Sustainable Management and Marketing of Tata Motors

This report explores the concepts and understanding related to sustainable management and marketing, focusing on Tata Motors. It discusses the company's marketing strategies, product strategy, price strategy, place strategy, and promotion strategy. It also examines how Tata Motors applies sustainability principles and evaluates the success of their sustainable marketing strategy.

LA TROBE BUSINESS SCHOOL
SUSTAINABLE MANAGEMENT & MARKETING (BUS5SMM)
Lecturer in charge: (Dr. Hernan Riquelme)
Cohort (Tuesday 10 AM City Campus)
Assessment 2
Student name:
.Student number:
Submission date:

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Content
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Introduction......................................................................................................................................2
About Tata motors.......................................................................................................................2
Marketing strategy...........................................................................................................................3
Product strategy...........................................................................................................................3
Price strategy...............................................................................................................................3
Place strategy...............................................................................................................................3
Promotion strategy.......................................................................................................................4
Sustainable.......................................................................................................................................4
Sustainability principles...............................................................................................................5
Response by the company on the sustainability principles.............................................................6
Evaluation of the success.................................................................................................................8
Conclusion.......................................................................................................................................9
References......................................................................................................................................10

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Introduction
The aim of the report is to explore the concepts and understanding related to the sustainable
management and marketing. The sustainable management is created in application of the
sustainable practices with the different categories. In the growing automobile industry there is
need to manage the sustainability management as well as marketing. The report will talk about
the sustainable management and marketing of Tata motors. It includes the marketing strategies of
the company that shows the description of their products as well as strategies. Further, the
principle of the sustainable marketing as well as management practices within the company has
been done. In addition, it includes the response by the companies in identifying the principles of
sustainability. The evaluation of the success of the company’s marketing sustainable strategy has
been done in report.
About Tata motors
Tata motors Limited is considered as one of the largest automobile producer in the market of
India. The company provide the wide range of automobiles that include passenger cars, trucks,
vans, sports cars, construction equipment’s, and many others (Tata motors, 2019).

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Marketing strategy
Product strategy
Tata motors provide the wide range of product that include passenger cars, Trucks, Defence
Vehicles, utility vehicles, Commercial passenger Carriers and others.
(Source: Bhasin, 2019)
Price strategy
The prices of Tata motors are considered as marketing strategy of the company. The prices of the
company are generally affordable, due to which the customers of lower to high class can make
the purchase of products. The company provide the discounts to the customer that includes
special promotion, discount, and many others (Baker, 2014). This strategy is strong for the
company as because of this they are able to attain the profit in the market.
Place strategy
Tata motors strategy for the place is that it prefers to offer the products through extensive dealer
network covering the national as well as international markets (Rothaermel, 2015). The

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distribution of product is done by the company through dealership method to make the product
available to the customers (Bhasin, 2019). In this method, the products that are produced at the
workshop are supplied to the distributors from where they sell the products to the customers.
Promotion strategy
Promotion of the product refers to as generating the awareness about the product in the market
among the customers (David, 2011). Tata motors promote their products in the market with the
help of advertisement as well as after sales services.
The promotion is done by the company through above the line as well as below the line strategy.
In the above the line strategy, the company promote the products through print ads, TV and radio
and other (Chernev, 2018). On the other hand, in above the line the social media strategies are
used in order to promote the products.
Sustainable
Sustainability is considered as the process of maintaining change in a balanced environment
where the direction of investments, exploitation of resources, institutional changes, orientation of

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technological development are done in such a manner that it enables the institutions to meet its
current and future requirements. Tata Motors has applied different activities within their business
model so that sustainable development principles are fulfilled within the business (Srivastava,
Negi, Mishra and Pandey, 2012).
Sustainability principles
The illustrations of the way in which Tata Motors have applied 6 principles of sustainability are:
Recycling: - Recycling is a process of converting the waste materials into new objects and
materials. It acts as a replacement for traditional waste disposal and helps in saving materials and
lowering the emission of greenhouse. It converts waste into potential products, which reduces the
use of fresh raw materials and hence reducing the pollution, waste and improve the utilisation of
energy (Reuter, 2011).
Reducing: This principle suggests reducing the amount of waste that is being generated in the
production of products. Anything that is not beneficial for the company must reduce so as to
improve the overall value chain within the organisation (Bonini and Gorner, 2011). Since the
amounts of resources are less hence reducing, the usage of the new resources will be helpful for
the company.
Managing risk: This is a principle that suggests that a company must be able to manage the
risks that are confronting their business. A company must apply risk management principles to
ensure that they do not put the stakeholders into any kind of unwanted situation. It is crucial that
a firm aligns its profit-generating objective to the risk management so that interests of the
stakeholders can be protected in the longer run (Becker, 2014).

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Safety and health of the stakeholders: In the sustainability, social aspect such as ensuring the
safety and health of the employees is the core principle. Companies need to invest a lot on the
development of practices that ensures safety of the employees at the workplace and at the same
time also ensure that due to their operations other stakeholders health also do not get affected.
Gender equality: For a company gender, equality principle plays a much crucial role. Providing
equal opportunities and avoiding any, kind of discrimination based on the gender must be the
priority of the company (Leach, 2015).
Efficiency: In order to make sustainable business, there must be use of efficiency as a principle.
Efficiency ensures that there is lesser amount of wastage and higher utilisation of resources.
More a company is efficient, higher is the chance of bring sustainability in their business
(Venkateswaran and Roy, 2018).
Response by the company on the sustainability principles
Tata motors of the company response to the sustainability principles that are evidence below: -
 In response to the reducing the environmental impact, the company is reducing the
carbon footprint of operations. The reduction of the carbon footprint of the operations is
done by the Tata motors. The company has increased the share of the renewable energy
from 16.34% in the year 2016-17 to 20.76% in the year 2017-18 of the overall
consumption of the total electricity (India CSR Network, 2019). The company is sourcing
the renewable energy which include wind and solar through the captive generation along
with the on-site as well as off-site Power Purchase Agreements (PPAs).

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 Tata motor strengthening recycling principle of sustainability that is effective in
managing the waste products. Tata motors apply the integrating the circular economy
approach which helps the company to complete a pilot on a closed loop plastic recycling
by forming a new plastic component out of the waste products that are received by the
company from the manufacturing units.
 In response to the safety of stakeholders which is one of the major element of principles
of sustainability towards the community. In the last financial year, the company has
improved the health and safety related performance by 38% the employee health index by
approx. 0.5 (India CSR Network, 2019).
 In response to the gender equality, the company manage both male and female in the
organisation. The company run a skill development programs with the aim to form the
capacity of youth that are unemployed by offering training to both male and females. The
company help farmers as well as women augment their income with the help of
agriculture. The company practice through Samaj Vikas Kendra (SVK) that effectively
contributes in transforming the lives of several women in past two years.
 The mitigation of risk within the organisation, the company has diverse as well as multi-
tiered supply chain that is considered as the integral part of the business. Thus, this has
been determined as one of the critical feature that is connected with the continuity of the
corporate. In order to integrate with the environmental, social and governance (ESG)
components in supply chain for reducing or eliminating the plausible risks that have
created the initiated emphasised engagement with all the preferable suppliers so that they
can effective enhance and manage their ESG performance (Tata motors, 2019). Thus, the

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company should continue the engagement with the suppliers that ensure the sustainable
supply chain management.
 In response to the principle of efficiency, Tata motors initiatives is to generate the
awareness in the market about the green materials that includes Green Plasticizer,
Composite Brake Drum, Primer-less Windshield Glass Sealant and leaf spring. This will
contribute effectively in reducing the cost of company and work effectively in terms of
economic.
Evaluation of the success
From the above analyses, this has been found that the company is successful in achieving the
sustainable management and marketing. The company marketing strategy shows that company
provide the affordable products to the customers that are effective for the customers as they get
in low cost (Wilson and Gilligan, 2012). The efficiency of the company increases and with this,
the company the distribution is done from workshop to distributors. The manufacturing plants of
the company are locally sourced with approx. 57.88% of the material as well as the services by
the suppliers (India CSR Network, 2019). In addition to this, considering the sustainable
principle and their responses this is clear that the company is able to manage their principles in
the effective manner. Moreover, this has been found that the company believes that the corporate
sustainability is considered as local, national, and global endeavour for forming the long-term
economic, social, as well as financial growth majorly for the enterprise as well as for its
stakeholder. Thus, the overall analysis shows that the company is successful in sustainable
marketing of products.

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Conclusion
From the above-based report it can be concluded that sustainability in today’s time is one of the
biggest challenges for the company. For the company of the scale of Tata Motors it is crucial that
they adopt sustainable marketing strategies for their business. Affordable pricing, distribution
through distributors and promotions through all mediums have been their marketing strategies.
They are recycling all the products that can be used for making new products or components.
They are reducing everything that is not adding value to their business or are affecting their long-
term sustainability. They are improving on the engagement of stakeholders so as to the risk that
can confront their business. They have placed women at all the levels of the organisational
structures. At the same time, they continuously improve the technologies to maintain the
efficiency of their operations.

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References
Baker, M. J. (2014) Marketing strategy and management. London: Palgrave Macmillan.
Becker, P. (2014) Sustainability science: Managing risk and resilience for sustainable
development. Newnes.
Bhasin, H. (2019) Marketing Strategy of Tata Motors. [Online] Available from:
https://www.marketing91.com/marketing-strategy-of-tata-motors/ [Accessed on 12th May 2019]
Bonini, S. and Gorner, S. (2011). The business of sustainability. Silicon Valley, CA: McKinsey
and.
Chernev, A. (2018) Strategic marketing management. Chicago:Cerebellum Press.
David, F.R. (2011) Strategic management: Concepts and cases. India: Pearson/Prentice Hall.
India CSR Network (2019) Tata Motors Releases 14th Annual Sustainability Report FY 2017-18.
Retreived from: https://indiacsr.in/tata-motors-releases-14th-annual-sustainability-report-fy-
2017-18/
Leach, M. ed. (2015) Gender equality and sustainable development. Routledge.
Reuter, M.A (2011) Limits of design for recycling and “sustainability”: A review. Waste and
Biomass Valorization, 2(2), pp.183-208.
Rothaermel, F.T. (2015) Strategic management. UK: McGraw-Hill Education.
Srivastava, A. K., Negi, G., Mishra, V., and Pandey, S. (2012) Corporate social responsibility: A
case study of TATA group. IOSR Journal of Business and Management, 3(5), 17-27.

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Tata motors (2019) Company profile. [Online] Available from:
https://www.tatamotors.com/about-us/company-profile/ [Accessed on 12th May 2019]
Tata motors (2019) Sustainability report FY 2016-17. [Online] Available from:
https://www.tatamotors.com/wp-content/uploads/2015/10/06100728/tml-sustainability-report-
2016-17.pdf [Accessed on 12th May 2019]
Venkateswaran, S. and Roy, S. (2018) The Responsible Business Model: Perspectives from the
Tata Group. In Innovation Management and Corporate Social Responsibility(pp. 245-262).
Springer, Cham.
Wilson, R.M. and Gilligan, C. (2012) Strategic marketing management. New York: Routledge.