Technology
Business
Economics
Competition
Automotive
Market Share
Automobile Industry
Geopolitical Events
State Regulations
Production Line
Price Sensitivity
How Tata Motors went from 4.6% share in Indian car market in share to becoming India's 3rd largest car maker with a market share of 9% in 2022.
How it went on to beat the giants like Maruti Suzuki in earnings per car sale.
How it went on to beat the giants like Maruti Suzuki in earnings per car sale.
The automobile industry is an industry in which companies not only face competitors but are also effected by geopoliticial events and state regulations and on top of that whenever a new model is launched the company has to invest in setting up the production line
And even if you built the best car in your segment its not a guarantee to success because the Indian consumer is very price sensitive.
The success of Tata Motors lies in something called the platform strategy.
Platforms are design architectures that include the underfloor, engine compartment, and frame of a vehicle.
Before 2017 Tata Motors had 10 vehicles under 6 platforms.
In 2017 they brought down the number of platforms to 2 .
These 2 platforms were Alpha & Omega
In 2017 they brought down the number of platforms to 2 .
These 2 platforms were Alpha & Omega
By just having 2 platforms Tata Motors could reduce the number of components required in manufacturing their vehicles and further they did not set up different assembly lines for new models.
Thus having reduced their manufacturing costs
Thus having reduced their manufacturing costs
While Alpha platform had models like Altroz ,Tiago,Tigor& Nexon.
Cars like Harrier& Safari are made on the Omega platform
Cars like Harrier& Safari are made on the Omega platform
The company had the first mover advantage in the EV space by using a very clever jugaad.
The company repurposed an unused shop floor at its flagship plant. Here, there's no fancy assembly line - Nexon SUV bodies designed for gasoline models are wired and fitted with battery packs by hand.
The area, which could be mistaken for a prototype lab, initially made just eight SUVs a day. But demand has shot up over the two years since the Nexon EV's launch. Tata now makes more than 100 a day though much of that is now handled at another plant nearby.
While other major automakers which have poured billions of dollars into EV tooling and technology from the get-go.
When it comes to EV space the synergy of other Tata Group companies also helped Tata Motors in the EV space.
While Tata Elxsi worked on the connected auto programme.
TCS& Tata Power worked on setting the charging stations
While Tata Elxsi worked on the connected auto programme.
TCS& Tata Power worked on setting the charging stations
And Tata Chemicals worked on making the Lithium ion cells while Tata Autocomp made the battery packs.
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