Tata Indica EV Presentation

8/2/2019 Tata Indica EV Presentation

1/22

Iftakhar AlamZakia JamalRicky Singh

Umer SabzweriJaseem PKTong Vanichkobchinda


2/22


3/22

Tata Motors

Established in 1945, Indias largest automobile

company with a portfolio of commercial, passengerand utility vehicles.

The company is the worlds fourth largest truck

manufacturer, and the worlds second largest busmanufacturer.

It is Indias third largest passenger vehicle player.

It has had a strategic alliance with Fiat since 2005.Tata Motors distributes Fiat-branded cars in India.


4/22

TATA INDICA VISTA EV

SPECIFICATION

Engine : Permanent magnet motor

Max Engine output: 55 kW

Max Torque: 157 Nm

Transmission: Single speed

Top Speed: 114 km/h / 71 mph Acceleration: 0-30 km/h 4.5 sec; 0-60 km/h 9.0 sec

Driving range per charge: 160 km / 100 miles(European Combined Drive Cycle)

Battery type: Lithium ion super polymer

Battery Capacity: 26.5 kWh

On a single charge: Travels 177 km while hitting a top speed of 114kmph, 8hours to recharge.

Seating capacity: 4

Doors: 5


5/22

TATA INDICA VISTA EV

Denmark, Norway and the UK are the first three countries on the plan tolaunch.

The Vista EV is being developed and assembled at the InternationalAutomotive Research Centre at the University of Warwick Campus,Coventry.

The battery comes from Swedish manufacturer Miljobil Grenalnd, thedrivetrain from Canadian electrical systems company TM4, and the restof the kit comes from India.

Base price falls between 25,000 to 30,000

The Vista EV does qualify for the UK's 5,000 ($8,041 U.S.) plug-in cargrant which drop its price down to a more reasonable level.


6/22

PEST Analysis

Political Oil prices

Foreign regulation

Overloaded road network Restricting traffic flow by imposing additional taxation

Administrative barriers


7/22

Economical

The target market size maturity of the target market

personal disposable income (PDI)

Currency stability

Labour costs expansion of existing political and economic blocs (EU)


8/22

Social factors Demographic factors

Lifestyles

Technological factors development of information technologies

impact of new technologies on supply chain architecture


9/22

Market Screening

External Environment

Social, cultural, legal, political,

Economic & technological factorsMarket Size & profitability

Internal Environment

Key player in Automobile industry

Own Plant & out sourcing Make the company globalizeInnovation and engineering

Potential Market (By continent)

Asia, Europe and USA

Specific Segment in the country- Middle class

Target Segment- Early adapter, Eco friendly, Young to Middle age


10/22

SWOT Analysis

Useful Analysis to contrast between own andcompetitor activities

InternalAnalysis

Strenghts Weaknesses


11/22

Strengths:

Large distribution network

Vast experience

Good mileage

Strong and robust R&D division

Sturdy body

Tatas brand name

(acquisition of Land Rover)


12/22

Weaknesses:

Unattractive look Crude Interior

Opportunities: High growth rate of premium hatch back segment.

Strategic acquisitions - opportunity to develop its offeringand reach across various segments and geographies.


13/22

Threats: The global automotive industry is intensely competitive.

Continuing globalization and consolidation in theworldwide automotive industry.


14/22

Ranking Markets (Attractiveness)

Weighting UK USA Asia

Market Size 40% 8 5 3

MarketGrowth

20% 7 5 3

Risk of

Investment

20% 4 7 9

InternalConsiderations

20% 7 5 4

Total Score 100% 26 22 19


15/22

Ranking Markets(Ability toCompete)

UK USA Asia

Product fit tomarket

demand

50% 9 5 1

MarketPresence

10% 3 0 2

Resources 20% 7 1 5

Obtainablemarketshare

20% 7 1 2

Total score 100% 26 7 10


16/22

Ability to Compete Vs. Market Attractiveness


17/22

CompetitionElectric vehicles bound for the UK market

Make and Model First UK delivery

Mitsubishi i-MiEV January 2011

Peugeot iOn January 2011

Nissan Leaf February 2011

Citroen C-Zero Early 2011

Tata Indica Vista EV Mid 2012

Vauxhall Ampera Early 2012

Toyota Prius Plug-in Hybrid Early 2012

Daimler Smart Fortwo E Drive Mid 2012

Chevrolet Volt Mid 2012


18/22

Electric car prices

Mitsubishi i-MiEV 23,990

Nissan Leaf 23,990

Tata Indica Vista EV 24,000*

Vauxhall Ampera 28,995

*before the 5000 government subsidy

Current choice of electric car is limited in the UKSome of the designs are well, not overly easy on theeye.Prices are also currently quite high.


19/22

Market Entry Strategy

Greenfield Entry approach.

Tata Motors European TechnicalCentre TMETC), a wholly owned

subsidiary of Tata Motors. Actively engaged in the design,

development, assembly and

commercialization of the Vista EV andAce EV vehicles on behalf of TataMotors.


20/22

Pros & Cons of Greenfield

Advantages Avoids risk of overpayment

Avoids problem of integration

Still retains full control

Disadvantages

High risk and high commitment

Slower Startup Requires knowledge of foreign market

and culture


21/22

Recommendation

Appropriateness Lack of proper acquisition target

In-house local expertise

Embedded competitive advantage

Recommendation

Correct entry approach has been taken.


22/22

Questions?

Tata Indica EV Presentation

Documents

Transcript of Tata Indica EV Presentation