PRESENTATION ON

NEW PRODUCT
DEVELOPMENT OF TATA
PRESENTED BY :

NIDHI SINGH ( 56 )

ANIKET BHUSAL ( 57 )

DAMANDEEP
SINGH ( 58 )

SUNEEL SINGH
BAGHEL ( 59 )

SAMPADA
KARPATE ( 60 )
 Tata’s 1 Lakh Car NANO

• Car bigger than Maruti 800

• Engine lighter
• 5 seat, rear engine vehicle
• Positioned between two wheeler and
Maruti 800
• Targeting the two wheeler segment,
with a small pie from Maruti 800
Competitor responses to the 1 lakh
car
• Maruti – Mr. Khattar – not possible to sell
at the quoted price
• Maruti 800 sales rebound this March
• Flank 800 against 1 lakh car with price cut
in excise duty
• Hyundai– will compromise on safety,
emission norms etc
• Bajaj – we can make better car
•
INDIAN AUTOMOBILE INDUSTRY
•Fast growing industry
•contribution to GDP is low
•total size of automobile industry in India is
Rs 850 billion
•commercial vehicle segment got buoyant market
conditions
•passenger vehicle market is highly competitive with
13 players
•more than 80% market is for vehicles below the
value of Rs 5 million
REASONS FOR GROWTH IN PASSENGER
VEHICLE SEGMENT:

•High disposable incomes

•Frequently new product launch

•Lower interest rates

•Availability of vehicle loans

•Price cuts
CHARACTERISTICS OF INDIAN AUTOMOBILE
INDUSTRY
•CYCLICAL TREND IS SECULAR (MOVING
UPWARDS)
•CAPITAL INTENSIVE IN NATURE
•HIGH CORRELATION WITH ECONOMIC GROWTH
•BIG AUTO PLANTS PROVIDE EMPLOYMENT & GROWTH
•PLC HAVE SHORTENED MAKING IT TECHNOLOGY
INTENSIVE INDUSTRY
•THE INDUSTRY IS OLIGOPOLISTIC IN NATURE
•COMPETITION LEVEL IS RISING SLOWLY
•ACCESS TO DISTRIBUTION NETWORK IS IMPORTANT
 CONSISTENT STRATEGY
GH QUALITY PRODUCTS R & D EXPENSE
CONTINUOUS UPGRADATION IN

SUCCESS REASONS OF TATA MOTORS

TRUSTWORTHINESS

SIGNALLED THE MARKET WITH ITS IN

SHAREHOLDER SATISFACTION SPEED
 IDEA GENERATION THE PEOPLE’S CAR DREAM OF MR. RATAN TATA

DEFINING TARGET MARKET A WIDER CUSTOMER BASE

TESTING
PT DEVELOPMENT THE PROTOTYPE IN FACTORY, STYLING, DESIGN
& TESTING

FEASIBILITY ITS LOW PRICE

OF PRODUCT
RODUCT : A REAR ENGINE, 4-5 SEATS, 4 DOOR CAR, 30 HORSEPOWE
DEVELOPMENT

TEST MARKETING ITS HUGE MARKETING

COMMERCIALIZATION 1 LAKH CAR , PEOPLE’S CAR

cheapness of people’s car
Indica image of a truck
USP
Advantage Problem

TATA

ndica facing competition from new stylish challenge

models
To maintain sales and avoid cannabalization betwe

To Develop petrol engines

To maintain its position world class diesel engines
Developing
Upgrading Indica Technologically
 FEW DECISIONS TO BE TAKEN

FUNCTIONAL STRUCTURAL AESTHETIC

ACTUAL DESIGN

SHAPES etc
FACTORS ARE SIZE, SHAPE , FORM, COLOR, MATERIAL
OBTAINED
CAN BE BY
DELIVERED
CUSTOMERS
IN A VARIETY OF WAYS
COLORS

LESS ORNAMENTAL FEAT

 Tata moter’s successful
strategy in Indian market
• Superior stakeholder satisfaction is the
primary reason for its success.
• Speed to entry in the market, continuous up-
gradation in models and expenditure in R&D.
• Tata moter’s is laboriously working towards
and under 1 lac. Cost car which its rivals
think is not possible.
• They launched indica in a period of just 31
month.
• Maximum probability to success-
they launched indica which had the
maximum probability to success
against the market leader maruti’s
mainstream product.
• They also hit the Gypsy segment with
first Sierra and now the grand
vitara with safari Dicor.
•