Tata Motors Limited Innovation Of Electric Cars

TATA MOTORS, LIMITED
Innovation Of
Electric Cars
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Executive Summary
Innovation is the important aspect every business entities pay attention because in the present
developing and competitive market deal with the innovation with effective strategies is
necessary for a long-run journey. Industry of automobile is very wide and it has been
developing many ideas and innovation to facilitate the production of cars and other vehicles
with innovative ideas to increase sells and to attain the sustainable profit. Electronic cars are
most developing innovation and this report will discuss the innovation of the electric cars in
the Tata Motors. Tata Motors is an Indian company that hold global market of the innovation
in the automobiles; this report will examine the external and internal environment affecting
the procedure of innovation in Tata Motors.

Contents
Introduction............................................................................................................... 3
Organisation view....................................................................................................... 4
Innovation of electric cars............................................................................................. 5
Tata motors and innovation......................................................................................... 6
Macro environment analysis........................................................................................... 6
VRIO framework analysis of Tata motors..........................................................................9
Porter’s five forces analysis......................................................................................... 11
SWOT analysis........................................................................................................ 12
Leadership strategy.................................................................................................... 14
Challenges........................................................................................................... 15
Opportunities........................................................................................................ 16
Conclusion.............................................................................................................. 16
References.............................................................................................................. 18

Introduction
This report aims to identify the impact of the changes in the automobile industry, as
introducing the electric cars in the automobile sector leading organisations face challenges to
make strategies meeting the requirement of the innovation. Introducing the electric cars in the
automobile sectors is very effective step taken by industries to reduce the emission impact
over the nature. Automotive industry is facing many developing changes in the industry,
these mass changes affect the small, or big, domestic, and international all types of
companies (Tata 2020). Adaptions of new and developed technologies in the sector of
automotive industry consider three essential and general methods to meet the changes
requirement. These approaches are taking or bringing the new technologies in the industry,
continuously optimization, and enhancement in the manufacturing department, and managing
the effective supply chain to transport and deliver developed products to the targeted
customers (Tata 2020).
This report will discuss impact of the changes on an automotive industry and the method it
used to meet the change with successful return to the organisation; organisation selected for
this assignment is Tata Motors Limited, a successful leading organisation at global level,
operating in many countries with its subsidiaries’ and partnership firms with other leading
organisations (Al Khajeh 2018). This report will analyse internal and external market
conditions to examine the supportive and challenging aspects of the organisational
environment. Various frameworks used to analyse the impact of innovation in the automotive
industry. Electric cars introduced by the automobiles industries are a part of their sustainable
development goals, this innovation sis aimed to save the earth from toxic gases of emission
and to secure the natural oils for the future generation (Al Khajeh 2018). Tata motors
Limited with its initiative and innovative designs has participated actively in the changed

scenario, impact of this change on the organisation is discussed in this report with the
recommendations of suitable strategies to the lead the organisation to adapt the change.
Organisation view
Formerly famous as Tata Engineering and Locomotive Company Limited (TELCO), Tata
Motors Limited is an Indian company operating as a global locomotive industrialized
company was established since 1945, at by J. R. D. Tata at Jamshedpur. Tata Motors Limited
is listed on the Bombay Stock Exchange, New York Stock Exchange in America, and on
National Stock Exchange of India Limited with its annual revenue around ₹ 301,938 Crore
and total assets worth 307,194 Crore. It is a successfully operating company serving in₹
diversified products and services in automobiles, sports cars, transportation vehicles, buses,
coaches, commercial vehicles, auto spare parts, and military vehicles (Barbaro & Spoehr
2014).
Tata Motors Limited is offering services in automotive designing, outsourcing services, and
engineering services at worldwide. Tata group is the parenting company operating the
services in Tata Motors Limited and worldwide operating with the acquisition and
partnership in subsidiaries as Jaguar Land Rover, Tata Technologies, Tata Hispano, and Tata
Daewoo. Research and Development department of the organisation is engaged in planning
the innovative strategies to meet the development in the market. Electronic cars
manufacturing innovation by the leading automobiles companies is very important
innovation, meant to meet the environment development and protect the nature from harmful
gases and emission of toxic gases (Barbaro & Spoehr 2014).
Tata Motors adopted the innovation as a challenging factor to meet the requirement of the
developed innovation in the automobile technology and tried to plan activities in order to
manufacture and selling of the innovative services in the targeted market. it is operating in the

global market hence it need to meet the demand of every country or particulate reign it is
trying to sell its product, Indian market is domestic and selling of the electric cars in the
overseas countries like the United States, have different challenging factors (Bauwens,
Audenaert & Decramer 2019). Innovation of the electronic cars in the industry is a new
concept that the Tata motors limited have to deal in domestic and global automobile market
with the innovative strategies and leadership.
Innovation of electric cars
Innovation in automobile industry play very significant role to develop the external and
internal competition among the industries participating in selling or manufacturing of the cars
in the international market. Innovation of the electronic engines were introduced more than
the expected time one can think, since 1884 first electronic car was introduced by Tesla
motors in London and another design was produced in Germany in 1888 as the Flocken
Elektrowagen (Conlon & Perkins 2018). Late in the 18th century and 19th century, electric
cars became popular because of their cosiness and comfort of use by equalling technology at
the time. Electric cars are running effectively in the innovative world of automobiles, because
many developing technologies used in the electronic cars provide effective solution to the
issues related with the old conventional vehicles or cars (Lee 2019).
New electric cars are very popular because these are very effective and easy to use with
effective outcomes to the user and manufactures as well. These cars are free of the emission
of the harmful gases hence these are very suitable for the environment (Busse &
Regenberg 2018).
Rapid increase or hike in the price of the petrol and gases needed to run the old conventional
vehicles many challenges were occurring in the automobile sector, but electric cars consumes
the power and electricity and these are easily chargeable at home like smart phones for the