Tata Motors in 2004: Going Global


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Case Details:

Case Code : BSTA035
Case Length : 21 Pages
Period : 1868 - 2004
Organization : Tata Motors
Pub Date : 2004
Teaching Note :Not Available
Countries : India
Industry : Automobile

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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Excerpts

Background Note

The Tatas

In 1868, Jamsetji Nusserwanji Tata, the founder of the Tata group, started a private trading firm in Bombay with a capital of Rs.21,000. His travels in the Far East and Europe inspired him to start manufacturing cotton goods. In 1874, the first Indian textile mill, The Central India Spinning, Weaving & Manufacturing Company, was established...

Business Segments

Tata Motors had two main business segments - commercial vehicle business unit and passenger car business unit...

Globalisation

Global expansion figured high on Tata Motors' agenda in the early 2000s. To facilitate globalisation, Ratan Tata reorganised the company. The previously independent export division was merged into the passenger car and commercial vehicle divisions. The independent international division that looked after exports and overseas business was dismantled...

The Road Ahead

The Indian car industry had seen some major changes in the recent times.

When Maruti's Alto overtook the Maruti 800 in sales in April 2004 this year, it was a new land mark for an industry which had just touched the one-million annual sales milestone.

The end of the Maruti 800's reign on Indian roads symbolized a deeper and more significant shift in the Indian car market. Bigger and more expensive mid-sized cars were gaining in popularity...

Exhibits

Exhibit I: A Comparative View
Exhibit II: Financial Highlights
Exhibit III: Sales
Exhibit IV: Industry Performance During 2003-04 and Tata Motor's Share

  

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