Strategic Management of Tata Motors: Analysis and Recommendations

Running head: STRATEGIC MANAGEMENT OF TATA MOTORS
STRATEGIC MANAGEMENT OF TATA MOTORS
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1STRATEGIC MANAGEMENT OF TATA MOTORS
Table of Contents
1. Source Problem............................................................................................................................3
2. Secondary Problem:.....................................................................................................................3
2.1 Tata Motors- Organizational Structuring...............................................................................3
2.2 Tata Motors- Decrease in Sales Of Tata Nano......................................................................4
2.3 Barriers to Entry in International Market..............................................................................4
3. Analysis:......................................................................................................................................5
3.1 Tata Motors- Organizational Structuring...............................................................................5
3.2 Tata Motors- Sales Of Tata Nano..........................................................................................6
4. Alternative Strategies:.................................................................................................................6
4.1 Market Analysis.....................................................................................................................6
4.2 Performance Appraisal System.............................................................................................7
4.3 Enhanced Features For Nano.................................................................................................7
4.4 Effective Communication......................................................................................................7
5. Recommendations:......................................................................................................................8
5.1 Adopting Performance Appraisal System............................................................................8
5.2 Involving in Joint ventures..................................................................................................8
5.3 Innovative Features For Nano.............................................................................................8
6. Implementation, Control And Follow Up:...................................................................................9
References:....................................................................................................................................10

2STRATEGIC MANAGEMENT OF TATA MOTORS
Appendix:......................................................................................................................................12

3STRATEGIC MANAGEMENT OF TATA MOTORS
1. Source Problem
Tata Motors is an international conglomerate from India. Tata Group was founded by
Jamshedji Tata in 1868 and Tata Motors is a crucial part of Tata Group. Tata Motors should
develop its own strong product branding to be leading companies worldwide. over $35 billion
has been set aside by the Tata Group for investment for the next 3 years (Businessline.com
2012). By conducting in-depth and detailed market analysis and widening the perspectives for
innovation Tata Motor can attains it desired goal.
The strategy of Tata Group in its home market that is India differs to a great extent from
its overall international ventures. Tata group is extremely decentralized and have high autonomy
related to operations and strategy. With a turnover of more than $70 billion, it has wide range of
interests that involves steel, cars, chemicals, retailing, hotels and IT consultancy (Witze, 2010).
The acquisitions of steelmaker Corus in 2007 and in the following year Jaguar Land Rover were
very high-profile. Moreover, steel mines in Vietnam, Thailand and Singapore. Generally the
international ventures made by Ratan Tata consist of various takeovers and acquisitions
(Khandelwal, 2016). Many acquisitions were also made in Asia, North America and Europe.
Tata steel is growing globally therefore joint venture is one of the best options to build
relationship with the international companies as well as governments.
2. Secondary Problem:
2.1 Tata Motors- Organizational Structuring
Tata Motor should lay more focus in restructuring its organizational practices effectively
(Kolk, 2016). Since January 2107, employee turnover has rapidly increased as the company has