Tata Motors Analysis

Tata Motors limited was established under the parent company Tata Group in 1945. When Tata Motors was established it first started producing locomotives and engineering products. In 1954 Tata motors started to produce medium-sized commercial vehicles, when it reached a collaborative agreement with Daimler Benz AG. Tata motors produced its first independently designed light vehicle in 1986, which was called Tata 407. In 1994 Tata Motors first started manufacturing passenger cars when it began a joint venture with Daimler-Benz/Mercedes-Benz.

Tata motors created India’s first SUV with the launch of the Tata Safari in 1998. Tata Motors first major success in the passenger car segment came in 2001, when the company independently designed the Indica V2. In 2008 Tata Motors added the popular Land rover and Jaguar brand to their name. Tata motors created the most affordable car the Nano in 2009, which won India’s car of the year award. Most recently Tata motors is trying to develop an air power car which will be ultra-economical.

Today India’s largest automobile company is Tata Motors. Tata Motors manufactures both passenger and commercial vehicles. The company has long been known for their commercial vehicles, but in the last ten years they have entered into the passenger car market. Tata Motors produces many kinds of vehicle like cars, trucks, tractor trailers, and buses. Tata motors has developed most of their success from there commercial vehicle line, but have enjoyed some success recently in the passenger vehicle line.

Tata Motors sells there vehicles in many market areas including Europe, Africa, Middle East, North America, South America, and Asia. Tata Motors enters these different markets by parenting or acquiring the local company in the market they want to enter. Tata motors has enjoyed tremendous success because they are willing to adapt to an ever changing automobile market.

Tata Motors strengths include innovation, product diversity, and operating out of India. Tata Motors is one of the most innovate automobile manufactures through its many joint ventures, subsidiaries, and associated companies. Tata Motors uses the knowledge it obtains from other companies, as well as their research and development staff to continue to create innovated vehicles.

Through Innovation Tata motors was able to create the Nano the world least expensive car. Innovation gives Tata motors their biggest strength. Tata motors makes a wide variety of cars from passenger cars, to big rigs, all the way down to military vehicles.

The product diversity they can offer is another one of their strengths because they can compete in many markets. Tata Motors is operated out of India, this gives them an advantage of lower labor and resource costs. By Operating out of India Tata Motors has lower costs, so they can sell their products all over the world for cheaper, while still making profit.