Exploring The Bumpy Ride Of Tata Motors

Although being a known name in the Indian market, Tata Motors too had its share of facing backlashes. Read the story to find out their bumpy journey!

Crux of the Matter

A Roller Coaster Indeed

Passenger Vehicles
Tata Motors was a market leader in India’s commercial vehicle segment in the 1990s. In 1998, Tata launched its very first hatchback ‘Tata Indica’. The company has sold ~1 million Indicas in 20 years since its launch.

The Bumpy Ride
The success of Tata Indica was short lived. Increasing safety issues combined with intense domestic competition slowed down firm’s growth. Moreover, the failures of Nano, Sumo, and Indigo further decreased the market share.

The Turnaround
Tata Tiago (previously Zica) proved to be one of the most successful products in Tata’s fleet. Nexon, Altroz, and Harrier
followed the success suit. These three cars accounted for 60% of Tata's sales in FY 2021. So what exactly worked for Tata?

The 'New Forever' Features

• Safety Standards: Tata Nexon and Tata Altroz achieved NCAP’s 5-star crash test rating.

• Effective Costs: Restricted majorly to 2-product architecture platforms Alfa and Omega for streamlining costs.

• Affordable Price Range: A sustainable product mix ranging from cars worth ₹5 lakh - ₹10 lakh.

Acquisition of JLR

Tata acquired UK’s luxury car brands Jaguar and Land Rover from Ford Motors in 2008.

Curiopedia

Tata Sumo is named after a former Tata employee named Sumant Moolgaokar. He was a previous MD of Tata Motors and a Padma Bhushan recipient.

Curated Coverage

• Forbes: How Tata Motors became India's third-largest carmaker