Swot Analysis of Tata Motors
Assignment 1 Situation and SWOT Analysis Group 5 Section 201 (Hoang Vi Khanh Nguyen, Iris Zhou, Akash Multani, Charles Walker, May Chau)
Introduction The company that we have chosen to focus on for our analysis is Tata Motors, India’s largest automobile company. This report will take a look at the marketing environment by which Tata is surrounded; will attempt to identify key strengths and opportunities that Tata Motors may wish to capitalize on; and will find and warn against glaring weaknesses and hidden threats that Tata Motors needs to guard against. Owing to the fact that Tata Motors is an enormous international company and this is but a brief report, we have decided to focus our attention on the Indian market: this makes up the vast majority of Tata Motors’ sales and is fundamental to understanding the macro-environment that Tata Motors is situated in. Consumer Profile Tata tends to position its brand for a fairly specific kind of consumer. The demographic they target are usually relatively new to the workforce, aged from their middle 20s to early 30s and with a low to middling income (Rahul). These consumers are more impulsive to buy on a whim that the older generation. Further, they want their vehicle to reflect their young image whilst providing reliable and good value transport (Rapp). Their consumers research their product using the web, social media sites, family recommendations, and very often simple car dealerships. Buyers are more often male than female, which despite being hardly surprising given India’s gender power imbalance, is an important factor to take into consideration. Since their purchasing power is relatively low, they tend to care a lot about resale value and maintenance costs. The Indian automobile market is the sixth largest in the world, with over 3.9 million cars being sold in 2011 alone (Rapp). Of this, perhaps just over half would be potential consumers given that India is not a first world country. Direct competitors would be
Introduction The company that we have chosen to focus on for our analysis is Tata Motors, India’s largest automobile company. This report will take a look at the marketing environment by which Tata is surrounded; will attempt to identify key strengths and opportunities that Tata Motors may wish to capitalize on; and will find and warn against glaring weaknesses and hidden threats that Tata Motors needs to guard against. Owing to the fact that Tata Motors is an enormous international company and this is but a brief report, we have decided to focus our attention on the Indian market: this makes up the vast majority of Tata Motors’ sales and is fundamental to understanding the macro-environment that Tata Motors is situated in. Consumer Profile Tata tends to position its brand for a fairly specific kind of consumer. The demographic they target are usually relatively new to the workforce, aged from their middle 20s to early 30s and with a low to middling income (Rahul). These consumers are more impulsive to buy on a whim that the older generation. Further, they want their vehicle to reflect their young image whilst providing reliable and good value transport (Rapp). Their consumers research their product using the web, social media sites, family recommendations, and very often simple car dealerships. Buyers are more often male than female, which despite being hardly surprising given India’s gender power imbalance, is an important factor to take into consideration. Since their purchasing power is relatively low, they tend to care a lot about resale value and maintenance costs. The Indian automobile market is the sixth largest in the world, with over 3.9 million cars being sold in 2011 alone (Rapp). Of this, perhaps just over half would be potential consumers given that India is not a first world country. Direct competitors would be
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