Study of Variables Influencing Purchase of Tata Nano With Respect To Driving Schools in Bangalore City

Variables influencing purchase of Tata Nano w.r.
t Driving schools
INDUSTRY PROFILE:
Hailed as the “Industry of Industries” by Peter Drucker, the founder father of study of
management, in 1946, the automobile industry has evolved continuously with the changing
times from craft production in 1890s to mass production in 1910s to lean production
techniques in the 1970s.
The history of automobile begins as early as 1769, with the creation of steam

engine automobiles capable of human transport. In 1806, the first cars powered by an internal
combustion running on fuel gas appeared, which led to the introduction in 1885 of the
ubiquitous modern gasoline- or petrol-fueled internal combustion engine. Cars powered
by electric powe briefly appeared at the turn of the 20th century, but largely disappeared from
use until the turn of the 21st century. The need to reduce the amount of air
pollution generated by transportation has raised new interest in electric and hybrid vehicles.
The early history of the automobile can be divided into a number of eras, based on the
prevalent method of automotive propulsion during that time. Later periods were defined by
trends in exterior styling, and size and utility preferences.
The automobile sector is expected to grow at 12-15% over next 3-4 years. India becoming
small car export hub as automakers rushes to set up factories. industry has a strong multiplier
effect on the economy due to its deep forward and backward linkages with several key
segments of the economy. The automobile industry that was plagued by the economic
downturn amidst a credit crisis. It managed a growth of 0.7 % in 2008-09 with passenger car
sales registering 1.31 % growth while the commercial vehicle segment slumped 21.7
%.Indian automobile industry has come a long way from the era of the Ambassador car to
Maruti 800 to latest Nano. The industry is highly competitive with a number of global and
Indian companies present today. It is projected to be the third largest auto industry by 2030
and just behind US & China, according to report. The industry is estimated to be US $ 34
billion. Indian Automobile industry can be divided into three segments.ie 2 wheeler, 3
wheeler and 4 wheeler segments. The domestic 2 wheeler market is dominated by Indian as
well as foreign players such as Bajaj Auto, Honda Motors, TVS Motors and Suzuki etc.
Maruti Udyog and Tata Motors are the leading passenger car manufacturers in the country.
India is considered a strategic market by Suzuki, Yamaha etc. Commercial Vehicle market is
PESIT, Department of MBA Page 1

Variables influencing purchase of Tata Nano w.r.t Driving schools
catered by TATA Motors, Ashok Leyland, Volvo, Force Motors etc. The major players have
not left any stone unturned to become global. Majority of the players have got into the merger
activity with foreign counterparts, like Maruti with Suzuki, TATA with Fiat, Mahindra with
Renault, Force Motors with Mann.
A DIAGRAMATTIC REPRESENTATION OF INDIAN AUTOMOBILE INDUSTRY:
 India is the second largest two-wheeler market in the world
 Fourth largest commercial vehicle market in the world
 11th largest passenger car market in the world
 Expected to be the seventh largest by 2016
 Target to be $145 billion by 2016
 India attaches more importance to knowledge and technology innovation in the

development of the new and high technology industry.
 India may this achieve better development in the next few years.
 Making India more attractive to automakers is its domestic demand coming from a
large affluent population that is loosening its purse strings, unlike in mature market
where over investment has cushioned sales.
 The first automotive was rolled out in India in 1897 in Mumbai.

 India is being recognized as potential emerging auto market, being ninth largest in the
world.
 Foreign players other than Suzuki are added to their investments in Indian auto
industry after Y2K.
 Within 2 wheeler, motorcycles contribute 80% of market segment.
 Unlike the US, the Indian passenger vehicle market is dominated by cars(79%)
 Tata Motors dominates over 60% of the Indian commercial vehicle market.
 India is the largest 3 wheeler market in the world.
 India is the largest 2 wheeler manufacturer in the world.
 India is second largest tractor manufacturer in the world.
 India is the 4th largest car manufacturer in Asia and Maruti Suzuki being the largest
manufacturer and would be producing over 1 million cars during Y10-11).
 India has emerged 5th largest commercial vehicle manufacturer in the world .Indian
automobile sales has grow at around 10% and will touch 13,008 million by 2010.To
tap this large opportunity ,the Indian Auto companies along with global giants have
announced huge expansion plans.
COMPANY PROFILE:

(A)General Introduction : Background and inception of the company
Tata companies operate in seven business sectors like communication, Materials, Services,
energy, Consumer Products and chemicals and engineering. They have significant
international operations. The total revenue of Tata group companies taken together, was
$70.8 billion (RS.325,334 Crs.) in 2008-2009 ,With more than 64%revenue coming from
business operations outside India ,and they employ around 3,57,000 people worldwide .The
Tata name has been respected in India for more than 100 years because of its strong values
and business ethics.
Every Tata company operates independently .Each of these companies has its own directors
and shareholders, To whom it is answerable .There are 28 publicly listed Tata companies and
they have a combined market capitalization of some $60billion,And a share holder base of
3.5 million .The major Tata companies are Tata motors, Tata steel, Tata consultancy service ,
Tata Tea, Tata communications, Tata chemicals, Tata Power and Indian Hotels.
Tata steel became the fifth largest steel maker in the world after it acquired Corus . Tata
motors are among the top five commercial vehicle manufacturers in the world and recently it
acquired jaguar and land rover of Britain for $2billion. TCS is one of the leading global
software companies.
Tata tea is the second largest branded tea company in the world, through its U.K based
subsidiary Tetley. Tata chemicals are the world’s largest producer of soda ash and Tata
communications is one of the largest companies.
Tata companies have always believed in returning wealth to the society they serve. Two
thirds of the equity of Tata sons, is held by philanthropic trusts that have created national
institutions for science and technology, research, social studies and the performing arts. The
trust also provides aid to non government organizations working in the areas of education,
Healthcare and livelihoods. Tata companies also extend social welfare activities to
communities around their industrial units. The combined related expenditure of trusts and the
companies amount to 4 percent of the profits earned by the group.

(B)NATURE OF BUSINESS CARRIED:
Tata motors is the India’s largest automobile company, With consolidated revenues of RS.92,
519 Crores (USD 20 billion) in 2009-10. It is the leading commercial vehicle in each segment
, and among top three in passengers vehicle with 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.
The company's 24,000 employees are guided by the vision to be "best in the manner in which
we operate, best in the products we deliver, and best in our value system and ethics."
Established in 1945, Tata Motors' presence indeed cuts across the length and breadth of India.
Over 5.9 million Tata vehicles ply on Indian roads, since the first rolled out in 1954. The
company's manufacturing base in India is spread across Jamshedpur (Jharkhand), Pune
(Maharashtra), Luck now (Uttar Pradesh), Pantnagar (Uttarakhand) and Dharwad
(Karnataka). 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 established a new plant at Sanand (Gujarat).
The company's dealership, sales, services and spare parts network comprises over 3500 touch
points; Tata Motors also distributes and markets Fiat branded cars in India.
Tata Motors, the first company from India's engineering sector to be listed in the New York
Stock Exchange (September 2004), has also emerged as an international automobile
company. Through subsidiaries and associate companies, Tata Motors has operations in the
UK, South Korea, Thailand and Spain. Among them is Jaguar Land Rover, a business
comprising the two iconic British brands that was acquired in 2008. In 2004, it acquired the
Daewoo Commercial Vehicles Company, South Korea's second largest truck maker. The
rechristened Tata Daewoo Commercial Vehicles Company has launched several new
products in the Korean market, while also exporting these products to several international
markets. Today two-thirds of heavy commercial vehicle exports out of South Korea are from
Tata Daewoo. In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a reputed
Spanish bus and coach manufacturer, and subsequently the remaining stake in 2009.
Hispano's presence is being expanded in other markets. In 2006, Tata Motors formed a joint
venture with the Brazil-based Marcopolo, a global leader in body-building for buses and

coaches to manufacture fully-built buses and coaches for India and select international
markets.
In 2006, Tata Motors entered into joint venture with Thonburi Automotive Assembly Plant
Company of Thailand to manufacture and market the company's pickup vehicles in Thailand.
The new plant of Tata Motors (Thailand) has begun production of the Xenon pickup truck,
with the Xenon having been launched in Thailand in 2008.
Tata Motors is also expanding its international footprint, established through exports since
1961. The company's commercial and passenger vehicles are already being marketed in
several countries in Europe, Africa, the Middle East, South East Asia, South Asia and South
America. It has franchisee/joint venture assembly operations in Kenya, Bangladesh, Ukraine,
Russia, Senegal and South Africa.
The foundation of the company's growth over the last 50 years is a deep understanding of
economic stimuli and customer needs, and the ability to translate them into customer-desired
offerings through leading edge R&D. With over 3,000 engineers and scientists, the
company's Engineering Research Centre, established in 1966, has enabled pioneering
technologies and products. The company today has R&D centres in Pune, Jamshedpur,
Lucknow, Dharwad in India, and in South Korea, Spain, and the UK. It was Tata Motors,
which developed the first indigenously developed Light Commercial Vehicle, India's first
Sports Utility Vehicle and, in 1998, the Tata Indica, India's first fully indigenous passenger
car. Within two years of launch, Tata Indica became India's largest selling car in its segment.
In 2005, Tata Motors created a new segment by launching the Tata Ace, India's first
indigenously developed mini-truck.
In January 2008, Tata Motors unveiled its People's Car, the Tata Nano, which India and the
world have been looking forward to. The Tata Nano has been subsequently launched, as
planned, in India in March 2009. A development, which signifies a first for the global
automobile industry, the Nano brings the comfort and safety of a car within the reach of
thousands of families. The standard version has been priced at Rs.100,000 (excluding VAT
and transportation cost).

Designed with a family in mind, it has a roomy passenger compartment with generous leg
space and head room. It can comfortably seat four persons. Its mono-volume design will set a
new benchmark among small cars. Its safety performance exceeds regulatory requirements in
India. Its tailpipe emission performance too exceeds regulatory requirements.
In terms of overall pollutants, it has a lower pollution level than two-wheelers being
manufactured in India today. The lean design strategy has helped minimize weight, which
helps maximize performance per unit of energy consumed and delivers high fuel efficiency.
The high fuel efficiency also ensures that the car has low carbon dioxide emissions, thereby
providing the twin benefits of an affordable transportation solution with a low carbon
footprint.
In May 2009, Tata Motors introduced ushered in a new era in the Indian automobile industry,
in keeping with its pioneering tradition, by unveiling its new range of world standard trucks
called Prima. In their power, speed, carrying capacity, operating economy and trims, they will
introduce new benchmarks in India and match the best in the world in performance at a lower
life-cycle cost.
Tata Motors is equally focused on environment-friendly technologies in emissions and

alternative fuels. It has developed electric and hybrid vehicles both for personal and public
transportation. It has also been implementing several environment-friendly technologies in
manufacturing processes, significantly enhancing resource conservation.
Through its subsidiaries, the company is engaged in engineering and automotive solutions,
construction equipment manufacturing, automotive vehicle components manufacturing and
supply chain activities, machine tools and factory automation solutions, high-precision
tooling and plastic and electronic components for automotive and computer applications, and
automotive retailing and service operations.
Tata Motors is committed to improving the quality of life of communities by working on four
thrust areas – employability, education, health and environment. The activities touch the lives
of more than a million citizens. The company's support on education and employability is
focused on youth and women. They range from schools to technical education institutes to
actual facilitation of income generation. In health, our intervention is in both preventive and

curative health care. The goal of environment protection is achieved through tree plantation,
conserving water and creating new water bodies and, last but not the least, by introducing
appropriate technologies in our vehicles and operations for constantly enhancing environment
care. With the foundation of its rich heritage, Tata Motors today is etching a refulgent future.
(C)PHILOSOPHY:
The current growth rate of our economy with which we face the world provide a compelling
context in which corporate need to engage with the disadvantaged sections of our society.
The central theme of the Tata group statement ,”Our purpose in Tata is to improve the quality
of life in the communities we serve” is a powerful guiding statement. In the coming years ,it
will increasingly be necessary for corporate to encourage and generate internal passion for
volunteering and community service.
VISION:
TML’s vision is to be the” best in the manner in which we operate in the products we deliver
and best in our value system and ethics “.TML has come to be known as an innovator in the
passenger car segment not just in manufacturing but along multiple areas along the value
chain.
The Tata Indica and Tata nano are prime examples of the company’s innovation capabilities
and the strength’s of company’s R&D efforts.
MISSION:
“To become world class automotive engineering & product development centre and enable
Tata Motors to become a world class automotive company”.
QUALITY POLICY:
Tata Company shall be committed to supply goods and services of world class quality
standards, backed by after sales services consistent with the requirements of its customers,
while striving for their total satisfaction. The quality standards of the company’s goods and
services shall not meet applicable national and international standards. A Tata company shall
display adequate health and safety labels, caveats and other necessary information on its
product packaging.

(D)PRODUCT PROFILE:

(1)Passenger Car : Nano
Indica
Manza
Indica Vista
Indigo Sw
Fiat Linea
Fiat Punto
(2)Utility vehicles: Safari Dicor
Sumo
Sumo Victa
Xenon
(3)Trucks : Medium and heavy commercial vehicles
ICV(Intermediate Commercial vehicles)
LCV (light commercial vehicles)
HCV(Heavy Commercial vehicles)

(4)Commercial passenger carriers: Cars, Winger, magic
(E)AREA OF OPERATION:
Tata motors have subsidiary/associate companies outside of India as under:
 Tata Daewoo commercial vehicle Co. ltd. Korea

 Nita company ltd. Bangladesh.
 Tata Precision Industries Pvt. Ltd. , Singapore.
 Tata Technologies Limited, USA/UK.
 Tata Motors European Technical Centre, UK
 Tata Motors (SA) proprietary limited ,South Africa
 Tata Motors (Thailand) Limited, Thailand
 Hispano Carrocera S.A.., Spain
Tata Group is more than 150 years old. In terms of market capitalization and revenues, Tata
Group is the largest private corporate group in India has been recognized as one of the most
respected groups in the world. It has interests in Steel, Automobiles, and Information
technology, Communication, Power, Tea and Hospitality. The Tata group has operations in
more than 85 countries across six continents and its companies export products and services
to 80 nations. In the past few years ,The Tata group has led the growing appetite among
Indian companies to acquire businesses overseas in Europe, U.S, Australia and Africa-some
even several times larger in a bid to consolidate operations and emerge as the new age
multinationals. The Tata group is the 11 th most reputable company in the world according to
Forbes. At home in the world anchored in India and committed to its traditional values of
leadership with trust, The Tata group is spreading its footprint globally through excellence

and innovation. The Tata group’s revenues for 2007-08 from its international operations were
$38.3 billion, which international business as an integral element in an overall strategy,
depending on the competitive dynamics of the industry in which it operates. Exports from
India remain the corner stone of the Tata group’s international business, but different Tata
companies are increasingly investing in assets overseas through green field projects (such as
in South Africa, Bangladesh and Iran),Joint ventures (South Africa, Morocco and China) and
acquisitions .Acquisitions are a critical components of the global expansion of Tata
enterprises. Over the past eight years the group has made overseas acquisitions of $18billion.
Among the bigger deals on his front have been Tetley, Brunner Mood, Corus, Jaguar and
Land Rover in the UK ,Daewoo Commercial vehicles in South Korea ,Nat Steel in Singapore
and Tyco Global Network and General Chemical in the US. Tata group is focusing on a
clutch of priority countries, which are expected to be of strategic importance in the years
ahead. The regions are North America, UK, China, Netherlands, Germany and South Africa
members of gulf cooperation council, Brazil, Vietnam, Thailand and Sri Lanka.
(F)OWNERSHIP PATTERNS:
Tata sons and Tata industries are the two promoter companies of Tata group.
Tata sons
The promoter company was started by group founder jamsetji Tata in 1868.It is the promoter
of all key companies of Tata group and holds the large percentage of shares in the company.
Tata Industries:
Tata industries was set up by Tata sons in 1945 as a managing agency for business.In early
1980s,to promote the group’s ventures into several sectors ,including control systems,
information technology, Financial Services, Auto Components, Advanced materials and
telecom sectors. Tata motors has joint ventures, Subsidiary and associate companies Few or
them are:
 Jaguar Land rover

 Telco construction equipment Co.ltd
 Tata Daewoo commercial vehicles company ltd.

 Hispano Caracara S.A(HC)

 Concorde Motors LTd.
 Tata motors Insurance Broking &advisory Services ltd.
 Tata motors Thailand
 Tata motors Finance ltd.
 Tata motors marcopolo motors ltd.
 Tata motors (SA)proprietary ltd (TMSA)
 Tata motors European Technical centre plc.
 TAL Manufacturing solutions Ltd.
 HV axles ltd.
Tata motors ltd. Is a public ltd company listed on Bombay stock exchange and national stock
exchange of India limited in India. Company’s depository receipt programme is listed on The
New York Stock exchange.
MANAGEMENT:
Ratan Tata Chairman
Ravi kant Vice chairman,Non executive
N.A Soonawala Director
Dr.J.J Irani Director
R.Gopalkrishnan Director
N.N. Wadia Director
S.M.Palia Director
R.A.Mashelkar Director
Naseer Munjee Director
Subodh Bhargava Director

V.K.Jairath Director
P.M.Telang M.D-India operations
C.Ramakrishnan C.F.O
Chief Executive Officer & Managing

Mr. Carl-Peter Forster
Director
(G) Competitors Information:
The popular myth that TATA Motors has some distinct advantages in comparison to other
multi nationals competitors, namely a cost advantage(in terms of labor costs) are not true as
TATA Motors has 8-9 % sales which is comparative with most multi nationals companies.
Also employee productivity in TATA Motors is less than 1/3 rd(in $ million sales/employee)
that of Toyota. Another advantage is the increasing demand in its own backyard of India, due
to in fracture developments and rising GDP. India remains one of the few developing auto
markets where domestic brands have managed to maintain a large presence. TATA and
fellow compatriots account for more than 60% of the passenger vehicle sales and 95% of
commercial vehicle sales. There are also favorable government policies and regulations in
place in order to help boost the auto industry. However, TATA has not been able to capitalize
on its global presence. TATA relies heavily on its sales in India and has not yet managed to
create a foothold international market even though it has a number of well reputed
subsidiaries. However, TATA Nano hopes to boost its international presence, at least in
developing countries.
Though it has an advantage in India, thanks to low cost and government policies it soon faces
stiff competition from multinational competitors, who may be interested in a share of the ever
growing Indian auto sector. Previously, a policy required majority owned subsidiaries of

foreign car forms to invest at least US $ 50 million in equity if it wishes to set up

manufacturing projects in India and mere car assembling operations were not allowed. An
Indian cabinet panel has since announced a new automobile policy that sets fresh investment
guidelines for foreign firms wishing to manufacture vehicles in the country. Investment in
making auto parts by a foreign vehicle maker will also be considered a part of the minimum
foreign investment made by it in an auto making subsidiary in India. The move is aimed at
helping India emerge as a hub for global manufacturing and sourcing for auto parts. The
policies adopted by government will increase competition in domestic market, motivate many
foreign commercial vehicle manufacturers to set up shops in India, which will make India as
a production hub and export to nearest market. Thus TATA Motors will have to face tough
competition in near future, which might affect its growth negatively.
Currently, the presence of Suzuki through its subsidiaries, Maruti Suzuki in the Indian market
may also be alarmed. Maruti has aggressively launched family cars to undermine the Tata
Models. Tata has continued to be strong in the MUV and SUV sector due to lack of
competition and correct pricing. However, Tata now faces stiff competition from fellow
competitor Mahindra Group as well as multinational brand like Toyota and Chevrolet. In
addition, the growing presence of fellow Indian competitors, Mahindra and Force Motors not
only in India but also in the global market may affect Tata’s sales. Mahindra and Force have
formed joint ventures with Renault and MAN respectively. Mahindra has also formed a 51:49
JV called Mahindra Navistar with ITEC,USA(parent Navistar International), to manufacture
commercial vehicles and to boost its position in the CV business .Ashok Leyland, which is
the second largest commercial manufacture in India has remained Tata’s biggest competitor
in Indian heavy commercial vehicle market and with its acquisition of the Czech republic
Aviva it may manage to increase its presence in the neighboring markets such as Sri
Lanka ,Nepal where Tata Motors has a monopoly. To counter the growth of these various
companies Tata has come up with revised or new models like Tata Indica Vista, Tata Indigo
Manza, Tata Xenon, Tata World Truck and an aggressive marketing policy.
(H)INFRASTRUCTURAL FACILITIES:

Jamshedhpur:
Established in 1945, the Jamshedpur unit was the company's first unit and is spread over an
area of 822 acres. It consists of 4 major divisions - Truck Factory, Engine Factory, Cab &
Cowl Factories. The divestments in March 2000 hived off the Axle and Engine plants into
independent subsidiaries viz. HVAL &HVTL, respectively.
Lucknow:
Tata Motors Lucknow is one of the youngest production facilities among all the Tata Motors
locations and was established in 1992 to meet the demand for Commercial Vehicles in the
Indian market. The state of art plant is strongly backed by an Engineering Research Centre
and Service set-up to support with latest technology and cater to the complexities of
automobile manufacturing. Fully Built Vehicle business, which is one of the fast growing
areas of our business, is also established in Lucknow. The Lucknow facility also specializes
in manufacturing HCBS (High capacity Bus System) buses.
Uttarakhand:
The company has set up a plant for its mini-truck Ace and the passenger carrier Magic
(based on the Ace platform) at Pantnagar in Uttarakhand. The plant began commercial
production in August 2007. This is the company's fourth plant, after Jamshedpur (commercial
vehicles), Pune (commercial vehicles and passenger vehicles) and Lucknow (commercial
vehicles). The plant is spread over 953 acres, of which 337 acres is occupied by the vendor
park.
Pune:
The Pune unit is spread over 2 geographical regions- Pimpri (800 acres) and Chinchwad
(130 acres). It was established in 1966 and has a Production Engineering Division, which has
one of the most versatile tool making facilities in the Indian sub-continent. It houses a
Vehicle manufacturing complex which is one of the most integrated automotive
manufacturing centers in the country producing a large variety of individual items and
aggregates. It is engaged in the design and manufacture of sophisticated press tools, jigs,
fixtures, gauges, metal pattern and special tools, as well as models for the development of
new ranges of automobile products. Its capabilities have enabled Tata Motors to introduce
new products and improve existing ones without resorting to imports of dies or fixtures.
Gujarat: Tata Motors’ plant for the Tata Nano at Sanand, in Ahmedabad district of Gujarat.
The capacity of the plant, to begin with, will be 250,000 cars per year to be achieved in
phases, and with some balancing is expandable up to 350,000 cars per year. Provision for
further capacity expansion has also been incorporated in this location.
(I)ACHIEVEMENTS AND AWARDS:
 The Tata Nano has received the world's oldest and most coveted GOOD
DESIGNTM Award for 2010, which is conferred annually by The Chicago
Athenaeum: Museum of Architecture and Design together with The European Centre
for Architecture Art Design and Urban Studies.
 Lucknow Plant wins Rajiv Gandhi National Award for 2009.
 Mr. Ravi Kant receives the Golden Peacock Corporate Award for Business
Leadership – 2010.
 CNBC TV18 has conferred Mr. C. Ramakrishnan with the award of Indian industry’s
Best CFO, in the CNBC TV18 CFO Awards 2010.
 CVBU Pune has received the Excellent Energy Efficient Unit award in the CII 11th
National Awards for Excellence in Energy Management - 2010.
 CVBU Lucknow bags Excellent Energy Efficient Unit-Award for the second time in a
row
 CVBU Pune declared winner of the MPCB Vasundhara Awards 2010
 Car Plant Pune won three awards at the 25th Annual Chapter Convention of Quality
Circles on the August 7, 2010.

 Tata Motors IT team bagged an award in IT Services Management category for

remedy implementation at ICMG Architecture World held in Bengaluru. The
conclave included enterprise architecture awards
 Tata Motors, CVBU was awarded the coveted Golden Peacock Award
 Land Rover double header at the Auto Express 2010 new car awards
 The President and CEO of TDCV, Dr. Kim Jong-Shik, has been honoured as a top
business leader of South Korea.
 Golden Peacock Award for Occupational Health & Safety for the year 2010
 CVBU Lucknow bags 11 National Suggestion Summit awards.
(J)WORK FLOW MODEL:
 Stamping:
The steel sheet is cut according to the size of the part and then is bent and cut in a
stamping machine to make parts such as car doors, roofs, and hoods. The stamped
parts are inspected and then transported to the welding process.
 Welding:
The steel sheet is cut according to the size of the part and then is bent and cut in a
stamping machine to make parts such as car doors, roofs, and hoods. The stamped
parts are inspected and then transported to the welding process.
 Painting:
The welded bodies are washed and painted four times with an primer, a surfacer, and
a top coat and then with a clearcoat for a beautiful shine. This gives the car a beautiful
color and prevents rust. Toyota uses environmentally-friendly water-borne paints.

Primer: To apply the primer, the car is passed through a pool of paint that has
electricity passing through it to prevent rusting.
Surfacer: A robot evenly sprays on a gray paint to help the topcoat keep its color and
to make the car surface smooth.
Top Coat: A robot sprays on the final vehicle color from different angles to make an
even finish.
Clear Coat: Paint is applied for a beautiful finish, so the body shines like a mirror.
 Making The Engine:

Casting: Heat is used to melt steel and aluminum, and the molten metal is poured into
molds to make engine parts.
Forging: Machines are used to process heated metal to make gears and other parts.
Machining and Installations: The parts made by casting and forging are trimmed
and polished by machines. These parts are then used to assemble the engine and
suspension. The engine alone has as many as 550 parts.
 Suppliers:
One car has approximately 30,000 parts counting every part down to the small screws.
These parts are made by suppliers located around the world. Suppliers use their
specialized knowledge and expertise to develop and improve parts.
 Assembly: In the assembly process, a conveyor moves at a certain speed and parts are
assembled on the moving assembly line. Parts are attached according to customer
different, there are cars of different colors and shapes and with different parts on the
conveyor.

Production Instruction sheet:

Each car on the conveyor has a piece of paper attached that is called a Production
Instructions Sheet. The information tells the workers what parts that car needs. Each
customer's order is different, and by checking the Production Instructions Sheet, parts
can be assembled without making any mistakes.
Ergonomic Seat:
The Ergonomic Seat is a special work seat at the end of a mechanical arm that allows
team members to perform assembly work inside cars while sitting down. This
eliminates stress on the back and helps workers to perform their work efficiently and
easily.
Mobile lifts:
These lifts automatically adjust the height of the car on the assembly line. This makes
it easier to assemble parts that go on the lower part of the car such as the bumpers.
Wagon Dolly:
Screws, tools and other items needed for work are placed on these carts. The
necessary items move together with the movement of the conveyor, eliminating
wasteful movement when taking tools.
Door Removal: After painting, the doors are removed to make the work easier.
Interior parts: Team members install parts that go inside the car such as meters, air
conditioning and audio parts while sitting in a Ergonomic Seat. This innovation
makes it easier to perform the work.
Windows: Windows are handled using large suction cups. Two workers form a team
and carefully install the windshield and rear window. Robots accurately apply the
necessary amount of glue.

Engine and Bumpers: Engines are transported from the engine factory in the order
that the cars are placed on the assembly conveyor. The engines are heavy, so a
machine is used to lift them up for mounting.
 Seats and Doors: Seats are transported from the seat factory in the order that the cars
are placed on the assembly conveyor. A machine is used to put the seat inside the car
and then a worker attaches it. Door parts are installed on the doors that were removed
in the beginning on a separate line. These doors are then transported back to the
assembly line and re-attached to the cars after all other parts have been installed.
 Final Inspections:
The final step is inspection of the completed cars. Each car undergoes rigorous
inspections of more than 1,000 different things to make sure the brakes, windshield
wipers, lights, and other parts work. Only after the car passes all inspections is it
shipped to the customer.
 Finished cars:
Finished cars are transported on special trucks known as car carriers to dealers all
over the country and then handed over to customers. Special ships are used to
transport cars to far parts of Japan and other countries. This ship can carry 4,000 to
5,000 cars at one time.
 Sales:
Sale are made through company dealers to the customers. Finished goods are
transported to various warehouses from their its transported to dealership amd
ultimately its delivered to customers.
(K) FUTURE GROWTH AND PROSPECTS:
 Important new technology development programs at JLR include the development of

a hybrid power train which will be introduced in future models of Jaguar and Land
Rover.JLR is also planning to have all its future cars considered with light weight

aluminum bodies resulting in considerable savings in weight and reduction in CO2

emissions.
 TATA Motors signed a turkey contract with Myanmar Automobile & Diesel
Industries Limited(MADI), an enterprise under the Government of Myanmar’s
Ministery of Industrie-2,for setting up a heavy truck plant, at Magwe,approximately
480 kms from Yangon, funded by a Line of Credit from the Government of India. The
facilities planned at the plant include a heavy flexible chassis & frame assembly line
along with a cab manufacturing, painting & trimming setup. The plant is expected to
become operational by last quarter of 2010-11, with a capacity of 1000 vehicles per
year. The capacity can be expanded to 5000 units.
 TATA Motors is also displayed at Geneva this year the TATA Xenon Double Cab
pickup vehicle and TATA Indica Vista. The Xenon Double Cab is available in Italy,
Spain, Poland, Thailand, the UAE, Saudi Arabia and several countries in Africa. The
TATA indica Vista has already been launched in South Africa, and will be introduced
in the company’s European market. The other new generation cars of the company on
display will also be launched in international markets in a phase manner.
 TATA Motors has been short listed for South Africa’s Taxi Project” in which the
government will provide an entirely new transport system in that country. A joint
venture project for the bus body building in Ukraine and serious due diligence into the
opportunities available in the Chinese market are also areas where TATA Motors is
looking to create new opportunities.
 The company recently signed a MOU with Daewoo Commercial Vehicle

Company in Korea to acquire into truck plant. The synergies are significant- a
presence in the 250 to 400 HP range of truck is what the Korean company brings to
the table. This complements the existing product range of TATA Motors which
delivers vehicles up to 210HP.
 The TATA Aris, to be launched in the second quarter of this year, blends the
functionality and comfort of a mid range MPV with the all terrain assurance and
premium of an SUV. Its unique design and construction makes it robust, elegant and
comfortable. The interiors, with tree rows of theatre style seating present a luxurious
world of premium features comprising 3D surrounding sound, dimming roof lamps, in
dash built in GPS, a state of art information system, multifunctional steering wheel,
dual air conditioning automatic climate control and cruise control. The TATA magic
Iris, launched is for public transport, offering safer and more comfortable mobility for
those who depend on three wheelers. Its spacious car like cabin can comfortably seat
four passengers, three at back and one in the front beside the driver.
(3) MCKinsey’s 7s framework:

The 7S framework first appeared in the art of Japan management by Rechard Pascal and
Anthony Athos in 1981.They had been looking at now Japanese industry so successfully at
the same time that Tom Peters and Robert were exploring what made a company excellent.
The 7 s model was born at the meeting of the four in 1978.It went on to appear in the search
of expeller and water man was taken up as a basic tool by the global management
consultancy.
The 7 s model is the tool for management analysis and action that provide a structure with
which to consider a company as a whole, so that the organization problems may be diagnosed
and a strategy may be developed and implemented.

Tata Motors is currently in a growth stage as stated on the website” The Tata Motors Ltd is in
a mega expansion mode. The investment would be in product development, capital
expenditure in capacity enhancement, domestic and international acquisitions and mergers.”
Ratan Tata said “ One hundred years from now, I expect the Tata to be a much bigger than it
is now. More importantly, I hope the group comes to be regarded as being the best in India,
best in the manner in which we operate, best in the products we deliver and best in our values
systems and ethics. Have said that, I hope that a hundred years from now we will spread our
wings far beyond India.”
Systems: Formal and informal procedure that govern everyday activity, covering everything
from management information system, through to the systems at the point of contact with the
custom(retail systems, call centre systems, online systems ,etc).
A few of emerging trends and systems that will help improve the Intermodal Freight and the
Fleet Management Operations in the future are covered in this presentation.
 Intelligent Transportation Systems(ITS):It applies advanced and emerging technologies in

such fields as information processing, communications ,control and electronics to service
transportation needs.
 Intermodal Container Technologies: It incorporates Standardization ,Modernization and
Modernization of the container design for achieving easy handling and increasing durability.
 In addition to the wide range of vehicles manufactured, Tata Motors has launched a
Commercial Fleet Management Systems called TRACK it, for most of their range of
commercial vehicles. TRACKit is one of the stepping stone towards the implementation of
ITS in India.
Structure: The basic organization of the company, its departments, reporting lines, areas
of expertise and responsibility(and how they are inter related)

The 4S across the bottom of the model are less tangible, more cultural in nature and termed
‘Soft Ss’ by McKinsey.
Skills: The capabilities and competence that exist within the company that does best.
Tata Motors is also very well placed on the technological availability. The company had set
up its Engineering Research Center as early as 1966.With 1400 scientists and engineers and
state of art development, testing and validation facilities, it is this technology capability
which has, allowed Tata Motors, over the decade, to offer indigenously developed products.
This strength has been accentuated, with the inclusion of TMETC, TDCV and Hispono
Carrocers in the R&D network, besides several other specialist external agencies. The
company no longer needs to develop every necessary part itself. Today it just has to manage
the process of product creation, drawing upon already available R&D and skills from
different sources.
Shared Values: The values and beliefs of the company ultimately guides the employee’s
towards’ valued’ behavior.

Core Values:
Tata has always been values driven. These values continue to direct the growth and business
of Tata companies. The five core Tata Values underpinning the way the business is done are:
Integrity: We must conduct our business fairly, with honesty and transparency. Everything
we do must stand the test of public scrutiny.
Understanding: We must be caring, show respect, compassion and humanity for our
colleagues and customers around the world and always work for the benefit of communities
we serve.
Excellence: We must consistently strive to achieve the highest possible standards in our
day to day work and in the quality of goods and service we provide.
Utility: We must work cohesively with our colleagues across the group and with our
customers and partners around the world, building strong relationships based on tolerance,
understanding and mutual cooperation.
Responsibility: We must continue to be responsible, sensitive to the countries, communities

and environments in which we work, always ensuring that what comes from the people goes
back to the people many times over.
Staff: The company’s people resources and how they are developed, trained and motivated.
Employees are the driving force of our organization. The permanent employees’ strength of
the company as 2009-10, with 57 per cent of this coming from business outside India. Tata
companies employ around 395,000 people worldwide. Recruitments across all levels,
extensive training and skills enhancement activities are carried out especially at the new
locations, in line with the company’s expansion and growth plans. Company’s cordial
industrial relations were maintained at all times and the company entered the third wage
settlement with its union. There has been consistent improvement in productivity across all
locations. The company was awarded India’s Best Management Company for 2007-2008 in
the automotive sector by the Business Today based on a study conducted by Earnest and
Young.

Style: The leadership approach of the top management and the company’s overall operating
approach.
Tata’s leadership development programs and training processes aims at grooming the
managers of today into the leaders of tomorrow. The Tata group’s commitment to enhance
the knowledge and leadership quotient of its people has resulted in the establishment of
institutions such as the Tata Management Training Center and the running of programs such
as TAS.
TAS:
This management development program was conceived by JRD Tata, the late chairman of the
Tat Group, in the 1950s. The idea was to select and groom young managers, provide them
opportunities for professional growth and making them part of a talent pool that could be
tapped by companies across the Tata organization.
TMTC:
The Tata Management Training Centre ,set in a lush campus in Pune in the western India
helps gropu professionals add to their knowledge bank. Primarily an in house learning centre
for the group ,its goal is to provide training to high performers, act as a cradle of change and
develop leadership qualities.
TATA Business Leadership award:
Initiated in 2004,this annual business school event organized by the Tata group. It offers
students from select management institutes a unique opportunity to compete with the
brightest and display their business acumen.
SWOT Analysis:

STRENGTHS:
 Tata Motors can go forward in acquiring technology. The Tata Motors have proper
distribution channel caross India, but it utilization was much below its capacity. Thus Tata
Motors also formed joint venture with Fiat and gained access to Fiat’s diesel engine
technology so as to mentain its security of raw material at different levels, Tata have
extensive backward and forward linkages and it is strongly interwoven with machine tools
and metals sectors.
 The international strategy so far has been to keep local managers in new acquisitions, and
only transplant a couple of senior managers from India into new market. The benefit is that
Tata has been able to exchange expertise. For example after the Daewoo acquisition the
Indian company leaned word discipline and how to get the final product right first time.
 Their ability to make the least expensive car in the market, the Nano which was retailed for
$2500,is by far beyond what any car dealership has created. This innovation has given Tata
Motors their main competitive advantage. Tat Motors makes everything from tractor trailer to
the world’s least expensive car. This product diversity grants them a competitive advantage
over their competitors because they can satisfy more market and customer needs.
 The 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.
WEAKNESS:
 The 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.
 Despite buying the Jaguar and Land Rover brands (see opportunities below); Tata has not
got a foothold in the luxury car segment in its domestic, Indian market. Is the brand
associated with commercial vehicles and low-cost passenger cars to the extent that it has
isolated itself from lucrative segments in a more aspiring India.
 One weakness which is often not recognized is that in English the word ‘tat’ means rubbish.
Would the brand sensitive British consumer ever buy into such a brand? Maybe not, but they
would buy into Fiat, Jaguar and Land Rover (see opportunities and strengths).

 Some consumers and pessimists inquire as to how Tata Motors can make such a cheap car
and with stand a car accident or not just fall apart after hitting something.
OPPORTUNITIES:
 In the summer of 2008 Tata Motor’s announced that it had successfully purchased the Land
Rover and Jaguar brands from Ford Motors for UK £2.3 million. Two of the World’s luxury
car brand have been added to its portfolio of brands, and will undoubtedly off the company
the chance to market vehicles in the luxury segments.
 Tata Motors Limited acquired Daewoo Motor’s Commercial vehicle business in 2004 for
around USD $16 million.
 Nano is the cheapest car in the World - retailing at little more than a motorbike. Whilst the
World is getting ready for greener alternatives to gas-guzzlers, is the Nano the answer in
terms of concept or brand. Incidentally, the new Land Rover and Jaguar models will cost up
to 85 times more than a standard Nano.
 The new global track platform is about to be launched from its Korean (previously Daewoo)
plant. Again, 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. These are the
opportunities. However the company has put in place a very proactive Corporate Social
Responsibility (CSR) committee to address potential strategies that will make is operations
more sustainable.
 The range of Super Milo fuel efficient buses are powered by super-efficient, eco-friendly
engines. The bus has optional organic clutch with booster assist and better air intakes that will
reduce fuel consumption by up to 10%
 With road and other in fracture slated for significant development, penetration of
personalized transportation is expected to increase .Further with higher disposable income
and easier financing options, the outlook for growth of passenger car sales remain positive.
According to a recent study by a global consulting firm, the average annual real house hold
disposable income in India is set to grow at a compounded annual growth rate of 5.3% from
over INR 3000 in 2005 to INR 319,000 in 2025.

THREATS:
 Other competing car manufacturers have been in the passenger car business for 40, 50 or
more years. Therefore Tata Motors Limited has to catch up in terms of quality and lean
production.
 Sustainability and environmentalism could mean extra costs for this low-cost producer. This
could impact its underpinning competitive advantage. Obviously, as Tata globalizes and buys
into other brands this problem could be alleviated.
 Since the company has focused upon the commercial and small vehicle segments, it has left
itself open to competition from overseas companies for the emerging Indian luxury segments.
For example ICICI bank and DaimlerChrysler have invested in a new Pune-based plant
which will build 5000 new Mercedes-Benz per annum. Other players developing luxury cars
targeted at the Indian market include Ford, Honda and Toyota. In fact the entire Indian
market has become a target for other global competitors including Maruti Udyog, General
Motors, Ford and others.
 Rising prices in the global economy could pose a threat to Tata Motors Limited on a couple
of fronts. The price of steel and aluminum 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.
 The domestic passenger vehicle demand could be impacted by the growth of road and rail
based transit system.
(5)Balance Sheet of TATA Motors ( in Crores.)
Mar '06 Mar '07 Mar '08 Mar '09 Mar '10

Source of Fund
Total Share Capital 382.87 385.41 385.54 514.05 570.60
Equity Share Capital 382.87 385.41 385.54 514.05 570.60
Share Application Mone
0.00 0.00 0.00 0.00 0.00
y
Preference Share Capital 0.00 0.00 0.00 0.00 0.00
Reserves 5,127.81 6,458.39 7,428.45 11,855.15 14,394.87
Revaluation Reserves 26.39 25.95 25.51 25.07 0.00
Net worth 5,537.07 6,869.75 7,839.50 12,394.27 14,965.47
Secured Loans 822.76 2,022.04 2,461.99 5,251.65 7,742.60
Unsecured Loans 2,114.08 1,987.10 3,818.53 7,913.91 8,883.31
Total Debt 2,936.84 4,009.14 6,280.52 13,165.56 16,625.91
Total Liabilities 8,473.91 10,878.89 14,120.02 25,559.83 31,591.38
Mar '06 Mar '07 Mar '08 Mar '09 Mar '10
Application of Funds
Gross Block 7,971.55 8,775.80 10,830.83 13,905.17 18,416.81
Less: Accumulated.
4,401.51 4,894.54 5,443.52 6,259.90 7,212.92
Depreciation
Net Block 3,570.04 3,881.26 5,387.31 7,645.27 11,203.89
Capital Work in Progress 951.19 2,513.32 5,064.96 6,954.04 5,232.15
Investments 2,015.15 2,477.00 4,910.27 12,968.13 22,336.90
Inventories 2,012.24 2,500.95 2,421.83 2,229.81 2,935.59
Sundry Debtors 715.78 782.18 1,130.73 1,555.20 2,391.92
Cash and Bank Balance 327.66 535.78 750.14 638.17 1,753.26
Total Current Assets 3,055.68 3,818.91 4,302.70 4,423.18 7,080.77
Loans and Advances 5,964.61 6,208.53 4,831.36 5,909.75 4,618.90
Fixed Deposits 791.77 290.98 1,647.17 503.65 0.00
Total CA, Loans &
9,812.06 10,318.42 10,781.23 10,836.58 11,699.67
Advances
Differed Credit 0.00 0.00 0.00 0.00 0.00
Current Liabilities 6,673.61 6,956.88 10,040.37 10,968.95 16,117.80
Provisions 1,215.04 1,364.32 1,989.43 1,877.26 2,763.43
Total CL & Provisions 7,888.65 8,321.20 12,029.80 12,846.21 18,881.23
Net Current Assets 1,923.41 1,997.22 -1,248.57 -2,009.63 -7,181.56
Miscellaneous Expenses 14.12 10.09 6.05 2.02 0.00
Total Assets 8,473.91 10,878.89 14,120.02 25,559.83 31,591.38
Contingent Liabilities 2,185.63 5,196.07 5,590.83 5,433.07 3,447.50
Book Value (Rs) 143.94 177.59 202.70 240.64 262.30
ANALYSIS OF FINANCIAL STATEMENT

LIQUIDITY RATIO:
Current ratio:
It means the ability of the business to pay its short term liabilities. Traditionally these ratios
are used to highlight the business liquidity
Current Ratio = Current assets loans and advances

Current Liabilities and Provisions
Year 2010 2009 2008

Current Ratio 0.6196 0.8435 0.896
Ideally the current ratio should be 2:1.As in this case, it is found to be lower than the ideal
one and has also decreased compared to 2008.The company has to concentrate to correct the
balance of its current assets and current liabilities.
Quick Ratio:
It is the test of liquidity then the current ratio. The term liquidity refers to the ability of a firm
to pay it short term obligations as and when they become dude. Quick ratio may be defined as
the relationship between quick or liquid assets and Current liabilities. An asset is said to be
liquid if it is converted into cash within a short period without loss of value.
Quick Ratio = Current assets -Inventory

Current Liabilities
Year 2010 2009 2008

Current Ratio 0.257 .199 0.187

The quick ratios in the year 2009 and 2010 are below the standard norms 1:1. If the quick
ratio is below the standard norms of 1:1 the conclusion is that the company is not liquid and
so it cannot pay off its short term liabilities out of its quick realization assets.
PROFITABILITY RATIO:
Gross Profit margin:
As the gross profit is found by deduction of cost of goods sold from the net sales, higher the
gross better the result. There are no standard norms for gross profit ratio. It is calculated to
know the trading profit of the year.
Gross Profit Margin = Gross profit X 100

Net Sales
Year 2010 2009 2008

Gross Profit Ratio 8.84% 3.30% 8.26%
There has been a dip in 2009 due to recession.
Net Profit Margin: The net profit is calculated to know the actual profit of a concern during
the year.
Net Profit Margin = Net profit X 100

Net Sales
Year 2010 2009 2008
Net Profit Ratio 6.26% 3.77% 6.69%
RETURN ON TOTAL ASSET:
Return on total asset provides a strong incentive for optimal utilization of the assets of the
company. This encourages in obtaining assets that will provide a satisfactory return on asset
and getting an optimum return.

ROI = Net profit X 100

Total Asset
Year 2010 2009 2008

ROI 7.1% 3.92% 14.36%
There has been a dip and then there is an upward trend as resources have been used rightly to
generate optimum returns on investment.
LEVERAGE RATIO:
Debt Equity Ratio:
The ratio indicates the relationship between loan fund and net worth of the company which is
known as gearing.If the proportion of debt to equity is low, a company is said to be low
geared and vice versa. Debt by equity ratio of 2:1 is the norm acceptable by financial
institutions for funding of projects.
Debt by Equity Ratio= Long Term Debt

Shareholder Fund
Year 2010 2009 2008

Debt by Equity ratio 1.11 1.06 0.8
The company has a debt equity ratio of 0.53 times which shows that the company is using
0.53 times of debenture compared to equity.

(6)LEARNING EXPERIENCE:
It was a great experience working in a real time environment under the guidance of the
experienced and well trained employees of Tata Motors in Bangalore Regional office .
 Covered all across Bangalore city and visited around 83 driving schools and talking to
people and explaining them about features of Nano is a new experience.
 Understanding what are expectations from the customers while purchasing a car .
 Getting the feedback from the customers about the company’s after sales service
about the products which were sold earlier.
 Understanding what are tools which would help to improve the sales of nano.
 Understanding what are the roles a dealership plays in getting the sales for the
company.
 Understanding what are the requirements driving schools expects when the vehicle is
brought for service which is completely different from other types of customers.

 Understanding what are the factors which influence the purchase of a particular car
with respect to driving schools.
 Understanding the importance of marketing events which helps the company to
improve sales of the product.
(1)INTRODUCTION OF THE STUDY:
Bangalore's Rs.52,346 crores (US$11.62 billion) economy (2006–07) makes it one of the
major economic centers in India, With the value of city's exports totaling RS.43,221 crores
(US$9.6 billion) in 2004–05. With an economic growth of 10.3%, Bangalore is the fastest
growing major metropolis in India, and is also the country's fourth largest fast moving
consumer goods (FMCG) market. With a per capita income of RS.74,709 (US$1,658.54) in
2006–07, The city is the third largest hub for high net worth individuals and is home to over
10,000 dollar millionaires and about 60,000 super-rich people who have an investable surplus
of Rs.4.5 crores (US$1 million) and Rs. 50 lakhs (US$ 111,000) respectively. No. of Motor
Vehicles (in millions) in Major Cities as per auto India is Delhi 4.8, Bangalore3.1,
Chennai3.0 , Kolkata1.8 Hyderabad1.8, Mumbai1.5.
An automobile, motor car or car is a wheeled motor vehicle used for transporting passengers,
which also carries its own engine or motor. Most definitions of the term specify that

automobiles are designed to run primarily on roads, to have seating for one to eight people, to
typically have four wheels, and to be constructed principally for the transport of people rather
than goods.
As per SIAM (Society of Indian Automobile Manufacturers):

Category 2003- 2004-05 2005-06 2006-07 2007-08 2008-09 2010-11
The classification
04 of segments are done as per length of the vehicle, (Passenger car
Passenger
segment) 98956 120987 130930 154522 177758 183869 239457
vehicle 0 6 0 3 3 7 1
Commercia 27504 353703 391083
A1 - Mini - Upto 3400mm (M800, Nano) 519982 549006 417126 603089
l vehicle 0
A2 Two
- Compact35622
- 3401 to374445 434423
4000mm (Alto, 556126
wagon 500660
r, Zen, i10, A-star, 501030
Swift,i20, 653973
palio, Indica) .
wheelers 3
A3 - Midsize - 4001 to 4500mm (City,Sx4,Dezire, Logan, Accent ,Fiesta ,Verna etc)
A4 - Executive - 4501 to 4700mm (Corolla, civic ,C class, Optra, Octavia, etc)
A5 - Premiun - 4701 to 5000mm (Camry, E class, ,Sonata, Laura, Superb, etc )
A6 - Luxury - Above 5000mm (S class,5 series etc)
Commonly called as “The People's Car”, The launch of this family car was like a dream come
true for Mr. Ratan Tata (Chairman of Tata Group) and all those car lovers across the country
who were really longing to have their own car. Tata Nano is sleek and classy in look. Besides of
its 624 cc, 2 cylinder, MPFI high performance engine and tubeless tyres, this magical car is
comprised of many other fabulous features. Above all, Nano is the cheapest car of the world.
Table A: Automobile production year wise trend

PROBLEM STATEMENT:
The world’s cheapest and the most anticipated car Tata Nano was launched in 23rd March while
its booking started from the second week of April 2009. It was believed that The launch of Tata
Nano leads to growth in the Indian auto market. Tata Nano the smallest car ever in India an it is
available in market with its five variants. It’s all variants are equipped with the same capacity
engine they differs only in terms of other standard features.
With an estimated population of 5.8 million in 2001, Bangalore is the third most populous city in
India and the 28th most populous city in the world. Bangalore was the fastest-growing Indian
metropolis after New Delhi between 1991–2001, with a growth rate of 38% during the decade.
Meanwhile when maruti 800 sales were stopped it was expected that the sales of nano would
improve and It could also affect the two wheeler market. But because of fire occurring incident
and negative publicity in Media the sales of the Nano was not upto the company expectations.
So the company wanted to assess market potential for Nano .So The company asked me to asses
market potential for driving schools in Bangalore city has the number of registered and
unregistered driving schools accounts for 400.Where in the Driving schools the students cutting
across the segments would come to learn the driving, The total students in the driving schools
account for more than eight thousand students. The company main strategy was similar to
maruti’s strategy where the maruti used driving schools to promote the maruti 800 to the driving

school students which helped it to attract large number of first time buyers. So,Tata motors also
tried to adapt similar strategy for improving the sales of Nano and by also tried to understand the
tools which would help in improving the sales of Nano.So the title of the Study is “A study of
variables influencing the purchase of Tata Nano with Respect to Driving Schools In
Bangalore city”
Objective of the study:
 To assess the market potential in the driving school segment.

 To improve the sales by understanding the preferences of driving school owners and
learners.
 To attract more first time buyers including two wheeler segment and learners their by
increasing the sales.
 To identify the supporting tools required for nano sales with respect to motor driving
schools.
 To understand what are the expectations of the first time buyers.
 To understand the customer perception.
 Understanding the satisfactory level of the service provided by earlier products of the
company.
Scope of the study:
Since the project time was for seventy days, The research was carried in only Bangalore city and
the findings are only limited to Bangalore city and the findings are done only for Tata Nano and
not for other cars .

The following facts have been covered under the study:
 There are around 400 driving schools in Bangalore city.
 Out of 400 driving schools 250 are registered and 150 are unregistered schools.
 We have covered around 83 driving schools across Bangalore city and have received
feedback.
 They around 8000 to 10000 learners in these schools largely consists of females and
youngsters.
 To create awareness on the performance on Tata Nano.
 To know which car the learners normally prefers while learning.
METHODOLOGY OF DATA COLLECTION:
Customers are constantly getting product information either through broachers being either sent
by manufacturers, Dealers. Also mass media gives customers a varied range of information about
a product within a short span of time. Our Main method of Data collection includes one to one
interview with driving school owners, principal, Managers and drivers. A questionnaire was
prepared and the respondents responses were collected accordingly.
RESEARCH DESIGN:
A research design is a master plan or model for conducting of formal investigation. It is a blue
print that is followed in completing the study. The research conducted by me is a descriptive
research. This is descriptive in nature because study is focused on Fact investigation in a well
structured form and is a based on primary data.

Primary data collection:
Questionnaire is the main bases of the data collection which consists of 15 questions. The
primary data is mainly collected directly from driving school operators. It is mainly an attempt to
understand the factors which influence the purchase of a new car. The enquiry from the students
for a particular vehicle influence a lot in purchase of a new Car.
 Primary data is collected through structured questionnaire.

 Observation method is used whenever it is considered necessary.
Secondary data collection:
The study was also depended on secondary data. Secondary data was collected from the
company’s website and various business magazines, journals, brochures etc…
The company provides the necessary information for the purpose of study. The main source of
information of secondary data is collected from the following;
 The internal sources of company.

 Books of the company.
 Internet sources.
 Weekly and Bi-weekly magazines.
RESEARCH PLAN:
Because of wide spread population, wider geographical area and time limitation it was not
convenient for me to cover the entire population, So I have chosen sample study for the research.
A sample design is a definite plan for obtaining a sample from the population. It refers to the
technique or procedures that the researcher would adapt in selecting the items to be inched in the
sample i.e. size of the sample.

SAMPLING STUDY:
The list of sampling units from which sample is taken are called sampling frame.
The Banaglore city map was studied and samples were selected from the places where the
driving schools are located in a scattered manner in order to get effective results for the survey
conducted.
I went to each school personally and met the driving school owners, Managers, Drivers in order
to get the feedback and opinion on Nano and to understand what are the tools which would
influence the purchase of Nano to driving schools.
TOTAL SAMPLE SIZE : 83 respondents
AREAS COVERED IN BANGALORE AS UNDER:
Chickpet Basvangudi
Govindrajnaga
N.R. colony r
Mahadevpura Vijayanagar
Bhamshankari Rajajinagar
Giri nagar J.p.Nagar
Hanumanth
nagar Jayanagar
Kormanagala Shesadripuram
Frazer Town BTM
KR puram Marathahalli
Kamaraj Road Puttenehalli
Bull temple
road Shivajinagar
Kanakpura
H.S.R.Layout road
Padmanabnagar

LIMITATIONS OF STUDY:
Despite making all the efforts to make analysis more comprehensive and scientifically valid ,The
study has its only limitations :
The following are some of the limitations of the study:
 The study is confined to Bangalore city only so the data may not be relevant to other
places.
 Time constraint was a problem so it was not possible to make a detail study.
 The study is subjected only to motor driving school customers and may not be relevant
to other class of customers.
 The analysis is based on the opinion ,attitude, perception of the respondents ,The results
at best are near to truth.
Table 3.01: Age group

Age group Number of respondents Percentage
18-35 13 16
35-50 51 61
50-60 12 14
60 and above 7 8
Total 83 100
Graph. 3.01 Shows Age group of driving school owners or operators

Age Group
70% 61%
60%
50%
Age group
40%
30%
16% 14%
20% 8%
10%
0%
18-35 35-50 50-60 60 and above
Analysis:
The range shows in the table that the age group of Driving school operators and were divided
into four groups: a)18-35 b)35-5 c)50-60 d)60 and above.
Interpretation:
As per the survey , out of 83 respondents , 61% of the respondents were in the age group of 35-
50, 16% were of the age group 18-35 and 14% of the respondents were of the age group 50 to
60, 8% of the respondents 60 and above respectively.
Table 3.02: Income level Per Annum.
Income level Number of respondents Percentage
Less than 2.5 lakhs 19 23
2.5 lac to 3.5 lakhs 25 30
3.5 lakhs to 4.5 lakhs 26 31
More than 4.5 lakhs 4 5
No responses 9 11

Total 83 100
Graph no.3.2 Shows income level of the Driving schools owners p.a
Income level
35%
30% 31%
30%
23%
25%
20%
15%
10%
11%
5% 5%
0%
less than 2.5 lakh
2.5 lakh -3.5 lakh
3.5 to 4.5 lakh
4.5 lakh and above
No response
Analysis:
The Income Level of the driving school operators are classified as follows: a) less than 2.5
lakhs b) 2.5 lakhs to 3.5 lakhs C) 3.5 lakhs to 4.5 lakhs d) More than 4.5 lakhs e)no
Response.
Interpretation:
As per the survey 31% of the respondents were in the income group of 3.5 to 4.5 lakhs

p.a and 30% of the respondents were in the income group of 2.5 lakhs to 3.5 lakhs p.a .
23% of the respondents were earning less than 2.5 lakhs p.a . 5% of the respondents were
in the group of 4.5 lakhs and above and 11% of the respondents didn’t expressed any
opinion.
Table 3.03: The Types of vehicles in Driving schools
Options No. of respondents Percentage
Both two wheeler and 28 34

four wheeler
Only four wheeler 55 66

Total 83 100
Graph no.3.03 shows types of vehicles in driving schools
0.34
0.66
only four wheeler

both only four wheeler
Analysis:
The types of vehicles in Driving school were classified based on the two groups:
a) Only four wheeler b) Both two wheeler and four wheeler .
Interpretation:
Majority of the Driving schools had the facility of only four wheeler in their Driving
schools. As per the survey it is clear only 66% of the respondents were having only four
wheeler in their driving schools .34% of the respondents were having both two wheeler
and four wheeler in their driving schools.

Table 3.04: The Minimum total distance travelled by one Vehicle in a day.
Options Number of Percentage

Respondents
50 to 60kms 13 16
60 to 80 kms 22 27
80 to 100 kms 28 34
100 and above 20 24
Total 83 100
Graph no. 3.04 Shows minimum distance travelled by one vehicle in a day.
35% Distance Travelled

34%
30%
27%
25%
24%
20%
16%
15%
10%
5%
0%
50 to 60 k.m
60 to 80 k.m
80 to 100 k.m
100 kms& above

Analysis:
The Minimum total distance travelled by One vehicle of the Driving school were classified
into four groups : a) 50 to 60 kms b) 60 to 80 kms c) 80 to 1000 kms d) 100& above
INTERPRETATION:
Taking the four distinct groups we come to conclusion that 34% of the respondents said the
minimum usage of vehicle were around 80 to 100 k.m per day. Around 27 % of the
respondents included who were travelling around 60 to 80 kms. Around 24% of the
respondents said the minimum usage of one vehicle is more than 100k.m a day and more
than 11% of the respondents said the minimum usage was less than 50 to 60 k.m.

Table 3.05: The Maintenance cost incurred on one vehicle per month.
Options Number of Respondents Percentage
3000 to 4000 9 16
4000 to 5000 32 27
5000 to 6000 27 34
6000 and above 15 24
Total 83 100
Graph no 3.05 shows maintenance cost incurred on one vehicle
maintenance cost
35% 34%
30% 27%
25%
20% 16% 24%
15%
10%
5%
0%
3000 to 4000
4000 to 5000
5000 to 6000
more than 6000
A
nalysis:
The maintenance cost of one vehicle incurred per month by driving schools were classified

into four groups :a)3000 to 4000 b)4000 to 5000 c)5000 to 6000 d)more than 6000.
Interpretation:
34% of respondents were spending Rs.5000 to 6000. 27% of respondents were spending Rs.
4000 to 5000 on maintenance cost. 24% of the respondents were spending more than 6000
and the respondents who were spending more than 6000 were usually those who were having
less than 4 vehicles. Most of the respondents who were having more than 12 vehicles were
spending less amount on maintenance cost 16% respondents were spending Rs.3000 to 4000
on maintenance cost of each car per month.
Table 3.06: Number of Cars in Driving School.
Options Number of respondents Percentage
Around 4 37 45
5 to 8 24 29
9 to 12 12 14
12 and above 10 12
Total 83 100
Graph No. 3.06 shows number of cars in driving school

Number of Vehicles
12 & above
12%
Upto 4
9 to 12
14% Upto 4 5 to 8
45% 9 to 12
12 & above
5 to 8
29%
Analysis:
The number of Cars operated by driving schools were classified into four groups :
a)Up to 4 vehicles b)5 to 8 vehicles c)9 to 12 vehicles d)12 vehicles and above
Interpretation:
From the survey we come to know more than 45% of the respondents were having up to 4
vehicles in their driving schools. More than 29% of the respondents were having around 5 to
8 vehicles in their driving schools, 14% of the respondents were having 9 to 12 vehicles in
their driving schools, Around 12 % of the respondents were having more than 12 vehicles in
their driving schools.
Table 3.07: Number of schools having Tata cars.

Respondents
Yes 36 43
No 47 57
Total 83 100
Graph No. 3.07 Shows number of schools using Tata Cars

60%
50%
40% Column3
56.63%
30%
43.37%
20%
10%
0%
Yes No
Analysis:
The Driving Schools were asked whether they are using any Tata Cars or not And their
responses were classified as follows : a)Yes b) no
Interpretation:
From the survey we come to conclusion that around 57% of the Driving Schools were not
having Tata cars in their respectively school. Around 43% of the Driving Schools were
having any Tata cars in their schools. The 43% of respondents who were having Tata cars in
their driving schools were from the localities where middle class people were students of
Driving schools in large numbers..
Table 3.08: Satisfactory level of service provided by Dealerships and service

centers.

Respondents
Good 14 39
Satisfactory 10 27
Not Satisfactory 12 34
Total 36 100

Graph no.3.08 shows the satisfactory level of service provided by dealerships and
authorized service center
Satisfactory level of service provided
Satisfacory; 27%
Not satisfactory; 34% Satisfacory
Good
Not satisfactory
Good; 39%
Analysis:
The understand the Satisfactory level of service provided by company dealers and authorized
service centers to Driving schools were classified into three distinct groups as
a)Satisfactory b)Good c)Not Satisfactory
Interpretation:
From the survey 39% of respondents said the service provided by the dealerships and

Authorized service centers were good. 34% of the respondents said the service provided by
the dealerships and authorized service centers were not satisfied. Around 27% of the
respondents were satisfied with the service provided by dealerships and Authorized service
centers of Tata Motors,
3.09 Willingness to buy a New Car.

respondents
Yes 25 30
No 32 39
Can’t say 26 31
Total 83 100
Graph no.3.09 shows willingness to but new car
Are you willing to buy car

cant say yes
31% 30%
yes
no
cant say
no
39%
39%
Analysis:
The Understand whether the Driving schools were willing to buy new car in near future or not
were classified into three groups such as a) Yes b) NO C) Can’t say.
Interpretation:

From the survey Out of 83 respondents 39% of the respondents were not willing to buy a new
car , and 31% of the respondents were of the opinion that they were not sure whether they will
buy a new car or not. 30% of the respondents were willing to buy new car and around ,As
most of the respondents Said they have recently purchased a new car or they were willing to
buy used cars .
3.10 Preferred small car for Driving School.

Respondents
Tata nano 17 20

Maruti Alto 22 27
Hyundai i10 12 14
Maruti Swift 19 23
Others 13 16
Total 83 100
Graph no. 3.10 Shows Preferred small car among various brands.
Preferences of small car
others
16% Tata Nano
20%
Tata Nano
Maruti alto
Hyundai i10 Maruti Swift
14%
Hyundai i10
others
Maruti alto
27%
Maruti Swift
23%

Analysis:
To understand which Small car is preferred by Driving schools operators based on current
scenario they were given five options such as a)Tata nano b)Maruti alto c) Swift d)Hyundai i10
e)Others.
Interpretation:
Out of 83 respondents 27% of the respondents were willing to buy Maruti alto ,23% of the
respondents said Maruti swift,20% of the respondents were willing to buy Tata Nano, 14%
preferred Hyundai i10 and 16% respondents preferred other cars such as Santro ,Tata Indica,
Maruti 800 etc…
3.11 Preferred Scheme while making the purchase of car.

Respondents

Exchange offers 36 43
Warranty Schemes 18 22
Extra Discounts 25 30
Exchange offers 04 5
Total 83 100
Graph No. 3.11 shows types of schemes
Types of schemes
Exchange offers
5%
Low interst rates

Extra Discounts Low interst rates Warranty schemes
30% 43%
43% Extra Discounts
Exchange offers
Warranty schemes
22%

Analysis:
TO understand which types of schemes Driving school operator would prefer while making the
purchase of the car. The type of schemes were classified as a) Low interest rates B) Warranty
schemes c) extra discounts d) Exchange offers .
INTERPRETATION:
From the study based on four parameters we come to conclusion that most of the respondents
approximately around 43% of the respondents preferred low interest rates , where as 30% of the
respondents preferred extra discounts , 22% of the respondents preferred warranty and around
5% of the respondents said that they want exchange offers . The respondents who preferred
exchange offers were largely who purchasing used cars for driving school for training their
students.
3.12 Amount of loan on Ex-showroom price while making the purchase of the
car

Respondents
25 to 50 05 6
50 to 70 34 41
70 to 80 21 25
100 14 17
Full Cash 09 11
Total 83 100
Graph No. 3.12 the Amount of loan driving school owners are willing to make on Ex-
showroom price
Amount of loan
45% 41%
40%
35%
30% 25%
Amount of loan
25%
20% 17%
15% 11%
10% 6%
5%
0%
25 to 50% 50 to 70% 70 to 80% 100% Full cash

Analysis:
The respondents were asked what percentage of the amount they would preferred to make
loan on ex-show room price while making the purchase of the car. The options were as
follows a) 25 to 50% b) 50 to 70% c) 70 to 80% d) 100% e) Full cash.
Interpretation:
Out of 83 respondents Around 41% of the respondents preferred to take loan around 50 to
70% on ex-showroom price, While 25% of the respondents said they normally take loan
around 70 to 80% on ex show room price, While around 17% of the respondents said they
would be ready to take 100% loan on ex-showroom price on new car if financial companies
are ready to provide loans, While only 6% of the respondents said they would take loan of
around 25 to 50%, While 11% of the respondents said they would purchase the car by paying
full cash price.

3.13 Waiting period for the delivery of the car.

Respondents
Within 15 days 34 41
1 month 31 37
2 months 12 14
3 months 6 7
Total 83 100
Graph No. 3.13 Shows waiting period for the Delivery of the Car
45%
41%
40% 37%
35%
30%
25%
Column2
20%
14%
15%
10%
7%
5%
0%
with in 15 days 1 month 2 months 3 months

Analysis:
To understand how long the delivery of the vehicle is expected by driving schools once the
vehicle is booked ,They were classified into 4 options a) within 15 days b)1 month
c)2months d)3months.
INTERPRETATION:
Around 41% of the respondents wanted the delivery of the car within 15 days, Where as 37%
of the respondents were willing to wait till one month for the delivery of the car, Where as
more than 14% of the respondents were willing to wait for two months and only 7% of the
respondents were willing to wait for three months once the car is booked.

3.14 Willingness to buy Tata Nano for driving school.

Respondents
Yes 22 27
No 47 57
No Opinion 14 17
Total 83 100
Chart No.3.14 Willingness to Buy Nano for Driving schools
Are you willing to buy tata nano

yes
no opnion 27%
17%
yes
no
no opnion
no
57%
Analysis:
To understand whether driving schools were willing to buy Nano they were given option yes or
no and those who didn’t expressed any opinion were considered as no opinion.

INTERPRETATION:
From the study Around 57% of the respondents were not willing to buy nano has no driving
schools has used Nano, 27% of the respondents were willing to buy nano, Around 17% didn’t
expressed any opinions whether they are ready to buy or not.
3.15 Opinion on Tata Nano.

Respondents
Favorable 29 35
Un Favorable 23 37
No Opinion 31 28
Total 83 100
Graph No. 3.15 Table showing Opinion on Tata nano of Driving School owners
Opinion on Nano
Favourable Favourable
No comments 35% Unfavourable
37%
No comments
Unfavourable
28%

Analysis:
The understand driving school operators opinion on nano they were asked to express their
opinion on Tata Nano and the responses were classified into two categories: a) Favorable
opinion b) Un- favorable opinion and those who didn’t expressed any opinion on nano were
classified as No comments.
Interpretation:
From the survey More than 37%of the respondents didn’t expressed any opinion as they were
unaware about the performance of nano. 35%respondents gave favorable opinion on Tata Nano ,
Mean While 28% of the respondents opinion were classified as unfavorable as they didn’t
expressed favorable opinion.

(3)FINDINGS OF THE STUDY:
The findings of the following study are as follows;
 Majority of those who were operating Driving schools were of the age group 35-50 and
they constituted around 60%.
 The Income level of majority of driving school operator is between 2.5 lakhs to 4.5 lakhs
per annum.
 More than 64% of the driving schools were teaching only four wheelers in their
respective driving schools.
 34% of the operators said the minimum distance they were travelling is around 80k.ms on
one vehicle.
 34% of the respondents were spending around 5000 to 6000 on their maintenance cost of
the car per month.
 Around 45% of the respondents were having upto four cars in their driving schools.
 Only 43% Of the respondents were having Tata Cars in their schools .
 Only 39% of the respondents said that the service provided by the dealership and
authorized service centers were good and 27% of the operators said service provided is
satisfactory.
 Only 30% of the operators said they were willing to buy a New a Car.
 More than 50% of the respondents said that they prefer maruti cars for their schools.
 Around 35% of the respondents said they prefer low interest rates than any other
schemes.
 Around 80% of the respondents said they want delivery of the vehicle within one month
once the order is placed.
 Only 27% of the respondents said they would be willing to buy Nano for their driving
schools if schemes are announced particularly for the driving schools.

 Only 35% of the respondents gave favorable opinion on Tata Nano.
(4)Recommendations:
Following are the recommendations are as follows:
 PROMOTION PROGRAMME:
The promotion of Tata Nano should be aggressively done in media. The Promotion
should be focused on performance of Nano and it should also inform the public about the
current financial schemes and accessories which they will be getting while purchasing a
Nano.
 LOWEMI:
The 100%finance schemes looks very attractive to customers on EX-show room price ,
But the rate of interest should be reduced so there can be more buyers has most of the
respondents feel the EMI is very high. The Emi is not affordable for many driving
schools has they consider its too expensive.
 AREA OF OPERATION:
The responses vary depending upon the area where the driving school is located. The
driving schools operated in middle class locality has very good responses for Tata Cars
people are willing to buy Nano but are concerned about the safety and availability of
spare parts for Nano.
 CURRENT ON ROAD PRICE:

The company should inform the public about new on-road price has most of them still
think it has one lakh rupee car and are unaware of the new on road price. Where the
NANO CX and NANOLX current price is more than two lakh rupees.
 SIMILAR SCHEMES:
Most of the Driving school owners are willing to buy Nano but they want similar
schemes given by maruti udyog ltd .The company should design the schemes in the
month of march for driving schools has their peak season of business begins from the
month of April until July.
 PROMOTIONAL CAMPAIGN:
The company should ask it dealers to create aggressive promotion in the top driving
schools because all of them will be learners and most of them will be first time buyers .
Since most of the learners collect feedback from the driving school principals befor
purchasing a new car.
 TIE UP WITH DRIVING SCHOOLS:

Maruti udyog dealers have tied up with many driving school owners where they provide
commission to driving school men on sale of their cars ,which they make to their
students. Why can’t Tata motors follow similar strategy to improve sales of Nano has
there are more than 400 driving schools in Bangalore city and the number of learners
accounts for more than ten thousands.
 PERFORMANCE AWARENESS CAMPAIGN:

The company should try to create performance awareness campaign particularly for
driving school owners as most of them are unaware of performance of nano ,Should
clarify their doubts on safety issues and technical issues .By this the company can

overcome the negative publicity happened due to fire occurring incidents on nano.
CONCLUSIONS:
From the study it is evident that even though Maruti 800 is not in the market but still driving
school customer considers Maruti alto and swift has the perfect replacement for 800 in the small
car segment. The purchase of Maruti cars is greatly influenced because of the performance of the
vehicle.
Even though Tata Nano has been positioned has the cheap car people are mainly worried
because they are unaware of the performance of Nano. From the survey we can also make out the
segment is not satisfied with service provided by the Dealerships and authorized service centers.
From the survey we can make out that people prefer low Emi on the loans, Extra Discounts is
very useful because the difference of on road price between Nano and Alto is very less. The
survey also indicates people expect quick Delivery from the company once the vehicle is booked.
Since, This was the first time the company was targeting the driving school segment and its
learners only 28% of the respondents expressed unfavorable opinion on Nano. Though initially it
may not give good results but it will help to make inroads into these segments in a long run.

(5)ANNEXURE1:
QUESTIONNAIRE:
Name: Telephone no:
Address: Email ID:
1.Age:
2.Income level:
a)Less Than 1.5 lakh b)2.5 lakh to 3.5 lakh c)3.5 lakh to 4.5 lakh d)More than 4.5 lak
3.Are you having a vehicle?
a)Only Four Wheeler b)Both Two wheeler and Four wheeler
4.The amount of money you are spending on interest and maintenance of vehicle per month On
one single vehicle?
a)3000 to 4000 b)4000 to 5000 c)5000 to 6000 d)more than 6000
5. The Minimum total distance travelled by your one Vehicle in a particular day?
a)50 to 60 b)60 to80 c)80 to 100 d)100 and above
6.Number of cars you are having in your school.
a)Upto 4 cars b)5 to 8 cars c) 9 to 12 cars d) 12 and above

7.Are you Having Tata Cars In your Schools.
a) Yes b) No
8. Are you willing to buy a car in near future?
a)Yes b)no c) Can’t say
9. Are you satisfied with the service provided by Tata motors Authorized service centers or
dealership?
a)Good b)satisfactory c) Not satisfactory
10.Which small car you would prefer to buy?
a)Tata Nano b)Maruti alto c)Hyundai i10 d)maruti swift
e)others specify…………………………
11.The types of schemes you would prefer while making the purchase of car?
a)low interest rates b)warranty schemes c)extra discounts d )exchange offers
12.The amount of loan you would make on ex-showroom price while making the purchase of
car?
a)25 to 50% b)50 to 70% c)70 to 80% d)100% e)Full cash
13.How long can u wait for making the delivery of the car?
a) with in 15 days b)1 month c)2months d)3months
14.Are you willing to buy tata nano?
a)yes b)no
IF yes why

IF no why
16.What’s your opinion on tata nano ?
Annexure-2: The general technical specification Being submitted to respondents are as follows.
The most common specification is about Tata Nano .Here below is given technical specification
about Nano are as follows:
Dimensions:
Overall Length 3099 mm

Overall Width 1495 mm (1620 with orvm)
Overall Height 1652 mm
Wheel Base 2230 mm
Ground Clearance 180 mm
Min. turning Circle Radius 4m
Seating Capacity 4 persons
Fuel tank Capacity 15 litres
Kerb Weight
Nano 600 kg
Nano CX 615 kg

Nano LX 635 kg
Payload 300 kg
Engine and Transmission:
Engine Type 624 cc, 2 cylinder

Maximum Engine Output 35 PS @ 5250 rpm
Maximum Speed 105 kmph
Grade ability 30%
Transmission Synchromesh on all forward gears
sliding mesh on reverse gear with
overdrive on 4th gear
No. of Gears 4 forward and 1 reverse
Maximum Torque 48 NM @ 3000 +/-500 rpm
Suspension:
Front Independent, Lower Wishbone,

McPherson Strut with gas filled dampers
Back Independent, Semi Trailing arm with coil
spring & gas filled shock absorbers
Brakes:
Brake Type Dual Circuit, Vertical Split operated by

tandem master cylinder
Nano CX With Vacuum Booster
Nano LX With Vacuum Booster
Front 180 mm dia. drum brake
Rear 180 mm dia. drum brake
Wheels and Tyres:
Tyre size Radial and Tubeless

Front Tyre size 135/70 R12
Rear Tyre size 155/65 R12
Spare tyre 135/70 R12
Wheels 4B*12

(6)BIBLIOGRAPHY:
BOOKS REFERRED:
1. Marketing Management........................................... Philip Kotler
2. Business Research methods..................................... Shashi.K.Gupta
WEBSITES
 www.tatamotors.com
 www.Tata nano.org
 www.cardekho.com
 www.knowindia.net
 www.siamindia.com
 www.wikipedia.coms
MAGAZINES AND MATERILAS REFERRED: Motor India, Company

Brochures and Periodicals.


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Variables influencing purchase of Tata Nano w.r.

The history of automobile begins as early as 1769, with the creation of steam

PESIT, Department of MBA Page 1

A DIAGRAMATTIC REPRESENTATION OF INDIAN AUTOMOBILE INDUSTRY:

 India is the second largest two-wheeler market in the world

 Fourth largest commercial vehicle market in the world

 11th largest passenger car market in the world

 Expected to be the seventh largest by 2016

 Target to be $145 billion by 2016

 India attaches more importance to knowledge and technology innovation in the

 The first automotive was rolled out in India in 1897 in Mumbai.

PESIT, Department of MBA Page 2

 Within 2 wheeler, motorcycles contribute 80% of market segment.

 India is the largest 3 wheeler market in the world.

 India is the largest 2 wheeler manufacturer in the world.

 India is second largest tractor manufacturer in the world.

PESIT, Department of MBA Page 3

(A)General Introduction : Background and inception of the company

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(B)NATURE OF BUSINESS CARRIED:

PESIT, Department of MBA Page 5

PESIT, Department of MBA Page 6

Tata Motors is equally focused on environment-friendly technologies in emissions and

PESIT, Department of MBA Page 7

PESIT, Department of MBA Page 8

PESIT, Department of MBA Page 9

(1)Passenger Car : Nano

(2)Utility vehicles: Safari Dicor

(3)Trucks : Medium and heavy commercial vehicles

ICV(Intermediate Commercial vehicles)

LCV (light commercial vehicles)

HCV(Heavy Commercial vehicles)

PESIT, Department of MBA Page 10

(4)Commercial passenger carriers: Cars, Winger, magic

Tata motors have subsidiary/associate companies outside of India as under:

 Tata Daewoo commercial vehicle Co. ltd. Korea

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 Jaguar Land rover

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 Hispano Caracara S.A(HC)

Ratan Tata Chairman

Ravi kant Vice chairman,Non executive

N.A Soonawala Director

Dr.J.J Irani Director

N.N. Wadia Director

Naseer Munjee Director

Subodh Bhargava Director

P.M.Telang M.D-India operations

Chief Executive Officer & Managing

(G) Competitors Information:

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foreign car forms to invest at least US $ 50 million in equity if it wishes to set up

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(I)ACHIEVEMENTS AND AWARDS:

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 Tata Motors IT team bagged an award in IT Services Management category for

(J)WORK FLOW MODEL:

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