Tata Nano Marketing Strategies

5913 words 24 pages
The Tata Nano Marketing Plan Strategies


Hao Yang (Vince) ID 0558603

Kwantip Khammuang (Kwan) ID 0558633

Narisa Keyuraphan (Beau) ID 0558832

Marketing Management (MKT 300)

Instructor: Prof. Hank Pruden


Table of Contents

I. Company Analysis II. Situation Analysis a. SWOT Analysis b. Product Analysis c. Competitor Analysis 1. Toyota Company • Strengths / Weakness 2. Honda Company • Strengths / Weakness III. Market Segmentation a. Demographics b. Psychographics c. Behavioral IV. Strategic Planning
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Low production cost

• According to the Economic Times (2009), Tata Steel is the exclusive steel supplier of Tata Motors to supply its steel to produce the world’s smallest and cheapest cars. The Tata Motor is able to take advantages of low cost and high qualities of raw material to produce cars because the company has their own steel company. One main reason is that Tata Motors can make the cheapest car in the world because of the cheapest cost, which is roughly US$ 600 per car. (The Environment, 2008). Both Tata Motor and Tata Steel are also working together and design cars to ensure the finest quality with customers. Approximately 97% of Tata Nano’s raw materials come from Tata Steel. As a result, Tata Motors can control and maintain cost of raw materials such as steel and iron plate to be stable which is one of the parts of car production.


Weak financial performance

• According to the annual report (2009), the company’s gross debt increased to $3.06 billion in March 31, 2009. The cost of acquiring Jaguar and Land Rover was $2.3 billion, and the sales of these subsidiary decreased by 51% in the identical year. In the same year, domestic sales declined by 15.2% and 4.8% in the passenger and commercial segment, respectively. Raw material costs increased to $5.25 billion in comparison to last year. The employee level increased 36% to 49,473 people. Therefore, the employee cost


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