1.

Industry Overview
The automobile industry in India is the eleventh largest in the world with an annual production of approximately 2 million units. India is expected to overtake China as the world's fastest growing car market in terms of the number of units sold and the automotive industry is one of the fastest growing manufacturing sectors in India. Because of its large market (India has a population of 1.1 billion; the second largest in the world), a low base of car ownership (7 per 1,000 people) and a surging economy, India has become a huge attraction for car manufacturers around the world. The automotive industry directly and indirectly employs 13 million individuals in India. The industry is valued at about US$ 35 billion contributing about 3.1% of India's GDP (nominal). India's cost-competitive auto components industry is the second largest in the world. In addition, India's motorcycle market is also the second largest in the world with annual sales of about 5 million units. Among the two-wheeler segment, motorcycles have major share in the market. Hero Honda contributes 50% motorcycles to the market. In it Honda holds 46% share in scooter and TVS makes 82% of the mopeds in the country. 40% of the three-wheelers are used as goods transport purpose. Piaggio holds 40% of the market share. Among the passenger transport, Bajaj is the leader by making 68% of the three-wheelers.
Cars

dominate the passenger vehicle market by 79%. Maruti Suzuki has 52% share in

passenger cars and is a complete monopoly in multi purpose vehicles. In utility vehicles Mahindra holds 42% share. In commercial vehicle, Tata Motors dominates the market with more than 60% share. Tata Motors is also the world's fifth largest medium & heavy commercial vehicle manufacturer.
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Since the first car rolled out on the streets of Mumbai (then Bombay) in 1898, the Automobile Industry of India has come a long way. During its early stages the auto industry was overlooked by the then Government and the policies were also not favorable. The liberalization policy and various tax reliefs by the Govt. of India in recent years has made remarkable impacts on Indian Automobile Industry. Indian auto industry, which is currently growing at the pace of around 18 % per annum, has become a hot destination for global auto players like Volvo, General Motors and Ford. A well developed transportation system plays a key role in the development of an economy, and India is no exception to it. With the growth of transportation system the Automotive Industry of India is also growing at rapid speed, occupying an important place on the 'canvas' of Indian economy.

1.1 Snippets

The first automobile in India rolled in 1897 in Bombay. India is being recognized as potential emerging auto market. Foreign players are adding to their investments in Indian auto industry. Within two-wheelers, motorcycles contribute 80% of the segment size. Unlike the USA, the Indian passenger vehicle market is dominated by cars (79%). Tata Motors dominates over 60% of the Indian commercial vehicle market. 2/3rd of auto component production is consumed directly by OEMs. India is the largest three-wheeler market in the world. India is the largest two-wheeler manufacturer in the world. India is the fifth largest commercial vehicle manufacturer in the world. The number one global motorcycle manufacturer is in India.

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India is the fourth largest car market in Asia - recently crossed the 1 million mark.

1.2 Segment Know How

Among the two-wheeler segment, motorcycles have major share in the market. Hero Honda contributes 50% motorcycles to the market. In it Honda holds 46% share in scooter and TVS makes 82% of the mopeds in the country. 40% of the three-wheelers are used as goods transport purpose. Piaggio holds 40% of the market share. Among the passenger transport, Bajaj is the leader by making 68% of the three-wheelers. Cars dominate the passenger vehicle market by 79%. Maruti Suzuki has 52% share in passenger cars and is a complete monopoly in multi purpose vehicles. In utility vehicles Mahindra holds 42% share. In commercial vehicle, Tata Motors dominates the market with more than 60% share. Tata Motors is also the world's fifth largest medium & heavy commercial vehicle manufacturer.

1.3 Industry Growth Drivers

The passenger car penetration in India is at 8.5 vehicles per thousand people absolute terms. It is among the lowest in the world. As per capita GDP of a society grows, mobility needs for its population rapidly increase. The proportion of young people, who are economically active, is rising in the overall population. This has led to increasing urbanization and the need for mobility which translates into a higher demand for two and four wheelers in India.

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 Relatively good availability of money and a favorable interest rate regime has also been a strong contributor to sustained demand. The Indian auto industry is expected to get a boost from the road development programs that the country has undertaken especially the Golden Quadrilateral program and the NSEW corridors with feeder roads. India's competitiveness has enabled it to make a steady foray in International markets with passenger car exports crossing the 100,000 mark in 2004. Multinationals use India as a manufacturing hub for small cars in addition to growing exports from indigenous makers such as Tata Motors and furthermore, India's two-wheeler manufacturers have also stepped up their export plans and apart from export, have also announced CKD operations in many new markets outside India. As India forges free trade agreements (FTA) with Thailand, MERCOSUR and other trading blocs, the industry has the potential to emerge even stronger. However, against this optimism, the industry has felt the effects of cost pressure. The global movement of oil prices has dealt a setback to the country's economic policy. While the threat of inflation seems to have been temporarily brought under control, sustained fuel price hikes and the consequent hike in operating costs for vehicle owners can cause a depression in demand. The past two years have also seen considerable pressure for the industry from input costs. Prices of steel, which is a primary input for the industry, have doubled over the last three years. The situation has forced players to resort to innovative costs whilst meeting rising customer expectations ways to control

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1.4 Industry Statistics

(Source: Society of Indian Automobile Manufacturers, SIAM)

1.4.1 Automobile Production Trend in India

Automobil e Produ ction Trends Category Passenger Cars Utility Vehicles MPVs Total Passenger Vehicels M&HCVs LCVs Total Commercial Vehicl es Three Wheelers Scooters Motorcycles Mopeds Electrict Two Wheelers Total Two Wheelers Grand Total 2001-02 500301 105667 63751 669719 96752 65756 162508 212748 937506 2906323 427498 4271327 5316302 2002-03 557410 114479 51441 723330 120502 83195 203697 276719 848434 3876175 351612 5076221 6279967 2003-04 782562 146325 60673 989560 166123 108917 275040 356223 935279 4355168 332294 5622741 7243564 2004-05 960487 182018 67371 1209876 214807 138896 353703 374445 987498 5193894 348437 6529829 8467853 2005-06 196506 66661 1309300 219295 171788 391083 434423 1021013 6207690 379994 7608697 9743503 (Number of Vehicles) 2006-07 222111 84707 1544850 294266 225734 520000 556124 943974 7112225 379987 7982 8444168 11065142 1046133 1238032

1.4.2 Automobile Domestic Sales in India

Automobil e Domestic Sal es Trends Category Passenger Cars Utility Vehicles MPVs Total Passenger Vehicles M&HCVs LCVs Total Commercial Vehicles Three Wheel ers Scooters Motorcycles Mopeds Electrict Two Wheelers Total Two Wheelers Grand Total 2001-02 509088 104253 61775 675116 89999 56672 146671 200276 908268 2887194 408263 4203725 5225788 2002-03 541491 113620 52087 707198 115711 74971 190682 231529 825648 3647493 338985 4812126 5941535 2003-04 696153 146388 59555 902096 161395 98719 260114 284078 886295 4170445 307509 5364249 6810537 2004-05 820179 176360 65033 1061572 198506 119924 318430 307862 922428 4964753 322584 6209765 7897629 2005-06 882208 194502 66366 1143076 207472 143569 351041 359920 909051 5810599 332741 7052391 8906428 (Number of Vehicl es) 2006-07 1076408 220199 83091 1379698 275600 192282 467882 403909 940673 6553664 355870 7341 7857548 10109037

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1.4.3 Automobile Export Trend

Automobil e Exports Trends Category Passenger Cars Utility Vehicles MPVs Total Passenger Vehicl es M&HCVs LCVs Total Commercial Vehicl es Three Wheelers Scooters Motorcycles Mopeds Electrict Two Wheelers Total Two Wheel ers Grand Total 2001-02 49273 3077 815 53165 4824 7046 11870 15462 28332 56880 18971 104183 184680 2002-03 70263 1177 565 72005 5638 6617 12255 43366 32566 123725 23391 179682 307308 2003-04 125320 3049 922 129291 8188 9244 17432 68144 53687 187287 24078 265052 479919 2004-05 160670 4505 1227 166402 13474 16466 29940 66795 60699 277123 28585 366407 629544 2005-06 169990 4489 1093 175572 14078 26522 40600 76881 83934 386054 43181 513169 806222 (Number of Vehicles) 2006-07 192745 4403 1330 198478 18838 30928 49766 143896 35685 545887 37566 619138 1011278

1.4.4 Installed Capacities in the Indian Automobile Industry

Installed Capacities in the Indian Automobil e Industry 2003-04 2003-2004 Installed Capacity (In Million ) a) Four Wheelers b) Two &Three Wheelers c) Engines 2004-2005 Installed Capacity (In Million) 1.51 a) Four Wheelers 7.83 b) Two &Three Wheelers 0.18 c) Engines 1.72 9.13 0.18

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1.4.5 Gross Turnover of Indian Automobile Manufacturers

Turnover of Automobile Manufacturers 1999-00 to 2004-05 900,000 800,000

Rs (In Millions)

700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 Years

1.4.6 Domestic Market Share for 2006 - 07

Domestic Market Share in 2006-07 Two Wheelers 77%

Passenger Vehicles 14%

CVs 5%

Three Wheelers 4%

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1.5 History of Indian Automobile Industry

While automobiles were introduced to India in the late 1890's, the manufacturing industry only took off after independence in 1947. The protectionist economic policies of the government gave rise in the 1950's to the Hindustan Motors Ambassador, based on a 1950's Morris Oxford, and, is still ubiquitous in the roads and highways of India. Hindustan Motors and a few smaller manufacturers such as Premier Automobiles, Tata Motors, Bajaj Auto, Ashok and Standard Motors held an oligopoly until India's initial economic opening in the 1980's. The maverick Indian politician Sanjay Gandhi championed the need for a "people's car"; the project was realized after his death with the launch of a state-owned firm Maruti Udyog Suzuki which quickly gained over 50% market share. The Maruti 800 became popular because of its low price, high fuel efficiency, reliability and modern features relative to its competition at the time. Tata Motors exported buses and trucks to niche markets in the developing world. The liberalization of 1991 opened the flood gates of competition and growth which have continued up to today. The high growth in the Indian economy has resulted in all major international car manufacturers entering the Indian market. General Motors, Ford, Toyota, Honda, Hyundai and others set up manufacturing plants. Rolls Royce, Bentley and Maybach are examples of the few high end automobile manufacturers which entered India in the recent years. The Tata Nano is at the lower end of the price range costing approx US$ 2,500 and Bugatti Veyron at the other with a price tag of over US$ 2 million. India's love affair with the automobile is famously embodied in the 1920's Rolls Royce collections of the erstwhile maharajas. The growing middle class aspires for the automobile for its convenience and as a status symbol. Upper middle class and wealthy car owners employ full-time chauffeurs to navigate the aggressive and seemingly lawless traffic patterns of most cities. The construction of expressways such as the Mumbai-Pune

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expressway have opened up new touring opportunities. The expected launch of a Formula One circuit in New Delhi is expected to spark public enthusiasm for a motor sporting industry.

1.6 Classification of Automobile Industry

1.6.1 Two Wheelers
India is the second largest producer and manufacturer of two-wheelers in the world. Indian two-wheeler industry has got spectacular growth in the last few years. Indian two-wheeler industry had a small beginning in the early 50's. The Automobile Products of India, started manufacturing scooters in the country. Bikes are a major segment of Indian two wheeler industry, the other two being scooters and mopeds. Indian companies are among the largest two-wheeler manufacturers in the world. Hero Honda and Bajaj Auto are two of the Indian companies that top the list of world companies manufacturing two-wheelers.Easy availability of loans from the banks, relatively low rate of interest and the discount of prices offered by the dealers and manufacturers lead to the increasing demand for two-wheeler vehicles in India. This lead to the strong growth of Indian automobile industry. Major players in the 2-wheeler industry are Hero Honda Motors Ltd (HHML), Honda Motorcycle & Scooter India (P) Ltd (HMSI), Bajaj Auto Ltd (Bajaj Auto) and TVS Motor Company Ltd (TVS)

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1.6.2 Three Wheelers

Global automobile manufacturers have found huge potential markets in a number of developing countries. It is not only the cars, consumer vehicles and two wheelers that are sold in these various countries in large numbers, but the three wheeler market is also quite big in these nations. There are a number of reasons that have resulted into the proliferation of the three wheelers in umpteen countries. Three wheelers are quite economical in terms of manufacturing and maintenance. They have also earned huge popularity due to their easy maneuvering capabilities through the narrow lanes that are prevalent in most of the developing countries. It is not that three wheelers are used only in the developing nations. You will also get to see various brands of three wheeler in different parts of US, UK and some of the European nations. Bajaj Auto, Piaggio is the leading players in the three wheeler industry in most of the Southeast Asian nations. The vehicles have also given rise to the three wheeler accessory industry in many countries. It is believed that numerous people have got employed in various countries due to these three wheelers. Apart from serving the daily need of the commuters the three wheelers also play commendable role in the transportation of several commodities. Seeking the increasing demand of three wheelers, more automobile companies are considering manufacturing these vehicles.

1.6.3 Cars
Cars charm one and all be it a new or a used one. They are in many colors, many varieties and models of cars on sale. The craze for cars never seems to end. In fact the car market is swamped with all segment of cars viz. sports cars, big cars, small cars and many others. Even in developing countries like India, the car market has witnessed tremendous
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growth in the recent years. As a result the competition among the car manufacturer is also increasing and they are finding innovative ways of capturing the market. While Maruti Suzuki India Ltd. has been selling the largest volume of private cars in India for quite some time now, Tata motors has bedazzled the world with the launch of Nano the cheapest car. Various multinational car companies are also selling diverse models of cars in India. Used car market is also growing at a parallel speed. Even big car companies themselves are now buying the used cars and reselling them. Another notable development is the rising popularity of the rental cars in India. This is due mainly to the influx of population from smaller towns to the big cities and expansion of the business community. Car rental agencies have also emerged in large numbers to target the car crazy generation. The easy availability of car loans, financiers have also contributed a lot in the boom of the automobile industry in India. Go for the car of your choice without worrying much for the maintenance tips of cars, insurance, financiers and other car related issues. Automobile India would take care of that

1.6.4 Sports Utility Vehicles

The origin of the sports utility vehicles (SUVs) can be traced back to the usage of military jeeps in the aftermath of the World War II period. On account of their off-road capabilities, the SUVs gradually became popular especially in the rural areas of US and Europe
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and big automobile majors sensed a growing business opportunity. Starting off with the Toyota Land Cruiser , Land Rover made their mark on the global automobile market as the sports utility vehicles. In terms of design and aesthetics, the sports utility vehicles do vary but broadly could be described as non-commercial passenger vehicles built with a body on frame chassis as is seen in many trucks. Known popularly as the "off road vehicle" or "four wheel drive", the SUVs progressively have undergone transformation in design and components for light weight and fuel efficiency have been incorporated into the contemporary sports utility vehicles. No wonder thus that SUVs are increasingly being used for recreational and sporting purposes too. The Indian automobile market in the last few years too has undergone significant transformation. From a few outdated passenger car and truck models to boast of, the car market has grown big and offers a range of choices today. While the country is witness to all kinds of car, the sports utility vehicles too have made a mark in the Indian automobile scene. While Tata Motors and Mahindra & Mahindra are the major domestic car makers with a range of sports utility vehicles, Maruti as the leading Indian car maker was the one to start off with its Maruti Gypsy. Soon Tata Motors came up with its variants of Tata Sumo and Tata Safari while Mahindra & Mahindra launched Voyager, Bolero and Scorpio. Toyota the global auto major from Japan came hard with its own SUVs like Prado, Qualis and Innova. Hindustan Motors in association with its foreign partners launched Pajero while the Korean auto giant Hyundai launched Terracan and Tuscon. In the context of continuously increasing demand for the SUVs in India, both the domestic and foreign car makers are putting their efforts in launching newer and varied form of SUVs.

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1.6.5 Commercial Vehicles

The rapid growth that marked the commercial automobiles' sector after independence can be, to a great degree, seen as a fruition of Nehru's far sighted vision of an industrialized nation and the subsequent exodus of masses to the cities. Today, India's commercial vehicles sector is one of the rapidly growing industries in the country. The output of commercial vehicles in India has shot up to 2.8 times between the years 1998 to 2004; the figure is significant in the light of the fact that the growth in passenger cars has been only 2.2 times between the same period. Some of the automobile companies that are operating in the commercial vehicles sector in India are-

Ashok Leyland - One of the first automobile companies in India, Ashok Leyland was born when Mr. Raghunandan Saran responded affirmatively to Nehru overtures to enter the vacant automobile sector in 1948. Since then the company has seen many tie-ups with reputed international companies and built up a formidable reputation in the country. Ashok Leyland dominates the commercial vehicles sector in India with as many as 375,000 vehicles battling on the Indian roads.

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Force Motors - Force Motors Ltd founded in 1958 as Bajaj Tempo Ltd. is a manufacturer of three wheelers, multi utility and cross country vehicles, light commercial vehicles, tractors and now heavy commercial vehicles. Eicher - Eicher takes great pride in its commercial vehicles that are touted as low priced as well strong. Eicher has a range of Buses, Truck and Chassis. Tata Motors - The first Indian company to come up with an indigenous car, Tata Motors' credentials goes further. In the commercial vehicles sector, Tata Motors manufactures Luxury Buses, Trucks and Tractors. Volvo - One of the latest entrant into the commercial vehicles sector in India, Volvo is the largest producers of heavy trucks in the world. Mahindra and Mahindra - manufactures extremely durable buses, trucks, and three wheelers. Mahindra and Mahindra gives a clear priority to vehicles that are meant to survive rugged use.

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2. Company Overview

Tata Motors Limited is India's largest automobile company, with revenues of Rs. 32,426 crores (USD 7.2 billion) in 2006-07. It is the leader by far in commercial vehicles in each segment, and the second largest in the passenger vehicles market with winning products in the compact, midsize car and utility vehicle segments. The company is the world's fifth largest medium and heavy commercial vehicle manufacturer, and the world's second largest medium and heavy bus manufacturer. Established in 1945, Tata Motors' presence indeed cuts across the length and breadth of India. Over 4 million Tata vehicles ply on Indian roads, since the first rolled out in 1954. The company's manufacturing base is spread across India - Jamshedpur (Jharkhand) in the east, Pune (Maharashtra) in the west, and in the north in Lucknow (Uttar Pradesh) and Pantnagar (Uttarakhand). A new plant is being set up in Singur (close to Kolkata in West Bengal) to manufacture the company's small car. The nation-wide dealership, sales, services and spare parts network comprises over 2,000 touch points. The company also has a strong auto finance operation, TML Financial Services Limited, supporting customers to purchase Tata Motors vehicles. Tata Motors, the first company from India's engineering sector to be listed in the New York Stock Exchange (September 2004), has also emerged as an international automobile company. In 2004, it acquired the Daewoo Commercial Vehicles Company, Korea's second largest truck maker. The rechristened Tata Daewoo Commercial Vehicles
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Company has launched several new products in the Korean market, while also exporting these products to several international markets. Today two-thirds of heavy commercial vehicle exports out of South Korea are from Tata Daewoo. In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a reputed Spanish bus and coach manufacturer, with an option to acquire the remaining stake as well. Hispano's presence is being expanded in other markets. In 2006, it formed a joint venture with the Brazil-based Marcopolo, a global leader in body-building for buses and coaches to manufacture fully-built buses and coaches for India and select international markets. Tata Motors also entered into a joint venture in 2006 with Thonburi Automotive Assembly Plant Company of Thailand to manufacture and market the company's pickup vehicles in Thailand. In 2006, Tata Motors and Fiat Auto formed an industrial joint venture at Ranjangaon (near Pune in Maharashtra, India) to produce both Fiat and Tata cars and Fiat powertrains for the Indian and overseas markets; Tata Motors already distributes and markets Fiat branded cars in India. In 2007, Tata Motors and Fiat Auto entered into an agreement for a Tata license to build a pick-up vehicle bearing the Fiat nameplate at Fiat Group Automobiles' Plant at Crdoba, Argentina. The pick-up will be sold in South and Central America and select European markets. These linkages will further extend Tata Motors' international footprint, established through exports since 1961. While currently about 18% of its revenues are from international business, the company's objective is to expand its international business, both through organic and inorganic growth routes. The company's commercial and passenger vehicles are already being marketed in several countries in Europe, Africa, the Middle East, Australia, South East Asia and South Asia. It has assembly operations in Malaysia, Kenya, Bangladesh, Ukraine, Russia and Senegal. The foundation of the companys growth is a deep understanding of economic stimuli and customer needs, and the ability to translate them into customer-desired offerings through leading edge R&D. The R&D establishment includes a team of 1400 scientists and engineers. The company's Engineering Research Centre was established in 1966, and has facilities in Pune, Jamshedpur and Lucknow. The ERC has enabled pioneering technologies
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and products. It was Tata Motors, which developed the first indigenously developed Light Commercial Vehicle, India's first Sports Utility Vehicle and, in 1998, the Tata Indica, India's first fully indigenous passenger car. Within two years of launch, Tata Indica became India's largest selling car in its segment. The ERC in Pune, among whose facilities are India's only certified crash-test facility and hemi-anechoic chamber for testing of noise and vibration, has received several awards from the Government of India. Some of the more prominent amongst them are the National Award for Research and Development Efforts in Industry in the Mechanical Engineering Industries sector in 1999, the National Award for Successful Commercialisation of Indigenous Technology by an Industrial Concern in 2000, and the CSIR Diamond Jubilee Technology Award in 2004. The company set up the Tata Motors European Technical Centre (TMETC) in 2005 in the UK. TMETC is engaged in design engineering and development of products, supporting Tata Motors' skill sets. Tata Daewoo Commercial Vehicle Company and Hispano Carrocera also have R&D establishments at Gunsan in South Korea and Zaragoza in Spain. The pace of new product development has quickened through an organisation-wide structured New Product Introduction (NPI) process. The process with its formal structure for introducing new vehicles in the market, brings in greater discipline in project execution. The NPI process helped Tata Motors create a new segment, in 2005, by launching the Tata Ace, Indias first indigenously developed mini-truck. The years to come will see the introduction of several other innovative vehicles, all rooted in emerging customer needs. Besides product development, R&D is also focussing on environment-friendly technologies in emissions and alternative fuels. Through its subsidiaries, the company is engaged in engineering and automotive solutions, construction equipment manufacturing, automotive vehicle components manufacturing and supply chain activities, machine tools and factory automation solutions,

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high-precision tooling and plastic and electronic components for automotive and computer applications, and automotive retailing and service operations. True to the tradition of the Tata Group, Tata Motors is committed in letter and spirit to Corporate Social Responsibility. It is a signatory to the United Nations Global Compact, and is engaged in community and social initiatives on labour and environment standards in compliance with the principles of the Global Compact. In accordance with this, it plays an active role in community development, serving rural communities adjacent to its manufacturing locations. With the foundation of its rich heritage, Tata Motors today is etching a refulgent future.

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2.1 Brief History of Manickbag Automobiles Pvt Ltd

In 1920 Manickbag was established by two families headed by visionaries Mr.
Manickchand Shah and Mr.Dharmappa Mirji with business of Rice Mill and Soap factory in Belgaum.Then diversified into the manufacturing and exporting of groundnut oil

In 1950 entered into automobile field by opening of a workshop under the firm
name of Manickbag Engineers. With an advent of Diesel engines in Indian market conversion of petrol engine vehicles with diesel engines was pioneered successfully

In 1951 Manickbag Engineers with the success of workshop was awarded with the
dealership of Simpsons

In 1956 MICO dealership was commenced under the name of Manickag Diesels.
Manickag Automobiles was formed with commencing dealership under Sundaram Motors of Ashok Leyland sub

In 1965 a machine shop was setup for rebuilding of engine under the name of
Manickbag Garage

In 1979 Sundaram Clayton TVS Moped dealership was taken up in Belgaum In 1984 the first branch outside Belgaum was setup in Hubli In 1992 TELCO main dealership was taken for the North Karnataka area In 1993 Manickbag Automobiles branches were opened at Bijapur and Ankola In 1999 Tata Motors passenger car dealership was taken up & was awarded all India
best SSI & CSI by our honorable chairman Shri Ratan Tata in the very first year of operation
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 In 2003 Manickbag Automobiles was transformed into Manickbag Automobiles Pvt

Ltd

in 2004 Manickbag Automobiles Pvt Ltd branch was opened in Gulbarga followed
by sales office in Basavakalyan

By the end of the year 2005 Manickbag Automobiles Pvt Ltd became the largest
networked dealership with 15 sales outlet s across North Karnataka

In 2006 Manickbag was appointed as exclusive dealers for Tata Novus a premium
product from Tata Daewoo commercial vehicle for North Karnataka

Again in the same year Manickbag was appointed as the passenger car dealers for
Belgaum district

Manickbag started of 2007 with the receipt of LOI for selling Fiat products from
their passenger car dealership

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2.1 Manufacturing

Tata Motors owes its leading position in the Indian automobile industry to its strong focus on indigenisation. This focus has driven the Company to set up world-class manufacturing units with state-of-the-art technology. Every stage of product evolutiondesign, development, manufacturing, assembly and quality control, is carried out meticulously. Our manufacturing plants are situated at Jamshedpur in the East, Pune in the West and Lucknow in the North.

2.1.1 Jamshedpur
Established in1945, the Jamshedpur unit was the company's first unit and is spread over an area of 822 acres. It consists of 4 major divisions - Truck Factory, Engine Factory, Cab & Cowl Factories, and the Novus. The Truck Division boasts of two assembly lines. The main assembly line, measuring 180m in length has 20 work stations with a vehicle rolling out every 8 mins. The other line is dedicated to special purpose vehicles and for meeting the requirements of the Indian Army. The Cab, Cowl & Novus Factory is equipped with state- of- art facilities like Centralized Paint Shop and Automated painting set up,

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Robot painting, BIW Fabrication of day & sleeper cabs for trucks, Articulates ( Tractor/ Trailer), BIW Fabrication of Cowls for buses, and other miscellaneous applications. As one of the most modern forging set-ups in the country, the Forge Division is equipped with a semi-automated forging line with 40,000 mkg Beche Hammer and state-ofthe-art presses from Kurimoto of Japan. It produces critical forgings like crankshafts, front axle beams and steering parts for the automobile plant. The new forging line, installed in April 1984, has the capacity to forge front axle beams at 90 sec per piece and crankshafts at 120 sec per piece. Mechanical presses help produce a variety of heavy forgings. The sophisticated FIDIA digit 165 CC Graphite Milling Machine links shop floor machines to the design workstation. The Forge has been certified as ISO 9002 and QS 9000 by the BVQI.

2.1.2 Pune
The Pune unit is spread over 2 geographical regions- Pimpri (800 acres) and Chinchwad (130 acres). It was established in 1966 and has a Production Engineering Division, which has one of the most versatile tool making facilities in the Indian subcontinent. It houses a Vehicle manufacturing complex which is one of the most integrated automotive manufacturing centers in the country producing a large variety of individual items and aggregates. It is engaged in the design and manufacture of sophisticated press tools, jigs, fixtures, gauges, metal pattern and special tools, as well as models for the development of new ranges of automobile products. Its capabilities have enabled Tata Motors to introduce new products and improve existing ones without resorting to imports of dies or fixtures. Over the years, this division has developed expertise in design and manufacture of automated dies, fixtures and welding equipment. Its large design group is fully conversant with state-of-the-art CAD facilities and manufacturing facilities comprising of light and heavy CNC machine shops, jigs boring room, plastic template shop, wood pattern and
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model pattern shop, five axis precision machine tools and laser control machines. To cope with such a diverse range, four assembly lines have been established, one each for MCVs and HCVs, LCVs, Utility vehicles and one for Passenger Cars (Indica and Indigo).

2.1.3 Lucknow:
Tata Motors Lucknow is one of the youngest production facilities among all the Tata Motors locations and was established in 1992 to meet the demand for Commercial Vehicles in the Indian market. The state of art plant is strongly backed by an Engineering Research Centre and Service set-up to support with latest technology and cater to the complexities of automobile manufacturing. Fully Built Vehicle business, which is one of the fast growing areas of our business, is also established in Lucknow Lucknow plant, rolls out commercial vehicles and is specialized in the designing and manufacturing of a range of modern buses which includes Low-floor, Ultra Low-floor, CNG & RE Buses. The Lucknow facility also specializes in manufacturing HCBS (High capacity Bus System) buses.

2.1.4 Uttarakhand
The company has set up a plant for its mini-truck, Ace, at Pant Nagar in Uttarakhand. The plant will begin commercial production during the course of the year. This is the company's fourth plant, after Jamshedpur (commercial vehicles), Pune (commercial vehicles and passenger vehicles) and Lucknow (commercial vehicles). The company is investing about Rs.1000 crores in the plant. Vendors for the vehicle will make additional investments to set up their plants in the vendor park adjoining the plant. The operation will generate about 7500 direct and indirect jobs in the plant, among vendors and service providers in the area

2.2 Research and Development

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Research provides the much-needed inspiration for the birth of new ideas, which in turn breathes new life into products. World-class automotive research and development are key factors that contribute to the leadership of the Company.

2.2.1 Engineering Research Centre (ERC)

The Research Centre at Jamshedpur regularly upgrades components and aggregates. A well-equipped torture track enables rigorous and exhaustive testing of modifications before they are used as regular fitments. The Engineering Research Centre in Pune was setup in 1966 and is among the finest in the country. It has been honored with two prestigious awards - 'The DSIR National Award for R&D Effort in Industry - 1999' and 'National Award for Successful Commercialization of Indigenous Technology by an Industrial Concern - 2000.

2.2.2 Facilities
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 Test Beds Tata Motors has 24 engine test beds for engine development. These are fully automated with computerized data acquisition and logging. They are used to test performance, endurance, and durability. They are also used in development of components and other engine aggregates. Chassis Dynamometer Emission Lab The ERC has a specialized AVL Zollner Chassis Dynamometer with a 508mm-twin roller for checking the emission levels of chassis. It is certified by UTAC, TUV, INTA and ARAI. With a 125 kw generator, it can cater to the maximum vehicle speed km/h. Inertia simulation ranges from 567kg to 3000 kg. Instrumentation Laboratory The 'Instrumentation Laboratory' at ERC Engines is equipped with a range of instruments to assist engine development. These include data acquisition systems, air flow meters, blow-by meters, smoke meters, oil consumption meters, incometer & topometer, piston profile tester, FIP test rig, Swirl test rig, and many other support equipments to cater to routine engine development activities. Reducing Emissions A specialized laboratory has been set up to measure levels of emission of vehicles using petrol, diesel or CNG. This laboratory helps Tata Motors achieve fuel consumption efficiencies that would conform to international standards, under varying driving cycles. It stands testimony to Tata Motors commitment to help bring down levels of atmospheric pollution caused by vehicular exhaust Test Tracks: High-speed tracks are specialized tracks for testing endurance of cars and commercial vehicles. The Tata Motors torture tracks and high-speed tracks in Jamshedpur and Pune are the only one of their kind in the country. The torture track has 4 segments. Each segment affords a different type and level of stress testing for the vehicle chassis
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and aggregates. The tracks subject the chassis to shock, twisting, and bending loads. 1000 cycles on this torture track are equivalent to approximately one and a half lakh kms of running on regular roads. It thus provides a valid test of chassis and vehicle durability. Safety (Crash test facility) Tata Motors ERC is the only high-tech facility in India to evaluate the degree of passenger safety in the event of any high-speed impact. Through a special crash test facility. Different types of accidents are simulated; the results analyzed, and put to use in the development of a vehicle that satisfies stringent international safety norms. Minimizing Noise Anechoic chamber is a highly sophisticated noise and vibration laboratory, the nerve centre of which is a vast chamber lined with 88,000 cones projecting at various angles from the walls and ceiling. It is one of its kind in India and is developed completely with in-house facilities. Designing and Styling The CAD centre is equipped with 53 state-of-the-art CAD stations and the latest software. The CAD centre is a vital organ of ERC's Cab Design Section. CAD designing involves development of vehicle specifications, styling interiors and exteriors, reviewing the styling from the engineering and aesthetic points of view, virtual prototyping to check for design acceptability and feasibility of manufacture.

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2.3 Corporate Social Responsibility

Tata Motors believes in technology for tomorrow. Its products stand testimony to this. Companys annual expenditure on R&D is approximately 2% of our turnover. It has also set up two in-house Engineering Research Centers that house India's only Certified Crash Test Facility. It ensures that its products are environmentally sound in a variety of ways. These include reducing hazardous materials in vehicle components, developing extended life lubricants, fluids and using ozone-friendly refrigerants. Tata Motors has been making conscious effort in the implementation of several environmentally sensitive technologies in manufacturing processes. The Company uses some of the world's most advanced equipment for emission check and control. Tata Motors concern is manifested by a dual approach Reduction of environmental pollution and regular pollution control drives Restoration of ecological balance. Tata Motors has been at the forefront of the Indian automobile industry's antipollution efforts by introducing cleaner engines. It is the first Indian Company to introduce vehicles with Euro norms well ahead of the mandated dates. Tata Motors joint venture with Cummins Engine Company, USA, in 1992, was a pioneering effort to introduce emission control technology for India. Tata Motors has set up effluent treatment facilities in its plants, to avoid release of polluted water into the ecosystem. In Pune, the treated water is conserved in lakes attracting various species of birds from around the world thus turning the space into a green belt. Tree plantation programs involving villagers and Tata Motors employees, have turned acres of barren village green. Tata Motors has planted as many as 80,000 trees in the works and the township and more than 2.4 million trees have been planted in Jamshedpur region. Over half a million trees have been planted in the Poona region. Tata Motors has directed all its suppliers to package their products in alternate materials
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2.3.1 Corporate Sustainability

Integrated Rural Development The company has adopted several villages around its manufacturing units at Pune, Jamshedpur and Lucknow. Integrated Rural Development aims at meeting basic needs in five broad areas - Health, Education, Water, Environment and Livelihoods. Employability The company is establishing the small car plant at Singur in West Bengal. CS at Singur focuses on enhancing the employability of the youth and women in the region through training and skill development. Skills being imparted are attuned to the immediate requirements and future demands that would be generated with the coming of the ancillaries

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3. Collaborations
8th January, 2001 Tata Engineering discusses Co-operative Venture with PSA Peugeot Citroen Tata Engineering and PSA Peugeot Citroen agreed to work together to examine the feasibility of jointly developing a car on a PSA Peugeot Citroen platform for manufacture by Tata Engineering for the Indian market as part of its passenger car business. Subject to the feasibility being established, the car may also be considered for overseas markets. PSA Peugeot Citroen is Europe's second largest carmaker and would contribute one of its existing platforms for the development of a newer generation car and its expertise in designing world class passenger cars. Tata Engineering, as India's largest commercial vehicle manufacturer and a recent entrant in the passenger car market, will contribute its competitive development technology and production processes as well as its understanding of the local market. 12th September, 2002 Tata Group to acquire Jardine Motors' equity in Concorde Motors The Tata Group has reached an agreement with Jardine Motors to acquire its 50% stake in Concorde Motors Limited (CML). CML is currently a joint venture of the Tata Group and Jardine Motors, in which each of the partners holds 50% of the equity and represents Tata Engineering's passenger vehicles 20th December, 2002 Tata Engineering signs a product agreement with MG Rover of the UK Under the agreement, the Tata Indica, incorporating certain Rover-specific modifications, will be manufactured at Tata Engineering's Pune factory. These Roverbranded vehicles will be marketed through Rover's own dealer network in the UK and in continental Europe. Their choice of the Indica to fill a gap in their model range in order to
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address the high volume small car segment is an affirmation of Tata Engineering's product development and manufacturing expertise. This agreement should see a substantial addition to the lifecycle volume of the Tata platform. 11th March, 2003 Tata and Phoenix agree a new distribution arrangement in the UK and Ireland Phoenix Venture Holdings Ltd (PVH), owners of MG Rover Group, signed an agreement with Tata Engineering to distribute the company's Safari off-roader and Loadbeta pick-up trucks in the UK and Irish markets. Given the specialist nature of both utility products, the franchises will be managed by Phoenix Distribution Ltd., a newly created subsidiary of PVH. This agreement will significantly enhance the Tata brand presence in the UK and Ireland. Tata utility vehicles have established a niche presence in the market. New upgraded versions of these vehicles, with contemporary features, will further enhance the value proposition. The vehicles will be distributed through a selection of both MG Rover and former Tata dealerships. The new distribution arrangements will be implemented in the next few months. 29th March, 2004 Tata Motors completes acquisition of Daewoo Commercial Vehicle Company Mr Ratan N Tata said, "This is a historic occasion for Tata Motors and the Tata Group. I am happy to note that this is the largest acquisition by any Indian company in Korea and I look forward to increasing the TATA Group's presence in this country. Korea is a shining example of what can be achieved with diligence and dedication, and I am sure we will learn a lot from operating in South Korea".

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Both Tata Motors and DWCV believe that the combined strengths in technology, customer orientation and product development will provide a cutting edge for competing in international markets and create a new powerhouse in the commercial vehicles industry.

3rd November, 2004 Tata Motors signs MoU with Andhra Bank for Passenger Vehicle Financing Andhra Bank will offer financing facilities to eligible customers of Tata Passenger Vehicles at certain identified branches of the Bank and select Dealer points of Tata Motors. It will offer competitive and innovative schemes and packages for Tata Motor passenger vehicles on an ongoing basis. Further, the customer needs will be evaluated and appropriate financing packages, including product structuring, down payment, tenure of the loan, effective rate of interest will be developed for customers on the best possible terms. The customer's request will be processed by the Bank within three working days, with the necessary supporting documents.

6th December, 2004 Tata Motors nominates State Bank of India as its Preferred Financier for Commercial Vehicles As a Preferred Financier, State Bank of India will work together with Tata Motors to promote and make available organized finance facility at competitive interest rates and concessions to Tata Motors customers all over the country, including those in semi urban and rural areas. As part of the MoU, State Bank of India will offer financing facilities to Tata Motors customers at identified branches of State Bank of India (SBI) and select Tata Motors dealer locations across all states of India. Customer requests will be processed by SBI on best effort basis. It will evaluate the finance needs of the customers and develop appropriate

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financing packages, including product structuring, down payment, tenure of loan and effective rate of interest on best effort basis.

10th January, 2005 Tata Finance Ltd. to be merged with Tata Motors Ltd. The merger is expected to enable the vehicle financing business of Tata Finance to grow stronger by leveraging its synergies of the direct business model with the dealer driven business of Bureau of Hire Purchase and Credits (BHPC), a division of the Company. This merger will also allow the TFL shareholders to participate in the growth of the Company, a leading automobile company in the country and thereby significantly gain with an upside of dividend and shareholder value creation. The proposed merger will enable the Company to grow its auto financing business and offer complete solutions in line with the global best practices in the auto industry. This will also enable the Company to provide a hedge against the cyclicality of the automotive business and a significant value creation for its shareholders. 25th February, 2005 Tata Motors to acquire 21% stake in Hispano Carrocera The Board of Tata Motors, India's largest automobile manufacturing Company, today approved a proposal to acquire 21% stake in Hispano Carrocera S.A (HC), a well known Spanish bus manufacturing Company, with an option to acquire 100% holding. Tata Motors will have the license for technology and brand rights from HC. The total deal consisting of Equity, Debt & Technology Licensing will add up to Euro 12 million (about Rs.70 crores). HC which currently enjoys a market share of 25% in the bus market in Spain, sells its buses in Europe and several other countries outside Europe. It has its own in house product development facility for buses and coaches. "This strategic alliance with Hispano Carrocera will give Tata Motors access to its design and technological capabilities to fully tap the
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growing potential of this segment in India and other export markets, besides providing us with a foothold in developed European markets". 9th December, 2005 Tata Motors, Hitachi, Telcon sign new agreement, enhanced scope of cooperation; Hitachi increases stake to 40% Tata Motors, Hitachi Construction Machinery Co. Ltd. (HCM) and Telco Construction Equipment Company Limited (Telcon), an 80:20 joint venture company between Tata Motors and HCM, signed an agreement, expanding their scope of cooperation and partnership with HCM increasing its stake in Telcon from 20% to 40%. It includes sourcing, by Hitachi, of components and machines from Telcon, introducing newer products of construction equipment in India, setting up a product development facility in India and making Telcon a part of HCM's global network. The new arrangement will help Telcon to significantly improve its product offerings to its customers and make it evolve as a global manufacturing and design hub. 13th January, 2006 Fiat cars to be available in India through Tata dealers from March 2006 Fiat Group and Tata Motors signed an agreement to co-operate on dealer network sharing, which encompasses the sale of Fiat branded cars through selected Tata outlets throughout India. Tata Motors will manage the marketing and distribution of the Fiat branded cars in India. Following this agreement, a targeted selection of Fiat cars and the Tata product range along with service and sale of spare parts will be available from March 2006 through the Tata dealership network. Dealers will display the new Fiat logo alongside the Tata logo at their outlets. 9th March, 2006

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Tata Motors & ATFCAN of Canada join hands to demonstrate advanced CNG Technology for Buses Tata Motors has been manufacturing and marketing CNG buses since 2000, a significant step in Indian road transportation to improve emission standards and to offer better fuel economy. More than 60% of buses plying in Delhi are Tata Motors CNG buses. The replacement of current CNG and diesel engines with new lean-burn CNG engines will translate into substantially lower emissions, higher fuel efficiency and reliable performance. The new roof-mounted cylinders are more than 60% lighter than those currently in use and will provide bus operators with extended driving range, as well as improved vehicle fuel economy. 5th May, 2006 Tata Motors, India, and Marcopolo, Brazil, announce joint venture The joint venture, in which Tata Motors will hold 51% of the equity and Marcopolo will hold 49%, will set up a new manufacturing facility. It will go on stream in a year's time, and produce a variety of buses including 16 to 54-seater standard buses, 18 and 45-seater luxury buses, luxury coaches, and low-floor city buses. The joint venture will also explore emerging opportunities in Bus Rapid Transit System. The joint venture will take help with technology and expertise in chassis and aggregates from Tata Motors, and expertise and know-how in processes and systems for bodybuilding and bus body design from Marcopolo. Both companies will actively participate in the management. The buses will conform to international standards in quality and safety, and will be marketed not only in India but also in all Tata Motors focused markets globally.

14th December, 2006 Fiat Auto and Tata Motors announce forming a joint venture in India
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The agreement calls mainly for the creation and establishment of an industrial joint venture in India, located at the Fiat plant at Ranjangaon, in the State of Maharashtra. With capacities to produce in excess of 100,000 cars and 200,000 engines and transmissions yearly, at steady state, the Ranjangaon plant will manufacture vehicles for the Indian and overseas markets. Both Fiat and Tata vehicles will be manufactured at the same facility, which will be managed equally by the two Shareholder Partners.

Fiat Auto will introduce its premium cars for the B and C segments, namely the Fiat Grande Punto, and the Fiat Linea whose worldwide premiere occurred at the Istanbul Motorshow in early November. Fiat branded cars will be distributed by Tata through the Tata-Fiat dealer network as per the arrangement already in place since March 2006. The Tata-Fiat dealer network will progressively increase to 100 outlets for the launch of the new models to cover the entire length and breadth of the country. Currently, 42 Tata-Fiat dealerships are already operational. Manufacturing of Tata cars in the joint venture will supplement the production capacities of the Tata Motors Car Plant in Pune to meet growing demand and to prepare for new Tata car models. 18th December, 2006 Tata Motors & Thonburi of Thailand set up joint venture in Thailand for pickup trucks The joint venture, in which Tata Motors will hold 70% of the equity and Thonburi 30%, will get vehicles manufactured in Thonburis manufacturing facility. It will go on stream in a years time. The joint venture will facilitate Tata Motors address the Thailand market, the second largest pickup market in the world after the US. Both partners will jointly manage the

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operation. The pickup trucks will conform to international standards in quality and safety, and will be marketed in Thailand and exported to other potential markets in the region.

14th February, 2007 Fiat and Tata announce agreement for pick-up production in Argentina Fiat and Tata Motors are expanding their strategic co-operation with the start of an industrial project outside India. This is a further significant step towards an integrated strategy of targeting specific markets and segments. The pick-up, based on the new generation Tata pick-up truck, will be sold in South and Central America and select European markets through Fiat Automobiles distribution and importer network. This will permit the Fiat brand to aggressively enter the medium pick-up sector, thanks to Tata Motors specific know-how. 26th March, 2008 Tata Motors enters into Definitive Agreement with Ford for purchase of Jaguar Land Rover Tata Motors today announced that it has entered into a definitive agreement with the Ford Motor Company for the purchase of Jaguar Land Rover, comprising brands, plants and Intellectual Property Rights. The transfer of ownership to Tata Motors is expected to close by the end of the next quarter, subject to applicable regulatory approvals. The total amount to be paid in cash by Tata Motors for Jaguar Land Rover upon closing will be approximately US $2.3 billion. At closing, Ford will then contribute up to approximately US $600 million to the Jaguar Land Rover pension plans

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Commenting on the agreement, Chairman of Tata Sons and Tata Motors, Mr. Ratan N. Tata, said, "We are very pleased at the prospect of Jaguar and Land Rover being a significant part of our automotive business. We have enormous respect for the two brands and will endeavour to preserve and build on their heritage and competitiveness, keeping their identities intact. We aim to support their growth, while holding true to our principles of allowing the management and employees to bring their experience and expertise to bear on the growth of the business." Mr. Alan Mulally, President and CEO of the Ford Motor Company, said, "Jaguar and Land Rover are terrific brands. We are confident that they are leaving our fold with the products, plan and team to continue to thrive under Tata's stewardship. Now, it is time for Ford to concentrate on integrating the Ford brand globally, as we implement our plan to create a strong Ford Motor Company that delivers profitable growth for all." As part of the transaction, Ford will continue to supply Jaguar Land Rover for differing periods with powertrains, stampings and other vehicle components, in addition to a variety of technologies, such as environmental and platform technologies. Ford also has committed to provide engineering support, including research and development, plus information technology, accounting and other services.

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4. Product Range

Indica V2 Passenger Cars

Indica Xeta Indigo Marina

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Indica Dicor Indigo Marina

Indigo Fiat Cars

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Indica V2 Passenger Cars

Indica Xeta Indigo Marina

Indica Dicor Indigo Marina

Indigo Fiat Cars

Utility Vehicles

Safari Dicor

Sumo Grande

Sumo

Tata Motors

Buses

Starbus & Globus Medium & Heavy Intermediate Light & Small

Other Buses Tata Novus

Trucks

TL 4X4

Tata Ace

Defence Vehicles

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5. Quality Policy
Tata Motors is committed to maximizing customer satisfaction and strives to achieve the goal of excellence, by continual improvement, through ongoing design and development, manufacture and sale of reliable, safe, cost-effective, quality products and services of international standards, using environmentally sustainable technologies, for improving levels of efficiency and productivity within its plants and ancillaries. Tata Motors also has commitment towards improving the quality of life of its employees, both within and outside its plants and offices, through improved work practices and social welfare schemes. Our Quality Policy underlines our commitment to the manufacture of quality products using environmentally sustainable technologies. The Environmental Policy makes specific commitment to prevention of pollution and management review of the environment management system.

5.1 Environmental Policy

TATA Motors reaffirms its commitment to minimize the adverse impacts of its products, operations and services on the environment. Towards this end, it shall strive to: Establish sound environment objectives and targets & a process of reviewing them. Comply with all applications legal / regulatory & other Environment requirement. Reduce the emission levels of vehicles in full compliance of the regulatory norms & proactively work with the industry, Government, other related industries & agencies to bring in international practices.
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 Use of environmentally sustainable technologies & practices for prevention of

pollution and the continual improvement in environment performance. Conserve natural resources and energy by minimizing their consumption & wastage. Minimize wastage generation, enhance recovery & recycling of material and develop Eco-friendly wastage disposal practices. Building awareness of our work force, customers and vendors on Environment issues.

6. Management Levels

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To focus effectively on the issues and ensure expedient resolution of diverse matters, the Board has constituted a set of Committees with specific terms of reference/scope. The Committees operate as empowered agents of the Board as per their Charter/ terms of reference. Targets set by them as agreed with the management are reviewed periodically and mid-course corrections are also carried out. The minutes of the meetings of all Committees of the Board are placed before the Board for discussions / noting. The relationship between the Board, the Committees and the senior management functions is illustrated alongside.

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6.1 Management of Tata Motors

6.1.1 Board of Directors
Mr. Ratan N Tata (Chairman) Mr. N A Soonawala Dr. J J Irani Mr. V R Mehta Mr. R Gopalakrishnan Mr. Nusli N Wadia Mr. S M Palia Dr. R A Mashelkar Mr. Ravi Kant Mr. P M Telang

6.1.2 Senior Management

Mr. Ravi Kant Managing Director Mr. P M Telang Executive Director (Commercial Vehicles) Mr. Rajiv Dube President (Passenger Cars) Mr. C Ramakrishnan Chief Financial Officer Mr. P Y Gurav Vice President (Corporate Finance-Accounts and Taxation) Dr. S J Tambe Vice President (Human Resource) Mr. Zackria Sait Vice President (Technical Services) Mr. A M Mankad Head (Car Plant) Mr. S B Borwankar Head (Jamshedpur Plant) Mr. S Krishnan Vice President (Commercial-PCBU) Mr Ravi Pisharody Vice President (Sales & Marketing) Mr. H K Sethna Company Secretary

6.1.3 Corporate Communications

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Mr. Debasis Ray (Head - Corporate Communications)

6.2 Organization Structure of Manickbag Automobiles Pvt Ltd

Managing Partner

Manager Sales Event Manager

Manager Spares

Manager Accounts

Manager Service

Manager Accidents

Sales Representative

Assistants

Assistants

Assistant Manager Store Keeper

Admin Staff

Service Staff
Service Advisor

Supervisor

Biller

Works Incharge Service Supervisor

Cashier

Mechanics

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7. Competitors for Tata Motors (LCV Segment)

7.1 Piaggio
It all began in 1884, when Rinaldo Piaggio constituted the Genoese company Piaggio & Co. which concentrated initially on carpentry for naval outfitting. The rapid growth of both the company and Italian industry on the whole at the beginning of the twentieth century spurred Rinaldo to diversify production, and in 1918, Piaggio & Co. began constructing railway carriages. In 1924, Piaggio was manufacturing funiculars, trams, buses, trains and, above all, aircraft. After the 2nd World War, Enrico Piaggio, having taken over from his father Rinaldo, converted production to meet growing market needs for the means of transportation which could overcome the problems of the mobility of the individual and gave the engineer Corradino DAscanio the job of designing what was to become the most famous and most sold two-wheeler in the world: the Vespa - one of the best known symbols of Italian style. In the April of 1946, the first 15 Vespas left the Pontadera factory. Since then, over 16 million have been produced. A few years later, in 1948, Piaggio launched three-wheel vehicle - Ape. Having created a joint venture between Piaggio and Daihatsu in 1993, the company started producing microvans under the brand of Daihatsu Hijet (in the UK and Benelux countries) and Porter (in the rest of Europe). The success and brand recognition was enormous. In 2001, having refreshed the arrangement twice, both companies agreed to terminate the contract, staying still in co-operation - Daihatsu would now supply drive trains and technical development to Piaggio, who would market the vehicle.

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The Group currently operates within the following brands:

Piaggio (scooters, light commercial vehicles and vehicles for individual mobility) Gilera (scooters and motorcycles) Vespa (scooters) Derbi (scooters and motorcycles) Aprilia (scooters) MOTO Guzzi (scooters)

7.2 Force Motors

Force Motors Ltd founded in 1958 as Bajaj Tempo Ltd. is a manufacturer of three wheelers, multi utility and cross country vehicles, light commercial vehicles, tractors and now heavy commercial vehicles. A company that has reinvented itself. A fully vertically integrated automobile company, with expertise in Design, Development and Manufacture of the full spectrum of Automotive Components, Aggregates and Vehicles. Four decades ago, Force Motors started production of the HANSEAT 3-Wheelers in collaboration with Vidal & Sohn Tempo Werke Germany and went on to establish a strong presence in the Light Commercial Vehicles (LCV) field with the MATADOR. The proverbial LCV in India. Through the 80s and 90s, especially in the last 5 years with a major product development effort, Force Motors has introduced new Light Commercial Vehicles, a new family of Utility Vehicles, new state-of-the-art Tractors, and a new range of ThreeWheelers. The word 'Force' is not just the product of 'mass' and 'acceleration'. It reflects values of ethical business, strength in technology, in manufacturing and energy in product development. It is also the binding force in close and mutually beneficial relations with customers, dealers, suppliers and business associates.

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Force is the dynamism with which we venture into our future supported by the array of Technical Collaborations and Business Alliances with world leaders like MAN, Daimler Chrysler and ZF.

7.2.1 Five areas of excellence support the five market segments:

Research and Development - Using a 150 terminal CAD installation, and modern

testing facilities, staffed by 400 young engineers and technicians.

Production Engineering - Backed by a modern CAM Tool Room and run by 450

young and skilled engineers and staff.

Power Pack Manufacturing - State of the art facilities, for in house manufacturing

of engines and transmission components.

Vehicle Manufacturing - Complete, with in-house foundry, press shops, robotised

body welding, electrophoretic dip painting and high quality assembly facilities.
Marketing Excellence - Strengthen organizational commitment to deliver superior

customer value through better quality products and higher responsiveness to customer needs and aspirations.

7.2.2 Products Offered

1. 2. 3. 4. 5. Three Wheelers Light Commercial Vehicles Multi Utility Vehicles Tractors Heavy Commercial Vehicles

7.3 Mahindra & Mahindra

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Mahindra & Mahindra Limited (M&M) is a major automaker in India. It is the flagship strategic business unit of the Mahindra Group. The company was set up in 1945. The company first traded steel with suppliers in England and the United States. Real business activity of M&M began by assembling complete knock down (CKD) Jeeps in 1949. The company expanded to indigenous manufacture of Jeep vehicles with a high level of local content under license from Kaiser Jeep and later American Motors (AMC). M&M soon branched out into manufacturing agricultural tractors and light commercial vehicles (LCVs). It later expanded its operations to secure a significant presence in many more important sectors. The Mahindra Groups Automotive Sector is in the business of manufacturing and marketing utility vehicles and light commercial vehicles, including three-wheelers. It is the market leader in utility vehicles in India since inception, and currently accounts for about half of Indias market for utility vehicles The company has now transformed itself into a group of business units that caters to the Indian and overseas markets with a presence in vehicles, farm equipment, information technology, trade and finance related services, as well as infrastructure development. By 2005, M&M had become the largest producer of SUVs in India. The company has recently started a separate sector, the Mahindra Systems and Automotive Technologies (MSAT), to focus on developing components and offering engineering services. Over the years, the Group has developed a large product portfolio catering to a diverse customer base spanning rural and semi-urban customers, defence requirements and luxurious urban utility vehicles. In 2002, it launched the indigenously engineered worldclass sports utility vehicle-Scorpio, which bridges the gap between style and adventure, luxury and ruggedness, and performance and economy. The Group exports its products to several countries in Europe, Africa, South America, South Asia and the Middle East.The International Operations of the Automotive Sector focuses on the international business. Mahindra International, a joint venture between
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Mahindra & Mahindra Limited and International Truck and Engine Corporation, will manufacture trucks and buses for India and export markets. It will also provide component sourcing and engineering services to International Truck and Engine Corporation. AutomartIndia is Indias largest multi-brand used car company. The Companys mission is to create Indias largest automobile and automobile-related products distribution network by providing dealers and customers with the largest choice of unique world-class products and services.

7.3.1 Products Offered

1. 2.
3. 4.

4/3 Wheelers Pik Ups Light Commercial Vehicles (LCVs) Sport Utility Vehicles (SUVs) Used cars - Purchase, Sale and Finance Utility Vehicles

5.
6.

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7.4 Bajaj
Bajaj Auto is a major Indian automobile manufacturer. It is India's largest and the world's 4th largest two- and threewheeler maker. It is based in Pune, Maharashtra, with plants in Akurdi and Chakan (near Pune),Waluj (near Aurangabad) and Pantnagar in Uttaranchal. Bajaj Auto makes and exports motor scooters, motorcycles and the three wheelers. Bajaj Auto came into existence on November 29, 1945 as M/s Bachraj Trading Corporation Private Limited. It started off by selling imported two- and three-wheelers in India. In 1959, it obtained license from the Government of India to manufacture two- and three-wheelers and it went public in 1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it managed to produce and sell 100,000 vehicles in a single financial year. In 1985, it started producing at Waluj in Aurangabad. In 1986, it managed to produce and sell 500,000 vehicles in a single financial year. In 1995, it rolled out its ten millionth vehicle and produced and sold 1 million vehicles in a year. Over the last decade, the company has successfully changed its image from a scooter manufacturer to a two wheeler manufacturer. Its real growth in numbers has come in the last four years after successful introduction of a few models in the motorcycle segment.It has been reported that Bajaj is headed for a de-merger into two separate companies: Bajaj Auto and Bajaj Finance. It is expected that the sum of the parts created will be worth more that the current whole, as was the case in the de-merger of Reliance Industries. In November 2007, Bajaj Auto acquired 14.5% stake in KTM Power Sports AG (holding company of KTM Sportmotocycles AG). The two companies have signed a cooperation deal, by which KTM will provide the know-how for joint development of the water-cooled 4 stroke 125 and 250 cc engines, and Bajaj will take over the distribution of KTM products in India and some other Southeast Asian nations. Bajaj Auto said it is open to
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take a majority stake in KTM and is also looking at other takeover opportunities. On the 8th of January 2008, Managing Director Rajiv Bajaj confirmed the collaboration and announced Bajaj Auto's intention to gradually increase their stake in KTM to 25%. The sub-1 ton cargo segment also has shown a robust growth at 15 per cent, and Bajaj Auto has grown in line with the industry, with its market share remaining at a little over 26 per cent. Like the Mega, the Company has launched the CNG version of its cargo vehicle in cities where diesel vehicles are now banned.

7.4.1 Products Offered

1. Motorcycles 2. Scooters 3. Three Wheelers (Goods Carrier) 4. Three Wheeler (Passenger Carrier)

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