A

PROJECT REPORT
ON
COMPERISION MARKETING STRATEGIES OF
NANO/MARUTI
Submitted in partial fulfillment of the requirement for the
degree of B.B.A IV Sem.
.

Session 2016-2017
Principal

G.S. Rohit
Submitted To
Mr. Ankur Gautam

H.O.D.

Sanjeev Dubey
Submitted By
Rajveer Singh
B.B.A. IV Sem

ACKNOWLEDGEMENT
Preparing a project of this nature is an arduous task and I was
fortunate enough to get support from a large number o persons. I wish
to express my deep sense of gratitude to all those who generously
helped in successful completion of this report by sharing their
invaluable time and knowledge.

I feel extremely exhilarated to have completed this project under

the able and inspiring guidance of Mr. Ankur Gautam He rendered me
all possible help me guidance while reviewing the manuscript in
finalising the report.

(Rajveer Singh)
B.B.A IV Sem

DELCLARATION BY THE CANDIDATE

I declare that the project report titled "COMPERISION

MARKETING STRATEGIES OF NANO/ MARUTI is nay own
work conducted under the supervision of MR. ANKUR GAUTAM
PT. DEENDAYAL UPADHAYAYA GOVT, College Sagar To the
best of my knowledge the report does not contain any work, which
has been submitted for the award of any degree, anywhere.

(Rajveer Singh )
B.B.A IV Sem.

CERTIFICATE

The project report titled "

COMPERISION

MARKETING STRATEGIES OF NANO/ MARUTI

been

prepared by Rajveer Singh BBA IV Semester,

under the guidance and supervision of Mr. Ankur

Gautam for the partial fulfillment of the Degree

of B.B.A.

Signature of the

Signature of the

Signature of the

Supervisor

Head of the Department

Examiner

CONTENTS
EXECUTIVE SUMMARY
CHAPTER-1 INTRODUCTION
INDIAN COMMERCIAL VEHICLE INDUSTRY
INTRODUCTION

 STRUCTURE OF COMMERCIAL INDUSTRY

MAJOR COMPANIES OF INDIAN COMMERCIAL INDUSTRY
COMMERCIAL VEHICLE PRODUCTION AND EXPORT TRENDS
PROFILE OF TATA MOTORS
INTRODUCTION
JOINT VENTURES
IMPORTANT
DEVELOPMENTS
BUSINESS UNITS
COMPETITORS
VALUES OF TATA GROUP
STRUCTURE OF PROJECT
STARBUSES
STARBUS RANGE
AESTHETIC AND TECHNICAL FEATURES OF STARBUSES
STARBUSES FOR BRTS
CHARACTERISTICS OF STARBUSES FOR BRTS
ADVANTAGES AND DISADVANTAGES OF STARBUSES
STARBUSES AND COMPETITION
MAJOR COMPETITORS OF TATA MOTORS
COMPETITIVE SPECIFICATION OF STARBUS
COMPETITIVE SALES REPORT (NORTH INDIA)
SALES OF (LP909/49) STARBUS
MARKET SHARE
DOMESTIC AND GLOBAL MARKET SHARE AND POSITION
TATA AUTHORISED SERVICE STATIONS (TASSes)
NETWORK OF STARBUSES IN DELHI AND NCR
TATA MOTORS NETWORK OF STARBUSES IN INDIA
TATA MOTORS FINANCE
MARKET POTENTIAL ASSESMENT OF STARBUSES
CUSTOMERS OF STARBUSES
BRT SYSTEM WHERE STARBUSES ARE IN USE
SWOT ANALYSIS
STRENGTH
WEAKNESS
OPPORTUNITY
THREATS
CHAPTER-2 RESEARCH METHODOLOGY
OBIECTIVE OF STUDY
SIGNIFICANCE

 DATA COLLECTION
SCOPE OF STUDY
LIMITATIONS OF STUDY
CHAPTER-3 DATA ANALYSIS
AND INTERPRETATION
CHAPTER-4 FINDINGS AND CONCLUSIONS
CUSTOMER NEED ANALYSIS
CONCLUSIONS
CHAPTER-5 RECOMMENDATIONS
ANNEXURE
REFERENCES

EXECUTIVE SUMMARY
This project has been completed in Tata Motors Limited. The project is on
STARBUSES. The objective of the project is TO COMPARE THE PRODUCT WITH
COMPETITORS, COLLECT CUSTOMER FEEDBACK AND SUGGEST
IMPROVEMENTS TO THE COMPANY. This project starts with the introduction of
Indian commercial vehicle industry. It includes various topics:
PROFILE OF TATA MOTORS: It covers the introduction of company, joint
ventures, companys developments and values.
STARBUSES: Explanation of specification of various ranges of Starbuses, their
advantages and disadvantages.
COMPETITORS OF TATA MOTORS: Technical comparison of Starbus with
competitors, competitive sales report.
MARKET SHARE: It is the analysis of domestic and global market share and
position of Tata Motors.
ANALYSIS OF CUSTOMERS NEED: Analysis of the primary, secondary
needs and the peripheral needs of the customers.
POTENTIAL CUSTOMERS: Customers of Starbuses and STU where Starbuses
are in use.
SWOT ANALYSIS: Swot analysis explains the strength, weakness, threats and
opportunity available to the company. Swot analysis is based on the study of
market and competitors of Tata Motors.
RECOMMENDATIONS: In the end a comprehensive list of recommendations
and suggestions is included. Such recommendations are drafted with the purpose
of bringing to light the issues which push the sales of and act as a tool in the hand
of salesman.

INTRODUCTION
INDIAN COMMERCIAL VEHICLE INDUSTRY
The Indian commercial vehicle industry is cyclical in nature with periods of volume
growth leading to investments in fleet capacity and subsequently to periods of correction.
The Indian Commercial Vehicle (CV) Industry is the lifeline of the economy.

Approximately 66% of the goods and 87% of the passenger traffic in the
country moves via road. Past trends have shown that CV demand is
closely correlated with GDP growth rate (more strongly with the Index
of Industrial Production, IIP) of the country and therefore, it is believed
that a growth or slowdown in CV demand is harbinger of an upturn or
down turn in the economy respectively.
STUCTURE OF INDIAN COMMERCIAL INDUSTY
The Indian commercial vehicle market is segmented on the basis of gross vehicle
weight(GVW) .Vehicle less than 7.5 ton are classified as LCVs, while the heavier ones
are termed as M/HCVs.
HCVs heavy commercial vehicle
MCVs- medium commercial vehicle
LCVs- light commercial vehicle
In terms of usage commercial vehicle may be termed as good carriers and
passenger carrier. Among the passenger carriers in the less 7.5 ton GVW segment, those
with seating capacity up to 13 are categorized as utility vehicle(Uvs and not part of
LCVs) while those with sitting capacity over 13 passengers are grouped as LCVs. The
overall commercial industry is split between the LCVs and M/HCVs segment roughly in
the ratio of 45:55. The Indian four wheeler industry is duopolic in nature. M&M and Tata
Motors holding a major share in LCV segment (90.8%). Ashok Leyland and Tata Motors
hold a major share in M/HCV (88.6%).

THE MAJOR COMPANIES OF INDIAN COMMERCIAL VEHICLE INDUSTRY

EICHER MOTORS LIMITED

FORCE MOTORS LIMITED
TATA MOTORS LIMITED
SWARAJ MAZDA LIMITED
MAHINDRA & MAHINDRA LIMITED
ASHOK LEYLAND
VEHICLE FACTORY GOVERNMENT
VOLVO

COMMERCIAL VEHICLE PRODUCTION TRENDS (NO. OF VEHICLES)

Category

2003-04

2004-05

2005-06

2006-07

2007-08

2008-09

Commercia
l Vehicles

275,040

353,703

391,083

519,982

549,006

417,126

Growth

35.02%

28.60%

10.57%

32.96%

5.58%

-24.02%

COMMERCIAL VEHICLE EXPORTS TRENDS (NO. OF VEHICLES)

Category

2003-04

2004-05

2005-06

2006-07

2007-08

2008-09

Commercial 17,432
Vehicles

29,940

40,600

49,537

58,994

42673

Growth

71.75%

35.60%

22.01%

19.09%

-27.67%

42.24%

The production figures of Indian commercial industry shows that the Industry growth
continued to be very strong till 06-07 with annual growth range of 35% to -24.02%. For
the last two fiscal years the industry has stagnated particularly due to pressure on
commercial vehicle segments. This industry has suffered due to two reasons (a) very high
rate of interest (b) slowdown in the economy. The bottom line of the manufacturers too
came under pressure especially in Q4 FY08 and Q1 FY09 due to the increase in input
cost. The average steel prices remained high in FY08 and in Q1 FY09 and the rubber
prices too started creeping up in Q1 FY09. To recover costs, the manufacturers resorted
to a series of vehicle price hikes from beginning of FY09 onwards. This led to a tricky
situation where manufacturers increased vehicle prices when demand was actually
falling.Now with the banks easing the interest rates again and improvement in the
economic outlook, will improve the sales of commercial vehicle.

COMPANY PROFILE
TATA MOTORS
Tata Motors Limited is India's largest automobile company, with consolidated revenues
of Rs.70, 938.85 crores (USD 14 billion) in 2008-09. It is the leader in commercial
vehicles in each segment, and among the top three in passenger vehicles with winning
products in the compact, midsize car and utility vehicle segments. The company is the
world's fourth largest truck manufacturer, and the world's second largest bus
manufacturer.
The company's 23,000 employees are guided by the vision to be "best in the manner in
which we operate best in the products we deliver and best in our value system and
ethics."
Tata Motors is a part of the Tata and Sons Group, founded by Jamshedji Nusserwanji Tata
and J. Baker.. The company was established in 1945 as a locomotive manufacturing unit
and later expanded its operations to commercial vehicle sector in 1954 after forming a
joint venture with Dailmer-Benz AG of Germany. Tata Motors launches its first truck in
collaboration with Mercedes-Benz
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 in India is spread across Jamshedpur (Jharkhand), Pune
(Maharashtra), Lucknow (Uttar Pradesh), Pantnagar (Uttarakhand) and Dharwad
(Karnataka). Following a strategic alliance with Fiat in 2005, it has set up an industrial
joint venture with Fiat Group Automobiles at Ranjangaon (Maharashtra) to produce
both Fiat and Tata cars and Fiat power trains. The company is establishing a new plant
at Sanand (Gujarat). The companys dealership, sales, services and spare parts network
comprises over 3500 touch points; Tata Motors also distributes and markets Fiat branded
cars in India.

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. Through subsidiaries and associate companies, Tata Motors has
operations in the UK, South Korea, Thailand and Spain.

Tata Motors has several joint venture, subsidiary and associate companies.
A Few of them are mentioned below:

Jaguar Land Rover.

Tata Technologies Ltd. (TTL) and its subsidiaries.

Telco Construction Equipment Co. Ltd. (Telcon).

HV Axles Ltd. (HVAL).

HV Transmissions Ltd. (HVTL).

TAL Manufacturing Solutions Ltd. (TAL).

Sheba Properties Ltd. (Sheba)

Tata Daewoo Commercial Vehicle Company Ltd (TDWC).

Concorde Motors (India) Ltd. (Concorde).

Hispano Carrocera S. A. (HC).

Tata Motors Insurance Broking & Advisory Services Ltd (TMIBASL).

Tata Motors European Technical Centre.

Tata Motors Finance Limited.

Tata Motors Thailand.

Tata Marcopolo Motors Ltd (TMML)

Tata Motors(SA) Proprietary Ltd (TMSA)

TML Distribution Company Ltd (TDCL)

10

NOVA IAI

ACQUISITIONS AND JOINT VENTURES

TATA DAEWOO COMMERCIAL VEHICLE
Tata Motors aimed to increase its presence worldwide. In 2004, it acquired the Daewoo
Commercial Vehicle Company of South Korea.
Tata Novus is one of the best selling commercial trucks in South Korea.
Tata remains India's largest heavy commercial vehicle manufacturer and Tata Daewoo is
the 2nd largest heavy commercial vehicle manufacturer in South Korea. Tata Motors has
jointly worked with Tata Daewoo to develop trucks such as Novus and World Truck.
HISPANO CARROCERA
Hispano Carrocera
In 2005, sensing the huge opportunity in the fully built bus segment, Tata Motors became
acquired 21% stake in Hispano Carrocera SA, Aragonese bus manufacturing company
giving it controlling rights of the company.
TATA XENON
In 2006, Tata Motors entered into joint venture with Thonburi Automotive Assembly
Plant Company of Thailand to manufacture and market the company's pickup vehicles in
Thailand. The new plant of Tata Motors (Thailand) has begun production of the Xenon
pickup truck, with the Xenon having been launched in Thailand in 2008.
TMML(TATA MARCOPOLO MOTORS LIMITED)
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 has formed a 51:49 joint
venture in bus body building with Marcopolo of Brazil. This joint venture is to
manufacture and assemble fully-built buses and coaches targeted at developing mass
rapid transportation systems. The joint venture will absorb technology and expertise in
chassis and aggregates from TATA Motors, and Marcopolo will provide know-how in
processes and systems for bodybuilding and bus body design.

STRUCTURE OF THE PROJECT

11

STAR BUSES FOR BRTS

The Government of India and several State Transport Undertakings are making
efforts to modernize mass transport in major cities of India.. Bus Rapid Transport System
(BRTS) is a modern and viable means of mass transport. One of the most important
features expected of BRTS is passenger friendly buses that are clean, efficient and
contemporary in looks. The Tata Starbus range of low floor buses with rear engine is
ideally suited to BRTS. More and more cities prefer star bus as a means of mass
transport. Delhi transport corporation-one of the largest transport undertakings in the
world has shown confidence in star buses. Star buses are trendy and passenger friendly. It
has proved to be very popular with passengers, particularly in Indore City Transport
service ltd. (ICTSL). In fact, Starbus offers citizen a swift, clean and dignified way to
travel within the cities.
STAR BUS RANGE OF BRTS
The BRTS Range of Starbuses, with rear engines and two wide doors, is presently
available in three unique designs:

Low floor CNG Walk-in bus

Low floor Walk-in bus
Semi Low Floor diesel 2-step Entry bus (to be launched).

Star bus offers two unmatched features that make it ideal choice for urban city transport
-two wide doors and low floor for entry. The two doors are each 1.2m wide and the low
floor for entry and exit measures just 380mm in height. These two features enable faster
alighting and boarding of passengers.

12

CHARACTERISTICS OF STARBUSES FOR BRTS

SAFETY FEATURES
Grab handles with slip resistant covers.
Wide jackknife cross doors with a buzzer that must be closed before a bus can
move.
Cross belt for wheelchair passenger.
Windows with rubber beading and rounded corners, to ensure that passenger dont
get hurt.
An emergency exit doors that open from top to bottom.
PASSENGER FRIENDLY FEATURES
Bright and spacious interiors.
Comfortable sitting with smooth edges and enough legroom.
Ample standing space.
Wide and spacious window pains that help circulate fresh air.
Manually operated ramp for easy entry of wheelchairs into the bus.
FLEET MANAGEMENT SYSTEM
GPRS/GPS System helps in communicating the exact location of a Star bus in a
real-time to bus stations. A central server controls all the information which it
receives through GPRS/GPS.
An LCD or LED display that provides passenger details of the bus route, next
route, next stop, time of arrival and other relevant information.
DRIVERS FRIENDLY FEATURES
Smart card reader and door control with RF TAG-controlled by driver, it keeps an
account of the trip and amount spent, and discards the cards on the last journey.
Display at the bus stand with back servers- it provides information on bus arrival
and other details like rote availability etc. It is operating on solar and back with
AC.
Drivers kit with bus controller and display system on the bus. This is a plug in nit
with cash register loaded with single trip smart card, etc. with flash memory. The
driver can issue tickets for short trip requests or one time se by the passenger.
Skill up gradation for star bus drivers. A residential skill up gradation training is
provided to drivers at the Tata Motors state of art training centre at Jamshedpur or
Pune.

13

ADVANTAGES OF STARBUSES

Starbuses of low floor and semi low floor buses have floor height of 380-400mm
and 800-850mm respectively. Boarding and deboarding is easy and safe in these
buses.
It is good for physically challenged and older people.
Passenger friendly features provide smooth and comfortable journey.
Bifold doors provide wide area for boarding and deboarding.
Installation of GPRS/GPS system helps in communicating the exact location of a
Starbus in real time, to bus stations. A central server controls all information
which it receives through GPRS/GPS.

DISADVANTAGES OF STARBUSES

In ultra low floor buses, there is no space under the floor to accommodate the
engine, fuel tanks and electrical equipments. These will have to be adjusted
behind the bus or else it will take space of 4-8 seats inside the bus.
Placement of fuel tank or CNG cylinders on the top of the cause refueling
problem. It increases cost structures and require higher specifications for body.
Maintenance and operating cost is higher than the high floor bus.
In low floor buses the driveways should be smooth, without interruptions because
it may harm bus floor.

COMPETITORS OF TATA MOTORS

14

MAJOR COMPANIES OF INDIAN BUS INDUSTRY

India bus industry boasts of the major players in this sector, who are involved in the
production of huge quantities of buses. The names of the prominent players require the
mention of:

Ashok Leyland

Volvo

Hindustan Motors

Swaraj Enterprise

Mahindra & Mahindra

15

Eicher

Tata Motors

Force Motors

VARIOUS MODELS OF BUSES

EICHER
Eicher is producing varieties of buses under the name Skyline Buses - it produces school
buses as well as Cruisers. It has also begun manufacturing CNG buses following the new
pollution control rules and is giving tough competition to its market rivals.
HINDUSTAN MOTORS
Hindustan Motors Ltd. produces RTV buses comprising school buses, custom-made
buses, and passenger buses.
MAHINDRA & MAHINDRA LTD.
Mahindra & Mahindra ltd. has earned substantial popularity in the India bus industry
apart from the heavy duty jeeps and luxury cars produced by it. Mahindra & Mahindra
Ltd. is the sole manufacturer of

Tourister 15
Mahindra FJ Minibus
Mahindra FJ 470.

ASHOK LEYLAND
Ashok Leyland is the most prominent players in the manufacture of public utility as well
as special purpose buses. It fulfills a large chunk of the demand for buses in India bus
industry and the list of its range of buses includes:

Vestibule Bus

Cheetah BS-III

Panther BS-II

Viking BS-II

Stag-BS II

Lynx BS-II

16

Viking CNG BS-III

Ashok Leyland is also engaged in the production of some special purpose buses as the
Airport Tarmac Coaches, Double deckers with immense capacity for the accommodation
of passengers. The other categories include 12 M Bus-II, only 12-M Bus and Viking SLF
BS-III and so on.
TATA MOTORS also ranks high among the major players in the India bus industry,
engaged in the production of buses of the category of Starbus as well as Globus buses.
The Starbus range includes
Starbus Standard,
Starbus School,
Starbus Deluxe
Starbus Low Floor
SFC 407 Turbo Mini-Bus
LPO 1616 TC Luxury Bharat Stage-II Bus, LPO 1510 Bharat stage II
Bus
Globus range variety includes Globus 13, 20 and so on.

TATA AUTHORISED SERVICE STATIONS (TASS)

TASSes or the Tata authorized service stations were established in Delhi by TSS last
year in the month of June so as to promote the sales of the newly launched model ACE
CNG in this region. It was seen that since the demand for this model was exceptionally
high in comparison to the other models therefore it did require greater promotion so as
to maximize upon its potential. At the same time since TSS is located in the NCR region
therefore to make the model more accessible for the customers the TASSes were formed.
These TASSes act as sub dealers, who are given certain targets every month which
they are required to meet. According to the amount of sale made by these TASSes
certain margin money is given to them per vehicle. This margin money may differ
according to the changing prices etc. the TASSes work independently to the extent of
hiring their own manpower, managing basic expenses like electricity charges, water
charges, incentives given to their FSEs etc.
The Tata Nano is a city car manufactured by Tata Motors. Made and sold in India, the
Nano was initially launched with a price of one lakh rupees or 100,000 (US$1,500),[4]
which has increased with time. Designed to lure India's burgeoning middle classes away
from two-wheelers, it received much publicity.
Its current price means the claim "world's cheapest car" remains true today.

17

History
After having successfully launched the low cost Tata Ace truck in 2005, Tata Motors
began development of an affordable car that would appeal to the many Indians who ride
motorcycles.[5] The purchase price of this no frills auto was brought down by dispensing
with most nonessential features, reducing the amount of steel used in its construction, and
relying on low cost Indian labour.
The introduction of the Nano received much media attention due to its low price.[6]
Expectations and effects
Expectations created for the car during the run up to its production may have been out of
proportion with its realised success. A 2008 study, by Indian rating agency CRISIL,
thought the Nano would expand the nation's car market by 65%, [7] but, as of late 2012,
news reports have detailed the underwhelming response of the Indian consumer to the
offering; sales in the first two fiscal years after the car's unveiling remained steady at
about 70,000 units although Tata appears intent on maintaining a capacity to produce the
car in much larger quantities, some 250,000 per year, should the need arise.[8]
It was anticipated that its 2009 debut would greatly affect the used car market, and prices
did drop 2530% prior to the launch.[9] Sales of the Nano's nearest competitor, the Maruti
800, fell by 20% immediately following the unveiling of the Nano. [10] It is unknown if the
Nano has had a lasting effect on the prices of and demand for close substitutes, however.
In July 2012, Tata's Group chairman Ratan Tata, who retired in January 2014, said that
the car had immense potential in the developing world while admitting that early
opportunities were wasted due to initial problems.[11]
Singur factory pullout
Tata Motors announced in 2006 that the Nano would be manufactured in Singur, West
Bengal.[12] Local farmers soon began protesting the forced acquisition of their land the
new factory entailed.[12] Tata first delayed the Nano launch and later decided to build the
car in a different state, Gujarat, instead.[13]
Price
Announced as the most affordable production car in the world, Tata aimed for a price of
one lakh rupees, or 100,000, which was approximately $2,000 US at the time. [14] Only
the very first customers were able to purchase the car at that price, however, and, as of
2012, the price for the basic Nano is around 150,000.[15] Increasing material costs may
be to blame for this rapid rise in price.[16]

18

Compared to the Volkswagen Beetle it has a relatively low price, however. In 1990, a
Beetle from Mexican factories was priced at $5,300, [17] about $9,616 in today's money.
The Ford Model T's initial price was about $850, equivalent to $22,424 today.[18] The
price of the Nano is only just higher than the corrected Price of the Briggs & Stratton
Flyer with the Flyer costing US$125 ($1,767 in 2016), even though the Flyer would
today hardly be considered a gokart.
The second-generation Nano was expected to be sold in the United States by 2015. [19] The
original Nano is not street legal in the US, and cannot legally be sold as a grey market
import until 2034, when the original 2009 models receive a 25-year exemption from the
US Customs and Border Protection.[20] Despite a readily-available dealership network in
the US through the Jaguar Land Rover division of Tata, Tata Motors will not use Jaguar
Land Rover to sell the Nano.[21]
Cost-cutting features
The Nano's design implements many measures to reduce manufacturing costs.
Comparison with the Maruti 800, the Tata Nano's closest competitor:
Tata Nano
Maruti 800
* The Nano's trunk is only accessible from * Maruti 800 initially had only an opening
inside the car, as the rear hatch does not open. rear-windscreen, but later got a full
[22]
hatchback.
* One windscreen wiper instead of the usual
pair (also seen earlier on certain Citroen and * Two windscreen wipers.
Mercedes models)[6]
* No power steering initially, unnecessary
due to its light weight.[6] Added in higher * Power Steering only in higher variants.
variants in later models.
* Three lug nuts on the wheels instead of the
* Four lug nuts per wheel.
usual four (also seen on Smart)[23]
* Only one wing mirror on base models.
* No option for both side ORVMs in any
Higher variants fitted with passenger side
variant.
ORVM from 2012 onwards.[6]
* Radio or CD player is optional (the idea
picked on some basic car models in North * Radio/CD Player is optional.
America and all basic cars in India)[6]
* No airbags on any model[24]
* no airbag in any variant.
* 624cc rear engine has 2 bigger cylinders * 800cc front engine has 3 smaller
(312cc each)[6]
cylinders (266cc each).
* No air conditioning in base model (as on * No air conditioning in base model
most basic car models in Europe and North

19

America)[6]
* Front passenger seat same as the driver
* Front passenger seat same as the driver
seat, but headrests separate. Later models
seat, and the headrests are integrated.
switched to integrated headrests.
* Thinner 135/70-R12 space saver spare tyre. * Full size spare tyre.
* No external fuel filler cap. Fuel inlet is
* External fuel filler cap.
accessed by opening the front hood.
* Front door power windows only offered on
* Front door power windows only offered
highest variant. PW switches placed on
on highest variant.
central console rather than on door pads.
Technical specifications
The Nano (2012) is a 38 PS (28 kW; 37 hp) car with a two-cylinder 624 cc rear engine.
The car complies with Bharat Stage 4 Indian Emissions Standards, which are roughly
equivalent to Euro 4.
Alternative powerplants
While the Nano is driven by a petrol engine, several more-radical powerplants have been
proposed but not put into production. Also, an upscale version was shown at an autoshow.
Compressed-air engine
Tata Motors signed an agreement in 2007 with a French firm, Motor Development
International, to produce a compressed air car Nano.[29] While the vehicle was supposed
to be able to travel approximately 200 kilometres (120 mi) on $3 US of electricity to
compress the air, Tata's Vice-President of Engineering Systems confirmed in late 2009
that vehicle range continues to be a problem.[29][30]
Electric vehicle
Tata has discussed the possibility of producing an electric version, [31] and while it
showcased an electric vehicle Nano at the 2010 Geneva Motor Show,[32] no such car is
currently on the market.
If an EV Nano is sold it is expected to be the highly affordable electric car,[33] use lithiumion batteries, and have a range of 80 miles (130 km).[34] A Norwegian electric car
specialist, Miljbil Grenland AS, has been named as a supposed partner in the project.[31]
Bi-fuel variant
The Nano CNG emax is launched in October 2013. It can run on either gasoline or
compressed natural gas. Initially, it will be sold in Delhi and parts of Maharashtra and
Lucknow, where CNG is available at fuel outlets.[35]

20

Tata Super Nano

In December 2014, Coimbatore-based JA Motorsport presented a 230 hp 1.3-liter engined
version of the Nano called the 'Super Nano' at the Autocar Performance Show. Featuring
a full body kit, slick tyres, a bolt-on roll cage, and smoked head and taillamps, the Super
Nano featured carbon fibre components, Recaro seats, and steering-mounted paddle
shifters.[36]
European export
An upscale Nano concept car called the Europa was shown at the 2009 Geneva Motor
Show.[37] However, there has been no progress towards producing or marketing this
upscale specification.
Car fires
There were reports of several fire incidents involving the Nano. [38] The company denied
those were connected to the car's design or its parts and blamed "foreign electrical
equipment" found on top of the exhaust system. [38] The company offered to retrofit the
exhaust and electrical systems but refused to recall the cars. [38] Tata extended the warranty
on the car, including those already sold, from 18 months to four years in early December
2010.[38]
Reception
The Nano has received a tepid reception from Indian consumers. Reasons given have
included that it is still too expensive compared with a motorcycle. [39] Although it is
identified as the most affordable car,[40] a secondhand car that was more expensive when
new has more social cachet.[41] The fires and other safety issues have also been
nominated.[39]
Crash safety
In 2014, a Nano was crashed for NCAP by ADAC in Germany. Despite Tata's claim that
it was expecting 4 stars, the Nano actually got no stars for adult protection and didn't
meet even basic UN safety requirement
Sales
Nominal factory output is 250,000 pa
FY 20092010 30,000 approx
FY 20102011 70,432
FY 20112012 74,527[42]
FY 20122013 53,848[43]

21

FY 20132014 21,129[44]
FY 20142015 16,903[45]
Awards

2010 Business Standard Motoring Indian car of the year[46]

2010 Bloomberg UTV-Autocar car of the year[47]

2010 Edison Awards, first place in the transportation category[48]

2010 Good Design Awards, in the category of transportation[49]

2014 India's Most Trusted hatchback car, according to The Brand Trust Report
2014 edition[50][51]

In the media

Small Wonder: The Making of Nanoa book about the creation of the Tata
Nano[52]

A Megafactories episode on this vehicle

A story in The Pioneer on the 'Cursed Child' the Nano turned out to be

22

Maruti Suzuki Alto 800 Vs Tata Nano 2012 Rivalry at Its Best
(Expert Review)

The country like India is aware of the hard fact that if one desires better fuel efficiency
and effortless driving on road; small cars are the best option. So from leading automobile
manufacturer Maruti Suzuki to home grown carmaker Tata Motors, both have designed
and offered best small cars to the country. And here we are seeking to compare new Alto
800 from Maruti to Tata Nano 2012, which are two exclusive models in the country with
quite a lot differences and exclusive features but at the same time terrific pricing in order
to attract entry-level car buyers. Therefore in order to make the decision process easier
for customers, lets explore both the models New Alto 800 and Tata Nano and bring out
the exclusivity of these two amazing small cars.

Exteriors :All-new Alto 800 is truly adorable as it is bit boxy, taller, smarter and exquisite. It is quite
refreshing to look at from exteriors point of view with fresh designing and trendier
pattern. Extremely sporty in appearance, the new model Alto 800 has got redesigned
headlamps, tail lamps and brushed up structuring as it flaunts more on the outside with:
- High mounted headlamps in petal design
Two part front grill

23

- Trendy Spoiler
- Wheel Arches
- Crystal Tail Lamps, etc
Tata Nano 2012 is very cute to look at, especially with its exciting and catchy color
scheme from Rouge Red, Mojito Green, Sunshine Yellow, Meteor Silver to Neon Rush,
Papaya Orange, Pearl White, Champagne Gold, Aqua Blue and Serene White. Nano 2012
also shows off:
- Body Color Bumpers & Door Handles
- Clear Lens Headlamps & Tail Lamps
- Tinted Glasses
- Tinted Windshield with intermittent washer and dual speed wipers, etc
Interiors :-

New Alto 800, being the most eagerly awaited car of this festive season comes with some
grand cabins that look plush and elegant. Smartly crafted model has now got heightened
leg and head room with newly crafted dashboard, improved central console plus overall
use of quality plastic material. Maruti Suzukis new Alto 800 swanks:
- Bits of Silver Tracing in the Cabins
- Sleek Seating Arrangement
- Better Upholstery Design with New Shading, etc

The mini car Nano is superb from inside as compared to its older sibling. The 2012
version is quite refined and tasteful as the Nano is adorned with luxury appeal along with
several toned up interior designing. The Nano now comes with:

24

- Premium Beige Color Dahsboard

- Upholstery in Premium Beige Fabric
- Trendier Comfortable Seating with new shade combination, etc
Engine, Specification & Performance :The newly arrived Alto 800 from the home of Maruti Suzuki is equipped with tried and
tested 3-cylinder, 800cc petrol engine borrowed from the older sibling Alto, the best
selling hatch in India. But at the same time, automaker has improved the overall
efficiency of the engine, which now fetches impressive power of 47.5Bhp at 6000rpm
and 69Nm of peak torque at 3500rpm. With powerful engine and smarter plus quick gear
shifting, the new Alto 800 is effective, terrific and flawless.
Tata Nano 2012 captures its cruising capability from 2-cylinder, 624cc, MPFI engine that
delivers fine maximum power of 38 Ps at 5500 rpm and great torque of 51 Nm at 4000
rpm. The engine comes mated to four-speed manual gearbox. The mini hatch also gets
Independent, Lower Wishbone, McPherson Strut with gas filled dampers and anti-roll bar
for suspension purpose for front power while Independent, Semi Trailing arm with coil
spring & gas filled shock absorbers for the rear ones. The new Nano 2012 covers its 0100km distance in 29.7 seconds.
Comfort and Convenience :-

The new small car Alto 800 from king of the Indian auto jungle, Maruti Suzuki offers
some very exciting features in the compact car that makes the ride more comfortable and
convenient. Few of them are listed below:
- Power Steering
- All Four Door Power Windows
- Air Conditioner/Heater
- Rear Headrest
- Front Cup Holder
- Glove Compartment

25

Tata Nano 2012 is too filled with ample of amazing comforting features such as air
conditioner, heater, front power windows, cabin lamp, map pocket of fabric, front seat
headrests, sun visor on driver and passenger side, driver seat with slider, head lamp
leveling, low fuel warning lamp etc. The top end version also gets:
- Rear Seat Integral Headrests
- Passenger Side Seat with Recliner
- Rear Assist Grips
- Front Cup Holder
- Gear Shift Console, etc
Safety :Maruti Suzuki, the Japanese auto giant has equipped its newly launched Alto 800 with
few of the significant safety features such as:
- Central Locking
- Outside Rear-View Mirrors
- Front Fog Lamps
- Safety Belts
- Driver Side Airbag
Tata Motor Nano 2012 from the Indian carmakers home has got good safety lineaments
like:
- Center High Mount Stop Lamp
- Laminated Windshield
- Door Lock on Driver Side
- Booster-assisted Brakes
- Front & Rear Seat Belts
- Additional Body Reinforcements
- Intrusion beam and radial
Mileage :-

26

New Alto 800 (petrol) gives a mileage of 22.7kmpl and CNG version renders fuel
efficiency of 30.46 km/kg, according to ARAI certification.
The all new Tata Nano 2012 is more fuel efficient, offering a mileage of 25.4 kmpl,
ARAI certified.
Price :With competitive pricing, the new Alto 800 (petrol) shows off a price tag of Rs. 2.44
lakh, while the CNG version comes with a price label of Rs. 3.56 lakh, ex-showroom
Delhi.
Tata Nano 2012 is available at a range between Rs. 1.27 lakh to Rs 1.96 lakh (Exshowroom New Delhi).
Verdict : Small cars are truly the top contenders of domestic auto market and one among them is
newly launched Alto 800 from the auto rulers stable, Maruti Suzuki. On the contrary
stands the peoples car Nano from Tata Motors that is still struggling to make big in the
market with few wonderful updates and facelifts. Though Nano never able to pick up that
top speed in the country, Alto 800 is the new contender that is very sure of its success
because of many great aspects and its crafted platform based on bestseller Alto. Choice is
all personal, which one to pick and drive on busy Indian streets.
There are primarily 5 TASSes established in Delhi. These are:1. D V MOTORS
2. KAPOOR DIESEL
3. GLOBAL MOTORS
4. TIKRI SERVICE STATION
5.

SANTOSH MOTORS

27

TATA MOTORS NETWORK OF STARBUSES IN INDIA

MARKET POTENTIAL ASSESSMENT

Star buses are result of joint venture between Marcopolo and Tata motors. Tata Motors
has a 51:49 joint venture with the Brazilian bus manufacturer, Marcopolo.These
buses are
Marcopolo.
widely used as intra-city and inter-city bus .The Starbuses can be used as
School bus
Staff bus
Tourist bus
City
The major sales come from State Transport Corporations. Hundred buses are already part
of the DTC fleet in Delhi and this number could go up. Tata motors have bagged 50% of
the orders from JNNURM. The good percentage of this would be low floor and semi low
floor buses. Some states which have the orders are Karnataka, Maharashtra, Chandigarh
and Uttar Pradesh. Tata Motors has bagged an order for 1625 low floor buses from D.T.C.
Talks are also underway with state governments of Madhya Pradesh, Rajasthan and
Punjab to include these buses in intra-city travel.

28

CONVENTIONALCUSTOMER

SWOT ANALYSIS

29

STRENGTHS

The internationalization strategy of the company. The global acquisitions and joint
ventures are expanding Tata Motors global market. In 2005, Tata Motors acquired
a 21% stake in Hispano Carrocera, a reputed Spanish bus and coach manufacturer,
giving it controlling rights of the company. Hispanos presence is being expanded
in other markets. Joint venture of Tata Motors with Marcopolo of Brazil.

Tata Motors has expanded its production and assembly operations to several other
countries including South Korea, Thailand, South Africa and Argentina and is
planning to set up plants in Turkey, Indonesia and Eastern Europe.

Large consumer base in the Indian Subcontinent namely Bangladesh, Bhutan, Sri
Lanka and Nepal. And a growing consumer base in Italy, Spain and South Africa.

Good service network across the country. Tata motor has a vast network of service
centres known as Tata Authorized Service Stations (TASSes). Tata authorized
service stations, more than 500, present across the company.

Easy availability of spare parts.

Large presence of domestic brands in India.

30

 Broad based presence of Tata Motors in all the segments of commercial vehicle,
especially in H/MCV segments.

WEAKNESS

Tata has not been able to capitalize on its global presence. Tata itself relies on its
revenues in India and relies of its subsidiaries revenues in the international market.
Tata sells almost 90% of the cars under its brand name in India; on the other hand its
subsidiaries sell about 90% of their automobiles in the international market.

OPPORTUNITIES
Tata Motors have some distinct advantages in comparison to other multi-national
competitors. There is definite cost advantage as labor cost is 8-9 percent of sales
as against 30-35 percent of sales in developed economies.

There is huge demand in domestic markets due to infrastructure developments

and Tata Motors is able to leverage its knowledge of the Indian market.

Tata motors joint ventures with Marcopolo and Hispano Carrocera.

THREATS
Many foreign companies are entering in domestic markets which are giving
tough competition to Tata Motors. For example Volvo. Chinese company
KING LONG is also planning to enter in Indian market.

Earlier, a policy required majority-owned subsidiaries of foreign car firms to

invest at least US$50 million in equity if they wished to set up manufacturing
projects in India and mere car assembling operations were not welcomed. An
Indian cabinet panel has since announced a new automobile policy that sets
fresh investment guidelines for foreign firms wishing to manufacture vehicles
in the country. Investments in making auto parts by a foreign vehicle maker
will also be considered a part of the minimum foreign investment made by it
in an auto-making subsidiary in India. The move is aimed at helping India
emerge as a hub for global manufacturing and sourcing for auto parts. The
policies adopted by Government will increase competition in domestic
market, motivate many foreign commercial vehicle manufactures to set up
shops in India, whom will make India as a production hub and export to
nearest market.

31

 High rate of interest of banks.

High commodity pric
CHAPTER-2

RESEARCH METHODOLOGY
OBJECTIVE OF STUDY

Study of Starbuses. The study includes the models under Starbuses, their aesthetic
and technical features.

Competitive analysis It includes the technical comparison of Starbuses with

competitors and competitive sales report and market position of Tata Motors in
commercial vehicle segment.

Collection of customer feedback, and proposing improvements and suggestions

based on the study.
SIGNIFICANCE
This project is great means of learning .It gives a valuable knowledge of commercial
vehicle industry, competition, market scenario, companies of commercial vehicle
industry. The study provides the knowledge of fundamental concepts related to this
industry.
RESEARCH METHODOLOGY

The study is based on the observations and data. These observations and study is done by
using primary data and secondary data.
PRIMARY DATA: The primary data is collected by contacting the customers. I received
the data through personal interviews and through questionnaire.
SAMPLE SIZE : The sample size is 20
SECONDARY DATA: The secondary data is the information that I collected from the
Tata Motors. The various sources are:
Collection of sales data from and collection of technical specification of buses
from marketing department

THE SCOPE OF STUDY

The prime focus of the project is to study the Starbuses, competitive analysis and
collect the customer feedback to suggest the improvements to the company.

32

Product Tata Starbus

All the analysis and study has targeted Starbus and H/MCV segment.
The information provided by sales officer and marketing people is considered
valid subject to non availability of verification from other sources.

LIMITATIONS OF STUDY

The details of technical specification of competitors are not complete.

The sales report includes only north India.
The survey results were taken from a sample of population therefore will be
susceptible to sampling errors. We have assumed that the survey results depict the
true market situation.

The customers were reluctant to give their time to trainees.

CHAPTER-3
DATA ANALYSIS AND INTERPRETATION

33

COMPETITIVE SALES REPORT

NORTH
MCV BUS PVT.
STATE
TATA
AL
EICHER
SWARAJ
M&M
BAJAJ

Apri
l
195
84
1

TIV
COM

280
85

MSTATA

70%

MS COM

30%

May
234
56

Jun
372
89

Jul
262
91
1

290
56
81
%
19
%

461
89
81
%
19
%

354
92
74
%
26
%

Aug
.
348
88
1

Sep
.
294
90

Oct.
128
50

Nov.
59
31

Dec.
232
31
1

Jan.
266
17

Feb.
316
2

Mar.
407
75
2

TOTAL
3113
704
6

437
89

384
90

178
50

90
31

264
32

283
17

318
2

484
77

3823
710

80%

77%

72%

66%

88%

94%

99%

84%

81%

20%

23%

28%

34%

12%

6%

1%

16%

19%

Feb.
29
58

Mar.
94
181

TOTAL
1642
2189

87
58

275
181

3831
2189

33%

34%

43%

67%

66%

57%

MCV BUS STV.

STATE
TATA
AL
EICHER
SWARAJ
M&M
BAJAJ

April
137
173

May
208
272

Jun
138
85

Jul
147
277

Aug
.
163
279

Sep
.
206
323

Oct.
183
139

Nov.
140
199

Dec
.
85
93

Jan
.
112
110

TIV
COM

310
173

480
272

424
277

442
279

529
323

322
139

339
199

178
93

MS TATA

44%

43%

35%

37%

39%

57%

41%

48%

MS COM

56%

57%

223
85
62
%
38
%

65%

63%

61%

43%

59%

52%

222
110
50
%
50
%

34

MCV (Pvt) CONTRIBUTION

35

MCV (Pvt) Contribution

State
Punjab
Delhi
UP & UA
Rajasthan
JK
Haryana
HP
Avg. sale

H1(08-09)
742
890
517
593
146
133
92
230.4

SALES REPORT OF LP909/49

36

08-09
LP909/49
S.No.

Aug
6

Sept
10

Oct
22

Nov
23

Dec
25

Jan
30

Feb
40

March
45

MARKET SHARE

37

Domestic and Global Market Share and Position

MARKET/PRODUCT POSITION

Market
Share %

NEARESTCOMPETITOR

OVERALL

FIRST

63.7

M&M

Marke
t Share
%
13.4

HCV

FIRST

61.7

ASHOK LEYLAND

21.5

LCV

FIRST

65.3

M&M

24.3

MINI TRUCKS

FIRST

90.9

PIAGGIO

78

HCV(STV)

SECOND

44.1

ASHOK

45.8

LCV TRUCK

FIRST

64.3

M&M

13.5

LCV BUS
GLOBAL POSITION

FIRST

56.8

M&M

17.5

M&HCV TRUCK

4 TH

--

SCANIA

--

LCV TRUCK

16TH

--

GM

--

BUS(8T&>)

2ND

--

HYUNDAI

--

DATA ANALYSIS AND INTERPRETATION

38

As the sales report show Tata Motors is ahead of its competitors in north India. The sale
of MCV in private segment is dominated by Tata Motors. A maximum sale of Tata
Motors was in the month of March and minimum was in the November. Ashok Leyland
is the major competitor in MCV segment. The total sales of Tata Motors (private sector)
at the end of March were 3113 whereas the total sales (private sector) of Ashok Leyland
were 704. Tata Motors is dominant in the private sector with market share of 81% while
total market share of competitors were 19%. But in STV sector Ashok Leyland was
ahead of Tata motors. The total sales of Ashok Leyland at the end of March were
2186. The total sales of Tata Motors at the end of March were 1642. This showed
clear dominance of Ashok Leyland in STV sector. Rajasthan, Delhi contributes the
majority of sales to Tata Motors. Himachal Pradesh is the state where its sale was
very low. Tata Motors lead the sales chart followed by Ashok Leyland.
LP909/49 is the 40 seater Starbus. It is a BS-II complaint. Sales figure of
LP909/49 in the month of August was six. But its sales figure reached to 25 in few
months. LP909/49 showed the regular increase of sale in every month. At the month of
March sales reached to 45 buses. The sales of LP909/49 indicated positive attitude of
customers.
The Tata Motors is the leading company in commercial vehicle sector. The
overall market share of Tata motors is 63.7% followed by M&M OF 13.4%.Tata motors
retained its domestic leadership in commercial vehicle segment due to wide product
offerings. The Ashok Leyland is the close competitor of Tata motors in H/MCV segment.
Tata Motors has offered STARBUSES and GLOBUS to meet the customer
requirement. Tata Starbuses are widely used as city transport in India. But in HCV (STV),
Ashok Leyland gives tough competition to Tata Motors with 45.8% market share, while
Tata Motors have 44.1% market share. On the whole, Tata Motors leads in the all
segments of commercial vehicle. Tata Motors have a broad based presence across the
country in all segments of CV, LCV, HCV; LCV bus etc. The global position of Tata
Motors is 4th in M/HCV segment. The joint ventures and global acquisitions would make
a good impact on the Tata Motors global position.

39

CHAPTER-4
FINDINGS AND CONCLUSIONS
FINDINGS OF THE STUDY
CUSTOMERS NEED ANALYSIS

EGG DIAGRAM OF CUSTOMER NEED

The findings of the study are based upon the study done on the commercial vehicle
sector. The findings are also done by collecting customer feedback from the customers.
The customer need can be categorized as primary needs, secondary needs and peripheral
needs.
PRIMARY NEED: The primary needs consist of following characteristics:
Maintenance cost
After sales service
Reliability
Initial price
Seating capacity
SECONDARY NEEDS: The secondary needs consists of following characteristics:
Seating capacity
Mileage
Comfort of driver
brand
PERIPHERAL NEEDS: The outer cover of the egg shows the peripheral need of the
customer. It includes the following attributes:
Esteem value
Environment friendly
Comfort of driver

40

CONCLUSIONS
The project is a great means of learning .It gives the deep insight in automobile industry.
There are various strategies which one can make the best of business opportunities.

Cost leadership strategy: the primary method for such a take is the primary
method of ordering i.e. the tendering process.

Differentiation strategy: the differentiation strategy is opted to differentiate the

products from competitors product.

Focus strategy: Best efforts are made to arrive at the product best in class.

Internationalization strategy: The joint ventures and acquisition facilitates the

exchange of technology expands the Tata Motors business in other countries.

The up gradation of technology and innovation of new products according to the

changing needs of the market keeps the Tata Motors ahead of its competitors.
Starbuses are the latest product of Tata Motors. These buses are the modern means
of transport in the city. Starbus well suits the changing needs of customers.

41

CHAPTER- 5
RECOMMENDATIONS
RECOMMENDATIONS
TIMELY DELIVERY:

The delivery of the ordered vehicle should be made in

time as per commitments made by the company. Timely delivery will help in
gaining the confidence of the customers to perform on time. It will make it easier
to get order next time.

AFTER SALES SERVICE:

The services rendered after selling the vehicle
should be quick and up to the mark. This will boost the trust of the customers in
the organization and will surely help in getting further orders from them.

PERFORMANCE: The vehicle should perform optimally so that customer does

not face any problem while using these vehicles.
QUALITY: The quality should be up to the standards promised. A good quality
ensures the customer loyalty.

EASY AVAILABILITY OF SPARE PARTS : Spare parts should be available

easily so that customer do not face any problem during wear and tear of the
vehicle.

42

ANNEXURE
QUESTIONNAIRE- BUSES
TATA MOTORS
(1)How many Tata buses do you have in your fleet?
(2)Which products of Tata Motors do you have?
(3)When you bought the product?
(4)The products you use are of:(a)Eicher (b) Swaraj Mazda (c) Ashok Leyland (d) M&M (e) Others
(6) Why did you prefer Tata buses as compared to others?
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------(7)How do you rank our product on the basis of following features:Features
Satisfactory Good
Very good
Engine
Mileage
After sale service
Availability of spares parts
Warranty
Maintenance of the
Vehicle
Over all experience
Comfort features
(8) The most common problem faced by you with the products?

Excellent

Bad

(9) Would you prefer Tata products in future and why?

------ Yes

-------- No

43

(10)What kind of changes are you looking in our product?

Suggest:(11) These are some parameters that people considered before buying a commercial vehicle
.Rank the following parameters from 1-10, 1 being the most important and 10 being the least
important.
Parameters
Initial Price
Reliability
Seating Capacity
Maintenance Cost
Availability of spare parts
Power/speed
Brand of manufacturer
After sale service
Mileage
Comfort of the Driver
Environment friendly
Esteem value

Rank

(12) Are you satisfied with the service quality of Tata products?
___ Yes

__No

If not, please specify where improvement is needed?

PERSONAL DETAILS OF CUSTOMERS

(1) NAME

---------------------------

(2) ADDRESS

---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

(3) TELEPHONE NO.

---------------------------------

(4) AGE

-----------

(5) SEX

-------- M

---------F

44

Thanks for your cooperation.

REFERENCES
SITES
www.Tata Motors .com
www.Motor india.com
wikipedia
BOOKS
Philip Kotler- Marketing Management

45