Challenges Faced by Tata Group: A Case Study

Running head: MANAGEMENT
International Management
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Source Problem
The Tata group is a global enterprise that has its business operations ranging from the
likes of steel, motors, consultancy services, beverages, tele-services along with a large
number of different kinds of telecommunication services and hotels. The large variety of the
businesses operations and the large amount of revenue and expenses incurred by the company
to control the businesses requires a huge employee strength of more than 700,000 people
globally. There are different kind of challenges faced by the business organization which
includes the likes of the talent retention and retention of the founding values of the system.
According to, Pattnaik, Lu & Gaur (2018) the failure to generate the coherent strategy of the
organization in the proper manner can also be the main reason for the creation of different
kinds of the source problems. Apart from this the involvement of Ratan Tata personally in the
different business deals and acquisitions concerning the likes of the steel, automobiles and the
telecommunications industry is also termed as a major problem for the industry. The major
source issue of the organization has thus been identified. The identification of these source
problems can thus be said to be as important achievements in the success and sustainability of
the business organization (Tata.com, 2019).
Secondary Problems
Secondary problem 1
Like the source program of the organization, a number of different kinds of the
secondary problems are also found in the following company. The expansion policy of the
business organization has resulted in an increase in the management bandwidth with the
maintenance of a number of different kinds of ethical standards (Contractor, 2016). The
following is generally considered to be the vast number of different types of the individual
business operations that re located across a number of global geographical locations. The

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national culture of the company can be referred to as the unavoidable consequence (Singh et
al., 2018). The Tata Group finds it difficult to manage the founding ethical and CSR
standards all across its different units around the globe.
Secondary problem 2
The Tata group of industries has taken huge advantage of the cheap labour and
technological talent along with the vast amount of raw material availability in India.
However, the company fails in the long run as because the management of the company faces
constant threat from the other companies in order to acquire the talent and finally the share in
the competitive market from that of the local competitors and the deep pocketed
multinationals (Özcan, Mondragon & Harindranath, 2018).
The two different secondary problems that has been identified have thus proved to be
the main hurdles for the company in their quest for expansion across the globe. The global
expansion must be completed in a proper manner in order to ensure a smooth range of
business operations (Yin & Jamali, 2016).
Analysis of two secondary problems
Analysis 1
The consideration of the hugeness of the Tata Group, Ratan Tata himself admitted
that his company was up against a number of business challenges that can lead to the
underlying of the identity of the Company’s commitment to the presentation of a corporate
social responsibility. According to, Jain (2018) the maintenance of the CSR initiatives is one
of the most important in the business as because the policies and the procedures of the
company clearly provided a separate entity for the organization and the business
organization. The group’s internal commitment to its staff, some of which were offered full
pay till retirement age and the lifelong health care (Kolk, 2016). The strategy of the business