Tata Motors Capture Increase Market Share In India Marketing Essay

Tata Motors Capture Increase Market Sh ar In India Marketing EssayThe acquisition of the two global brands- Jaguar and belt down wanderer acts in a crucial way to increase and break dance the brand temper and the quality of products for Tata Motors. It provides plenty of opportunity to the Indian consumer and the evolution Indian automobile look intoet tush withal help the engross of brands in the long. It give the bounce reap economies of scale with component sourcing and disordered cost engineering.WeaknessWith incompatible product portfolios for some(prenominal) brands it will be a challenging task ahead to market the aforementioned(prenominal) in the price sensitive Indian market. But this could be overcome through proper market research. Another concern is the diminishing image repayable to the continued losses and a de motivated work force collectable to the multifariousness in management. With right training and incentives and proper selling strategies the play along can convert these negatives to strengths.OpportunitiesThis launch is a capital opportunity for the Indian client and target the growing Indian market. Automobile market is develop in India and placed with launch of Nano, Tata Motors will be in a good position capture a larger sh are of the market.Threatsincrease fuel prices combined with global meltdown will be a challenge for the social club to stay afloat and over come the losses. In addition the strong competition can threaten the expected gross r dismantleue of the caller-out. However the inherent financial and managerial strength of the conglomerate should be able to let the company withstand the challenges and move ahead. A danger that remains is that with the innovative ownership international brand loyalties whitethorn change and customers may move towards other models in the market.Ansoff MatrixThe Ansoff Matrix is an analytical tool that helps managers to devise their product and market fruit strategie s. It consists of four growth strategies namely- Market penetration, Market Development under new and existing and markets AND product development, Diversification under new and existing products.2Ansoff Matrix-Existing product innovative productExisting marketMarket penetrationThis schema mainly applies for those line of descentes that focus on selling existing products in the existing markets. It is a low- risk strategy and helps to increase the market share of its current products.3 divulgeput developmentThis strategy involves businesses aiming to sell new products in existing markets. This strategy is similarly a reason for acquiring another company as the costs of run lowing another company can be deliver and different types of customers can be catered. This strategy is also useful for businesses utilise brand expansion strategies.4New marketMarket DevelopmentThis order serves for those businesses that apply the strategy of selling existing products into newer markets .5Such techniques are utilise by businesses that plan to expand their business and attain higher customer base.DiversificationIt refers to the high risk growth strategy that involves a business marketing new products in new markets. Parent companies can pull ahead from having a presence in a range of products and markets in different regions of the world.6Market Penetration-Tata could continue with the same strategy that it had adopted for the UK for the rest of world. The estate, coupe and decipherable saloon models of Jaguar and the Freelander and frame spider sport of cut Rover selling in the existing markets UK can help them to gain salary and increase in sales in other markets due to the reputation of the brands.For the new models that are planned to launch, promoting and advertising can be a good choice for the loyals to maintain their position in the market and to describe more consumers and build customer loyalty. Tata Indica and other commercial vehicles like Tata peg are examples of Tatas market penetration strategy that exist in the existing markets and are still earning them great profits.Market DevelopmentTata Motors expect applied this strategy to this launch plan as they are already beginning to sell the most famous and highly appreciated products of both the brands such as the XF, XK and XJ models of Jaguar and Defender, Discovery, Range Rover Sport and Range Rover models of Land Rover in the Indian market that is on the whole new for both the firms. Also, while the other long and short-term plans are being strategized, these products can help the firm to have a great introduction to the market and the reviews can help the business in cookery for their future types of products. Establishing popularity and brand loyalty with successful products can be a good option for the firm to begin with in India.Product Development-Tata Motors are founding the smallest motorcar the famed Tata Nano in the Indian markets which is a new product by the firm and launched in existing markets of India and other countries where Tata Motors operate. This car can be useful for the firm as they can good generate profits through this product as well as their brand name. Also, the firm can compete with other businesses in the same market with the help of these products. Tata Starbus and Tata Xover are other new products that have been launched by Tata Motors in India and other existing markets of Tata Motors.Diversification-The new products planned by Tata Motors through the Jaguar and Land Rover brands can be categorized in diversification. The company plans of manufacturing hybrid, electric and bio-fuels based and environmental friendly cars with the help of up-to-the-minute technology through both of these brands which can be useful in boosting the brand image of the firm. Also, there may be an increase in the profits of the firm as the hybrid cars are said to be the future of automobiles in order to save the earth from polluti on. These new products launched in the new markets of India and others can be termed as diversified strategy of the firm. Tata Nano can also be included in this strategy as it is also a new product and is planned to be launched into new markets of African and Asian countries.Asset led marketingAsset led marketing is a strategy that is adopted by the business for the sales of their products or go. Here, the firm uses its intangible assets for introducing a new product in the market. Tata Motors is a well- establish and well-known firm and a part of the parent company Tata and Sons. Thus, in order to launch its products or services in the market and start off with immediate sales and profits, Tatas can use this which may even be applicable for introduction the two automobile brands. Tata Motors have been in the news for past several months due to the launch of the worlds cheapest car in India- Tata Nano manufactured by their own company. Simultaneously launching two brands can help Tatas in gaining a lot of customer attention and consequently a larger customer base. The well established and elegant brands with the giant prestige of Tata Motors can help the firms in garnering enormous amounts of profits and gaining control over their competitors.Evaluation The biggest advantage of this acquisition is that the firm energy see an increase in sales of the cars due to both firms intercontinental luxury brand reputation and also due to the services and quality provided by the cars.But at the same time, the number of competitors in the booming automobile market of India has increased and finding their way out to satisfy the customers with different marketing strategies can be very dear(p) for the firm.Tata Motors can implement various strategies such as advertising and also, various schemes can be used which guarantee consumer satisfaction and can also render to be a part of customer attraction. These strategies can prove to be useful in boosting the brand ima ge and the sales of the company as well.Short- term problems faced by the firm may be the recovering of the costs that has been put into the acquisition and the launch of Jaguar and Land Rover cars. The high manufacturing costs of Tata Motors, Jaguar and Land Rover might prove to be another reason for the losses in the accounts of the Tata Motors. The long-term problems can be an increase in competition as the Indian automobile market is developing at a rapid rate. If the company suffers losses, then there might be the need for job redundancies, thus leading to worker de-motivation.ConclusionTo conclude, the acquisition of Jaguar and Land Rover brands may be risky due to the global slowdown that Tata Motors with its brand name and established presence in India can survive in the long run.Tata Group, a huge multinational giant worldwide can capitalize through cross-subsidization. I think that by promoting the products and launching it along with Tata Nano will be useful as each can be a backup for the other in the future. The workforce can be motivated through good learning experience as they may have access to the technology used in manufacturing these superior cars but at the same time, if the products fail to create a mark on customers, the workers may feel insecure as job redundancies may be adopted by Tata Motors to struggle with their own financial portfolio.Bibliography-http//uk.reuters.com/ term/idUKTRE55R0LK20090628?pageNumber=2virtualBrandChannel=0http//www.autoblogs.in/2009/06/tata-jaguar-land-rover-launch-india.htmlhttp//free-sms-mms.blogspot.com/2009/06/tata-jaguar-land-rover-launched-in.htmlhttp//www.zeenews.com/news542730.htmlhttp//sify.com/finance/fullstory.php?id=14790692http//www.businessworld.in/index.php/In-The-News/Rough-Roads-Ahead.htmlhttp//business.outlookindia.com/inner.aspx?articleid=1225subcatgid=611editionid=36catgid=44http//www.tata.in/media/reports/inside.aspx?artid=r8CuZiHSZ2o=http//money.rediff.com/companies/tata-motors-ltd/10 510008/profit-and-losshttp//www.moneycontrol.com/financials/tatamotors/profit-loss/TM03http//www.moneycontrol.com/financials/tatamotors/balance-sheet/TM03http//www.moneycontrol.com/financials/tatamotors/ratios/TM03http//en.wikipedia.org/wiki/Tata_Motors