Tata Motors Essay

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1) What are some of the features of the Indian Market that make i tan attractive domestic market to TATA? The feature of Indian market is that it is made up of several people who are categorized as lower-class economically. Therefore the fact that Tata Motors produces low cost vehicles some retailing at less than $2,000.00 so these individuals will afford. The other fact is that India experiences a remarkable increase in population of the middle-class population with high purchasing power of low cost vehicles. This situation makes a huge market for Tata Motors. The Indian market is improved by the government support by developing infrastructure such as roads which lead to a demographic shift to transportation thus facilitating higher car purchases. 2) Prepare a SWOT analysis for TATA Motors. a) Strength The company offers the cheapest cars built-in with all safety and design features. This allows customers from middle and lower class income earners, to benefit from their product. The company offers a wide range of products ranging from the smallest through to the luxury cars which makes it to capture a large market segment. In addition, the company has the largest revenue in India's automotive industry which gives it the strength to expand and implement its growth strategies. Furthermore, it has strength in its huge markets coupled with international growth strategies which are propelling the company to greater competitiveness. b) Weakness The automotive industries makes a lot of profit by selling luxury vehicles thus making Tata Motors to miss on the profit since most of its sales are of low cost vehicles which are either commercial or passenger. Even though TATA Motors purchased Jaguar and Land Rover, the Indian domestic market does not record high sales, because of the low economic class of the huge population of

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