives to great success with the Rs one lakh car, but it is not included in our plan. Thomas Kuehl, Board Member, Skoda Auto India.

Future of Nano (conclusion).

World is getting tougher day by day being unique is a

competitive advantage. Expectations to Nano has proved this .

As customers gain more power, they will demand more

tailoring and value-added service to meet their needs. Companies that innovate on this dimension are likely to be richly rewarded.
So as per this presentation, conclusion can be draw as a future

car not only of Indian but also if exported than could be to the world.

Future of Nano (conclusion)

Emerging markets are a fertile ground for innovation. The challenge of

reaching dispersed, low-income consumers in emerging markets often spurs significant innovation. As customers gain more power, they will demand more tailoring and value-added service to meet their needs. Companies that innovate on this dimension are likely to be richly rewarded. World is getting tougher day by day being unique is a competitive advantage. Expectations to Nano has proved this . After 100 years to Henry Ford , Tata has proved him again not only he came out of the expectations but also came out with a platform for Indian auto sector .

So this as per this project conclusion can be draw as a

future car not only of Indian but also if exported than could be to the world.

 Nano really proved cheapest car of the industry Nano definitely helps to come true for middle man s dream

Conclusion

Some hidden minus points of nano are there, still It is beneficial to Gujarat as a state development. Brand Gujarat gets a big boosts internationally due to Nano Project.

Questions for Audiences??? Will the succeed? Nano

What do you think? Is the Nano a car of the future? Would you drive one?