Land Rover and Jaguar

Presentation Outline
External Environment Internal Environment Justifications Technological Advancements Diversification of Markets Synergy with other group firms Completing the product portfolio Critical Success Factors for the Success of the Acquisition - Managing the Current Level of Debt - Manage the Unions in both companies - Leverage existing distributor network and use with own - Prepare to undertake global competition - Upgrade corporate culture

What are the External Environment factors to Consider?

India - Relaxation of trade barriers new multinational competitors competing for the local market. - Government has approved up to 400% capitalization FDI investment for Indian Companies - Indias economy is still vulnerable to volatility. - There is an overall boom of the Indian Economy - Indian companies are increasing outside direct investments. Asia - Generally Asia has been propelling the worlds growth in the 1990s and 2000s - New markets and increasing affluence of its population Europe and North America - Slow growth but very mature markets

What are the Three main company thrusts to Consider?

- The Thrust of Ratan Tata for an even More

Globalized Tata Group though market diversification and entrance to other niches.
- The thrust to focus on core industries to maximize

profitability and market share.

- The need for inter company cooperation and

synergy.

Justifications for Acquiring Land Rover and Jaguar

Technological advances 2. Diversification of markets 3. Synergy with Other Group Firms 4. Completing the Product Portfolio
1.

1. Technological Advances
The transfer of technology eventually helps the companys products compete in the local and global markets.

Transfer of Technology

Technology gets used in Tata Motors Tata gains the following 1. Improved manufacturing across different product lines 2. Increased competitiveness in design and manufacturing