Essay on Tata Motors

General Motors is faced with a dilemma. In the face of economic depression, competition from foreign players was driving down profits and the market’s preference was changing to efficient cars due to

Ever since the 2008 recession US automobile companies have been on a steady downhill slide, but actually you can trace this downward trend even further back than 2008. US car companies have been feeling the heat since as early as the late 1980s when Japanese car companies laid claim to American manufacturing plants . Despite a shot in the arm in sales over the past five years, American firms are still on the decline. This case analysis aims to diagnosis the problem, provide analysis of the problem, and propose a viable solution to the problem from the perspective of the US automobile market share leader, General Motors.

In the Automobile industry, many companies need to strive to make better and affordable cars. The automobile industry is concerned with profits and competition, consumer demands for styling, safety, and efficiency and it is also involved with labor relations and manufacturing efficiency. For example, in 2007, more than 73 million motor vehicles, including cars and commercial vehicles were produced worldwide. In 2007, a total of 71.9 million new automobiles were sold worldwide: 22.9 million in Europe, 21.4 million in Asia-Pacific, 19.4 million in North America, 4.4 million in Latin America, 2.4 million in the Middle East and 1.4 million in Africa. The markets in North America and Japan were stagnant, while those in South America and Asia grew strongly. Of the major markets, Russia, Brazil and China saw the most rapid growth. In 2008, with rapidly rising oil prices, industries such as the automotive industry are experiencing a combination of pricing pressures from raw material costs and changes in consumer buying habits. The industry is also facing increasing external

While car manufacturing is a global industry, automotive companies such as JLR operate in broader regions such as Europe and Asia. Three major trends were identified affecting car production in mature markets, the first was the fragmentation of mature markets, customers were demanding more choice, and this has made it difficult for manufacturers to obtain economies of scale, so cost had to be reduced and with the general

With the recovery of economy, the world’s automobile industry has been growing steadily over the past few years. According to Bloomberg, the US automobile sales climbed from its depth 10.4 million in 2009 to over 15.6 million in 2013. Furthermore, industry analysts predict that the sales will

With the upcoming Presidential election, there is a very real possibility of big political challenges; as well as, major changes to international trade policies facing the American Automotive Companies. Political changes, locally and abroad, are having an effect on the automotive industry. Britain recently voted to exit the European Union; this event, which is being called Brexit, is having a ripple effect across the world. The full result of Brexit won’t be known for two years or more, but with the automotive industry having such a large presence in the U.K, an anticipated change is in full effect. In general, for the next two years, global automakers will need to pay attention to the market; be prepared for unanticipated changes; and ready for the possible need of contingency plans. This is especially crucial as negotiations take place between Britain and the EU. Ian

General Motors was founded in September of 1908 by William Durant during a time that there were less than 8,000 in the United States. Durant was already known in Flint, Michigan for his horse drawn vehicles. “At its inception GM held only the Buick Motor Company, but in a matter of years would acquire more than 20 companies including Oldsmobile, Cadillac, and Oakland, today known as Pontiac.”(History & Heritage-Creation,” 2014) General Motors set the tone in the automobile industry with design, production and marketing. “With the philosophy and strategy of “a car for every purse and purpose,” and a series of landmark innovations that changed the automobile itself, GM’s vehicles went beyond transportation, becoming statements and

The American automotive industry has led the American economy for many years. This industry has shaped our development, and influenced American culture and social mores. Now, ensnared by globalization and other dominant factors, it faces a difficult reality. The American automotive industry significantly impacted the lives of Americans. Detroit’s “Big Three” had the most significant roles in this. Chrysler, Ford, and General Motors were American symbols. They are credited for a significant percentage of all American jobs; they put numerous blue-collar families into the middle class, and helped America cultivate into the giant of the twentieth century. Unfortunately, the fabled automotive firms are not what they once were and are traveling

In the hyper competitive world of today’s mega corporations controlled by the sway of the stock market, giant old industrial era companies rule over the automobile market in the United States as well as large parts of the global automobile market. Companies such as General Motors, Chrysler, and Ford were at the center of it until the economic crisis now known as the Great Recession of the late 2000s. The whole market was declining in sales with General Motors and Chrysler taking the biggest hits while Ford only suffered decline comparable to foreign automakers’, Honda and Toyota, levels due to restructuring in prior years. However, the tipping point was edging closer to bankruptcy with General Motors and Chrysler that ultimately

Several factors have affected how the American auto industry now positions itself on the world market, and big changes have been made to reflect this new direction. The introduction of new technologies in vehicles, the growing market for cars in new developing markets, the impact of the industry on the environment, legislative responses and demands, as well as the increased expectations from consumers, are some of the factors. More international cars are being designed, manufactured and bought by American consumers and exported to foreign markets today than those exclusively manufactured by American companies, redefining the American auto industry, while having a positive impact on its economy. International brands accounted for 45% of total sales in the U.S. in 2013 and have now risen to 59% of the market, and continue to grow. While the amount of American cars has decreased in the local U.S. market share to international ones, the increase of foreign car production on U.S. soil has had the effect of creating new jobs for Americans both in the auto industry as well as in related new industries. The industry has seen huge growth numbers in the last few years with more growth expected.

The financial crisis starting in 2008 and the following recession hit hard the US auto sector. Traditional car makers had to realise that substantial changes were needed in order to maintain their strong position in the

Although all the major automakers in the U.S still have factories in Detroit, we have seen a large amount of production shipped to countries like china, Russia and Brazil. For the auto car makers it make sense to move factories to countries like china and Russia, because the assembling of parts is still very labor intensive and requires a number of workers. In the Untied States the minimum wage is sometimes six times that of countries like Russia and china, so when auto companies move their factories oversees, the profit is still huge even after you incorporate the cost of logistics. The world has changed a lot since the 1950’s when Detroit was the industrial capital of the world, now because of globalization “the global nature of the auto industry probably means that factories are more likely to be located in the [southeastern U.S.] or Mexico to serve the markets of the U.S. and Canada,” Mr. Whalen said, while the burgeoning consumer appetite for cars in China, Russia and other rapidly developing nations is being satisfied for the most part by factories within those

The focus of this paper to describe how the automotive industry has evolved throughout these past years, and its impact on the U.S. economy. The domestic market has gone from being dominated by the “Big Three” which are General Motors, Chrysler, and Ford to now including other major manufacturers from foreign countries. The industry has become an important economic indicator used to predict fluctuations in the U.S. economy. It currently makes up approximately 3.5 percent of the U.S. GDP. The Foreign manufacturers however are slowly increasing market shares now that the Big Three aren’t so big

Political Tata Motors operates in a vast amount of places all across the world . They’ve had great success in regions like Europe, Africa, Asia, the Middle East and Australia. When it come to politics influences Tata Motors need to pay close attention to Laws and regulations as well as the governing bodies that control the area. Local governments regulate commerce, trade, and investments. The local markets and economies are all influenced by national and local influences.

The organization that is chosen for this assignment is Tata Steel Limited. Tata Steel Limited is a supplementary organization of Tata Group which headquarters in Mumbai, India. Tata Steel Limited specializes in steel making globally. The Tata Steel Limited was founded by Dorabji Tata in 25th August 1907. The organization had been in operation over hundred years since it been firstly founded.