tata ppt

TATA MOTORS

By : Himanshu Urvashi Suveer SiddhantBinoyJinal

(10)(20)(30)(40)(50)(60)

ECONOMICS PROJECT ON :

INTRODUCTION

Tata Motors is India’s largest automobile company, with consolidated revenues of USD 14 billion in 2008-09.

Tata Motors Ltd (NSE: TATAMOTORS, BSE: 500570, NYSE: TTM) is a multinational corporation headquartered in Mumbai, India. Part of the Tata Group, it was formerly known as TELCO (TATA Engineering and Locomotive Company). It is established in 1945.

It is the leader in commercial vehicles and among the top three in passenger vehicles.

Tata Motors has winning products in the compact, midsize car and utility vehicle segments.

The company is the world's fourth largest truck manufacturer, and the world's second largest bus manufacturer.

Tata Motors is a dual-listed company traded on both the Bombay Stock Exchange, as well as on the New York Stock Exchange.

HISTORYTata Motors is a part of the Tata Group manages its share-holding through Tata Sons.

The company was established in 1935 as a locomotive manufacturing unit and later expanded its operations to commercial vehicle sector in 1954 after forming a joint venture with Daimler-Benz AG of Germany.

In 1998 it launched tata indica, india's first fully indigenous passenger car. Designed to be inexpensive and simple to build and maintain.

In 2004 it acquired Tata Daewoo Commercial Vehicle, and in late 2005 it acquired 21% of Aragonese Hispano Carrocera.

Recently, it has acquired British Jaguar Land Rover (JLR), which includes the Daimler and Lanchester brand names.

TATA IN INDIATata Motors Limited is India’s largest automobile company, with revenues of 35,651.48 crore (US$7.74 billion) in 2007-08.

The leader in commercial vehicles in each segment, and among the top three in passenger vehicles with winning products in the compact.

Following a strategic alliance with Fiat in 2005, it has set up an industrial joint venture with Fiat Group Automobiles at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and Fiat power trains.

The company is establishing a new plant at Sanand (Gujarat).

The company’s dealership, sales, services and spare parts network comprises over 3500 touch points.

TATA GLOBAL OPERATION

It currently has operations in the UK, South Korea, Thailand And Spain.

Today two-thirds of heavy commercial vehicle exports out of South Korea are from Tata Daewoo.

In May, 2009 Tata unveiled the Tata World Truck range jointly developed with Tata Daewoo.

IMPORTANT DEVELOPMENTS

TATA NANOIn January 2008, Tata Motors launched Tata Nano, the least expensive production car in the world at about Rs. 100,000 (US $2,500).

TATA ACETata Ace, India's first indigenously developed sub-one ton mini-truck, was launched in May 2005.

COMPRESSED AIR CARMotor Development International of France has developed the world's first prototype of a compressed air car, named OneCAT.

ELECTRIC VEHICLESTata Motors unveiled the electric versions of passenger car Tata Indica and commercial vehicle Tata Ace. Both run on lithium batteries. 

 MARKETING STRATEGIES

PRODUCT, BRANDING, AND ADVERTISINGAdvertising is one of the most common ways to make car buyer or car enthusiast aware of the new car with special promotion price.PLACEPlace of dealership does play an important role. The channel of distribution, physical location, and dealership method of distribution and sales is generally adopted.MAINTENANCE AND SUPPORTAfter sales service is also another important marketing strategy for most of the car buyer to choose for the right car.

SWOT ANALYSIS

S- STRENGHTS

W- WEAKNESSES

O- OPPORTUNITIES

T-THREATS

STRENGHTSThe company has a strategy in place for the next stage of its expansion. Not only is it focusing upon new products and acquisitions, but it also has a programme of intensive management development in place in order to establish its leaders for tomorrow.

WEAKNESSESThe company's passenger car products are based upon 3rd and 4th generation platforms, which put Tata Motors Limited at a disadvantage with competing car manufacturers.

OPPORTUNITIES At a time when the world is looking for environmentally friendly transport alternatives, is now the right time to move into this segment? The answer to this question (and the one above) is that new and emerging industrial nations such as india, south korea and china will have a thirst for low-cost passenger and commercial vehicles.

THREATSRising prices in the global economy could pose a threat to Tata Motors Limited on a couple of fronts. The price of steel and aluminium is increasing putting pressure on the costs of production. Many of Tata's products run on Diesel fuel which is becoming expensive globally and within its traditional home market. 

HUMAN RESOURCE MANAGEMENT

1. Hiring Practices2. Re-organising The Organisational

Structure Of The Company3. Reducing In The Incentives Given

To Employees 4. Providing Incentives To Employees

To Work Hard 5. No Salary Cuts And Increase In

Resource And Development

PRICING STRATERGY There are various factors to determine a price of a car. These factors are such as : 1. Market Condition 2. Cost Incurred To Build A Car, 3. Profit By Company, 4. Dealer Profit Giving discount every month and special promotion for certain type of vehicle also one of the strong strategy use by Tata Motors. Discount can be made from Company’s profit or from dealer’s profit at certain range.

FINANCIAL ANALYSIS

INTERNATIONAL BUSINESS

The Company exported 22,046 vehicles during the year, an increase of 124.8% over 9,809 vehicles sold in the corresponding period last year.

During the year the Company completed the acquisition of Daewoo Commercial Vehicle Company, which is Korea's second largest truck maker, with a market share of approximately 25% in the domestic heavy truck market.

DIVIDEND

In view of the Company's performance, the Board of Directors has recommended a final dividend of Rs.4/- per share, bringing the total dividend for the year to Rs.8/- per share, including interim dividend of Rs.4/- per share declared on January 22, 2004.

COMPARISON (Mahindra , Maruti and Tata)

The comparison is based on the detailed analysis of the financial statement on the lines of Liquidity, Solvency, Profitability and efficiency. 

CONCLUSION A detailed analysis of the company shows that the company has had a strong fundamentalas well as a strong market performance over the years. Given the economic and the industryenvironment While a pick-up in its CV volumes is evident, operating leverage and cost saving initiatives willImprove margins.Current Ratio for TATA Motors is greater, which implies that it has comfortable liquidity

MILESTONES

ACKNOWLEDGEMENT

We would like to thank Prof. SURI for giving this project and also the opportunity to work. While completing this project we have learnt a lot more new things. It has really helped us a lot.