Case Study on Tata Nano

The cheapest road car in the world today is made in India.

When it was introduced in April 2009, 1 lakh units could fulfill only 50% of the market
demand.
With 31 patents in design and 37 in technology, and the lowest emission levels
among petrol cars in India, the Tata Nano was heralded as the start of an era.
Yet, within a year and a half sales had dipped so much that in November 2010, the
company barely managed to sell 500 units.

Sales climbed steadily from that low point and within six months the monthly sales
figure touched 10,000 units. But the initial euphoria seemed to be clearly gone.
The case was titled Nano’s Revival Strategies: A Platform for Further
Innovation.
Noting the car’s journey in the Indian market, the authors also described its recent
successes abroad.
“Nano entered Sri Lanka’s taxi market in June 2011, where it was seen as an
alternative to shaky three-wheeler auto rickshaws. It also offered a price advantage
over air conditioned cabs. The company will soon begin selling cars in Nepal, making
Nepal the second international destination for the Nano after Sri Lanka.”
“Nano also passed the European Crash test and safety standards and is on its way
to start making inroads into the markets in developed countries.”
Referring to the unfortunate fire incidents where a small number of Nano cars
burned in 2010, the authors highlighted the strong measures put forth by Tata Motors
to combat this problem. “The extended warranty and recall for updation helped,” they
wrote.
The company also introduced easy access for financing the buying of new cars, new
access points, training for sales teams and an aggressive advertising campaign.
Arguing that further innovation will be a part of Nano’s future, the authors highlighted
its unique aspects.
With a mileage of 23.6 km, the Nano is clearly best in its class and India’s most fuel-
efficient petrol car. It has more space than its close competitors, thanks to the 2-
cylinder aluminium MPFI 624 cc petrol engine which can fit snugly into the rear.
Minimum turning radius of 4 km ensures that it can be parked anywhere within
seconds and navigate out of rush hour traffic faster than other four wheeler vehicles.”

Q1.) Explain the competitive advantages and emergent strategies of Nano?

Q2) which all corporate level strategies have been used for Nano as a brand?