TATA NANO THE Fifty Ugliest Cars of the Past 50 Years
Meanwhile, Tata Motors has other Nano problems. Check out the piece on BusinessWeek’s Asia Channel now by Mehul Srivastava, Ian Rowley and Moon Ihlwan. As they write in the BW story, Tata “may have to work hard to fight perceptions created by being a cheap, made-in-India car in Western markets obsessed with comfort and safety. Since September three Nanos across the country developed a short circuit that caused fire-retardant plastic parts to smoke up from the heat. Tata says it will carry out a preemptive audit of cars sold and in inventory as a precautionary measure, and it has ruled out a recall, choosing instead to replace the supplier for that specific part, called the combination switch.” Three problem cars out of 7,500 sold does not a crisis make. Problem is, when you hype your product as a People’s Car that’s the world’s cheapest, three might be all it takes to create jitters in the marketplace. Sure enough, auto blog GM Inside News already has a comparison between the Nano and the infamous Ford Pinto.
Tata should move fast to defuse the problem. CarTradeIndia.com, an auto industry website, reports today that a Tata spokesman says there have not been “actual cases of Nano catching fires but only smoke due to short circuit around the switch area and the melting of the plastic.” As damage-control strategies go, “No fire, just smoke” probably isn’t going to cut it.
Source: Business News
Karnataka may be the home for second Nano plant
Now, if all goes well, Karnataka will get a chance to play host to Tata Motors' proposed second Nano car plant in South India. The state government has been assured by the company that Dharwad will be a preferred choice for the company's plans to expand its Nano manufacturing capacity into South India.
The state government, in turn, has assured the company that it will provide the required land as well as tax concessions, similar to those offered by the Gujarat government, for setting up the second Nano car plant, Karnataka minister for medium and large industries Murugesh R Nirani said.
"When Tata Motors initially came to inspect Dharwad, we had offered them 600 acres within 24 hours and had assured another 400 acres in three months. But the company chose to go to Gujarat for reasons best known to them. However, they have told us, for expansion of their Nano car capacity, they will consider Dharwad and we have promised them all possible help," he told Business Standard.
Nirani added the state government recently acquired 2,500 acres at Dharwad, adjacent to the existing Tata Motors' bus plant, where the company had intended to set up the Nano plant. Tata Motors had indicated a requirement of around 1,000 acres.
"We have already discussed this with the company's higher officials. They have plans to set up one more plant in South India for producing the Nano car and they want to do it in Dharwad because it is closer to Pune, where they have a major presence. Tata Group Chairman Ratan Tata has invited us for further talks in this regard and we will soon meet him," Nirani said.
Tata is currently manufacturing the Nano at their plant in Pantnagar. Its dedicated Nano car plant will be operational at Sanand in Gujarat by early 2010.
At Dharwad, Tata Motors currently operates two plants to manufacture construction equipment under the Telcon brand name. It also produces buses in a joint venture with Brazil's Marcopolo. So far, it has acquired 600 acres and employs around 3,500 workers in both the plants. The company has invested close to Rs 500 crore in its bus plant, which started commercial production in January this year.
In addition to Tata's Nano car plant, the state government is also in talks with Korea's car maker Hyundai Motors and the domestic utility vehicle major, Mahindra and Mahindra, for locating their new plants in Karnataka.
Recently, the state government approved an additional investment proposal of Rs 800 crore by Toyota Kirloskar Motors at Bidadi, near Bangalore. The government is also planning to hold a special meeting with the automobile industry very soon in Bangalore, as a precursor to its forthcoming global investors' meet scheduled to be held in January 2010, Nirani added.
Source: Business Standard (MSN News)
12:34:56-7/8/9 What might Nano Gift at this magic time..? Gasses....
BE alert and alarmed - history is in the making. Blink and you'll miss it. At exactly 56 seconds past 12.34pm today, the digital time will be 12:34:56-7/8/9. If we look in the history this is a very lucky time, many great things come in to light on this magic time at 12:34:56-7/8/9 like, Sir Timothy John Berners-Lee, the founder of WWW was found on 12:34:56 89 So
what might happen this time..
My gasses:
- Will WHO give medicine to AIDS?
- Will Tata Group Start a new Nano car for 1000 Rs/- ?
- Will all the Traffic jams Problems in world go out of world?
- Will Reliance give all the KG basin gas to AP ?
Spend time with some one you love,
All this points are just for joke and comedy only, they are all false and will not happen..
Here are the details about the magic time 12:34:56-7/8/9 :
Miss the numerical nuance and it won't come again for another 81 years, the Herald Sun reports.
But while setting an alarm for 12:34 might appeal, not everyone thinks this time's worth the effort.
Numerologists say it's no big deal and our official time lords, the National Measurement Institute, will barely give it a second's thought.
The Watch and Clockmakers of Australia (incorporating the Horological Guild), though, doesn't need any winding up.
Its state secretary, John Mohan, said the special second was quite fascinating."It's quite unique. I'll definitely be watching it," Mr Mohan said.
"We've got our AGM coming up next week and they'll all be talking about it, for sure. "It's those sort of things myself and other members are quite interested with. "Maybe they'll have it up on the big screen at Federation Square?"
In the US, where they write months and days the wrong way around, the magic moment came on July 8. A YouTube video of it happening drew almost 1200 comments. Some were already looking forward to the next, even better one, in 2090, when a final zero will follow the nine. Dr Bruce Warrington, the scientist in charge of Australia's best and official clock, isn't too fussed about today's moment in time.
His caesium atom-based atomic clock at the institute is a $100,000 job accurate to one second in 30,000 years.
Dr Warrington's magic moment comes every 18 months or so when a leap second is added to reconcile its accurate clock with the earth's haphazard rotation. He says he won't be wasting time clock-watching at 12:34. "It's not particularly special for us because every time, for us, is special," he said.Melanie Evans from Visionary - the Spiritual Institute of Australia - said from a numerologist's perspective, it was a second-rate second.
"It is quirky, it is different, it is unusual," she said. "But from a numerological point of view, er, no."
Source:http://www.news.com.au/story/0,27574,25894584-421,00.html
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'Nano' a buzzword for the Tata Group New project on way
Need to innovate
Gopalakrishnan observed that the next decade would be one marked by the need to innovate. This in mind, the Tata Group has begun to streamline and document the innovations that are happening in the group companies.
A Tata Group innovation forum has been set up to formalise innovation, which includes cross pollination of ideas and a system of recognition and awards. The idea is to foster the culture of innovation and as such, there is a category of awards even for failed innovation projects.
Dr Santanu Chakrabarti of Tata Steels Ltd spoke of a successful attempt in the company to reduce time, and consumption of water, in the process of annealing steel. The team that worked on the project substituted water with 'nano liquid' - a water-based solution containing suspended solids (fine grains of metal oxides).
For a one-time investment of Rs 50 lakh, the company would save Rs 5 crore annually, but more significantly, the company will be able to make more steel with less waterOne of the presentations said that the number of innovation projects registered for awards rose from 101 in 2006 to 1,712 in 2009. The number of failed projects that were nominated for awards increased from 12 in 2007 to 115 in 2009.
One of the 'failed projects' was of Tata Tetley. The company wanted to bring in flavours in the form of soluble capsules - you put them in your drink (any drink) to get the flavour you want. It did not work out, but the company is now working on the concept with liquids and sprays.
Another failed concept was a plastic door for the Nano car. The door, with reinforced metal bars, passed every crash test, but was still rejected because it might be perceived by the public as unsafe.
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The nano breed - Nano Pickup Truck

aaa

A single wiper, three wheel lugs and a similar dashboard layout substantiate its Nano mechanicals. The engine was apparently mounted at the rear axle and sounded exactly like the Nano’s twin cylinder exhaust tune.
The Nano’s platform as we said earlier will not end with just a passenger car. We are not sure what else it can give rise to, maybe only a Nano tractor wouldn’t come about.
Tata Nano has passed its first basic EC structural safety tests
The diminutive Tata Nano has passed its first basic EC structural safety tests which will becomes Indian structural safety standard in 2012. The tests were conducted at UK’s MIRA test center under the supervision of Nic Fasci, type approval engineer from Britain’s Vehicle Certification Authority.
Two slightly modified Tata Nano cars flown in from India to the MIRA test center and were subjected to a 50 kmph side impact and a 56 kmph offset frontal impact test, the minimum required for any vehicle to be sold in Europe.
Tata Engineering chief Clive Hickman said the aim of the tests was to show that with basic modifications the present car could meet the existing safety regulations and set the vehicle on course for a European version to be ready by 2012.
Video: Tata Nano Crash TestTata Motors said it was “delighted but not surprised” that its Nano subcompact passed European front- and side-impact crash tests last week.
Tata Motors is intending to subject the Nano’s European version to NCAP testing and is confident of getting a 4-Star safety rating.
The modifications to the Tata Nano included extra foam added to the cant rail, a reinforced longitudinal structure and some added strength behind the front bumper and in the front doors.
“It looks no different from other cars doing this test. It’s a good crash.” said Nic Fasci, approval engineer from Britian Vehicle Certificaion Authority who certified the tests.
The crash tests included a 40 percent offset and a 56km/h (35 m.p.h.) frontal impact, and are tougher than those that exist in India — currently the Nano’s only market — but they are due to be adopted in India in three years’ time.
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Farmers to operate irrigation pumps by cell - Nano Ganesh
According to Naveen Bhasin, chief operating officer, Gujarat, Tata Teleservices Limited, "Tata Indicom is first operator in India to partner with Ossian Agro to offer remote access to irrigation pumps using a mobile phone Nano Ganesh — a radical move to save electricity, time, money and resources like water. We have launched a pilot project as part of the inauguration at Sojitra in Anand district of Gujarat."
To know more about Tata Nano Ganesh click here
Under the service, farmers will have to buy Tata Indicom mobile connection and a mobile modem that will be attached to the starter of the pump set. After registration, the subscriber (farmer) will be provided with a unique code number. Using the mobile handset, the farmer can remotely switch on and switch off the pump set with the assigned code number. The farmer can also check the on/off status as well as the availability of power by a particular tone.
"This service is exceptionally functional in order to save lot of time and energy in the regions that have erratic power supply," added Bhasin.
The subscriber shall be charged Rs 2,700 for the device and additional for the handset that offers lifetime validity. The service comprises two handsets that shall be provided with the bundled offer — one installed with the device and the other remains with the farmer. All calls made to the pump by the Tata Indicom mobile shall be free whereas the other calls charged as per the tariff plan given to the subscriber.
Talking further about the launch, Bhasin said, "We are extremely delighted to partner with Ossian Agro Automation for launching Nano Ganesh. With Tata Indicom network support, the farmers can remotely access their irrigation pumps which will help them improve productivity, and save electricity costs and have better return on investment. Through our various rural initiatives like Sahayak, MKrishi, and Nano Ganesh amongst others, Tata Indicom is constantly innovating and devising new techniques to reach out to the basic needs of rural India."
Electric car form TATA Costly then Tata Nano - says rathan tata on global warming day
"We will have an electric car in the market in September," Tata was quoted as saying by Cornell University on its micro-blogging feed on Twitter. Tata is also a Cornell trustee.
He talked about the electric car at the Cornell Global Forum on Sustainable Global Enterprise organised by the university.
In 2008, Ratan Tata speaking at the Annual General Meeting of Tata Motors said that the company was developing an electric car.
Foreign media also reported quoting Tata at the forum that Tata Nano, dubbed as the world's cheapest car, is expected to be available in the US in the next two years.
The much-awaited Nano was commercially launched in March in India and is expected to hit the roads soon.
According to the university website, the Tata Education and Development Trust committed USD 50 million to Cornell in October 2008 to establish the Tata Scholarship Fund for Students from India and the Tata-Cornell Initiative in Agriculture and Nutrition, intended to improve the lives and livelihoods of India's rural poor.
At Tata Motors' annual general meeting this week chairman Ratan Tata told shareholders about an electric car partnership project with Norway, with the car to launch in Norway within the next 12 months, according to Swedish weekly Ny Teknik, and India afterward. Calcutta Telegraph said Tata will use its Indica platform for the development of its electric car, not the no-frills, $2,500 Nano, which is scheduled to start rolling off production lines in September. Tata is currently working on five prototypes of electric vehicles, the Telegraph said, with lithium-ion batteries and an approximate range of 200 kilometers. Indica is a full-size highway-ready car, but Tata hasn't said whether the Indica-based EV will also be full-sized or an NEV (neighborhood electric vehicle), or given price signals.
Scandinavia cornering electric vehicle market?
Tata's electric car is supposed to be initially assembled in Norway, which seems a bit strange given the country's high wages compared to India. On the other hand, with THINK and the Kewet Buddy under production and Miljøbil Gronland working to continually beef up the infrastructure of fast recharging stations, Norway has some accumulated EV competence.
Reva electric car's strong sales
Tata earlier partnered with Chrysler's electric vehicle unit Global Electric Motorcars (GEM) to develop and market an electric version of its light commercial vehicle Ace for sale in the United States, according to Germany's Spiegel Magazine. Spiegel also said India's electric car maker Reva has sold 2,500 units, including 1,000 in the UK, and is hiking capacity to 30,000 units by December from 6,000 now.
Tata's mystery electric car partner
THINK thus far gave no indication that it was Tata's EV partner, nor did Kewet, according to Ny Teknik. But Miljøbil Gronland, though refusing to give any details, did say it "has a project with India" according to Ny Teknik. Owned by government-owned Norsk Hydro, Miljøbil Gronland has a fleet of different EVs and hybrids that it leases to Norwegian consumers.
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Bookings for Tata's 'Nano' house starts on May 11th
The initial booking amount is Rs 10,000 and booking application forms are available at SBI branches. Bookings can be made through bank pay order at selected branches of SBI bank across Mumbai. Applicants can purchase the application form booklet at Rs 200.
Bookings have to be made in the next 20 days and the first list and the waiting list is expected 15 days after the final booking day.
Tata Housing, a subsidiary of Tata Sons, launched its low-cost housing initiative - the Shubh Griha project - on Wednesday. The company plans to build apartments that will be priced at around Rs 4 to Rs 7 lakh.
The first Shubh Griha township will be launched at Boisar in Mumbai.
Tata Housing has tied up with SBI and HDFC to help potential buyers with finance options.
Tata Nano | Test Drive Review | Interiors Review | Exterior Reviews | Performance Reviews | Engine Reviews
Now for the part about our test drive report that is the most awaited of all. Unlike what was being rumoured, the Nano has a surprisingly refined and capable 624cc petrol engine. The engine does not sound like that of an autorickshaw or a genset and is also not too strained when pushed during heavy acceleration.
Of course, the two-cylinder, MPFI engine, with a rated peak power of 35 PS, is tuned and mapped for fuel efficient performance. Its top speed has also been limited at 105 kmph with the help of an engine-rpm sensor and fuel cut-off mechanism. The fuel is cut-off at 5,600 rpm and fuel delivery is restarted once the engine rpm fall below the 5,550 rpm level. More...
Higher Claims and Reinsurance on Nano - Review
Higher loss claims and the possibility of non-proportionate reinsurance being factored into insurance policies taken for the Tata Nano, cannot be ruled out. This may necessitate the five insurance companies insuring the Nano to review the annual premiums that are currently expected to be in the range of 2.5 to 3 per cent of the insured declared value (IDC) of the model when it rolls out from the factory.
First time drivers graduating from two-wheelers, a larger expected commercial usage of the vehicle due to its low-ticket value, may increase the accident frequency. This may raise the possibility of higher loss claims accruing to insurers and consequent higher overhead expenses due to the low price of the Nano. More..
Tata Nano Exterior Reviews
There are few examples of an automobile that is as sharply focused on one issue as is the Nano on frugality - of manufacture, of acquisition and of regular maintenance.
And so, every single part of the car was approached with a fresh intent and without the pre-fixed notion of how it already exists in other cars. The idea was to keep the weight of the car low, so that it can offer high fuel-efficiency, meet emission norms and be capable of being manufactured within the pre-defined cost. These points were also important to ensure that the theme of frugality can be extended to include low cost of ownership. More..
Tata Nano Interiors Review
Much has already been written about the Nano’s vital statistics in terms of interior space compared to its nearest rival – the Maruti 800. But, it still does take you by surprise when you get to sit inside the Nano and personally get a feel of the space that has been leveraged out of a tall, relatively narrow outer shell.
There is considerable headroom and the fact that there is no engine under bonnet in the front helps the Nano offer deep foot wells and so lots of legroom for front passengers. At 1,652mm, the Nano is about 6 cms taller than the Hyundai Santro Xing, the tall-boy of small cars and it is also wider than both the small cars. More..
Test Driving the Tata Nano Review
Before allowing me behind the wheel of a Tata Nano test car at Tata Motors’ engineering research center and high-speed testing center here two hours south of Mumbai, a team of engineers told the story of the car’s gestation.
Ratan Tata, chairman of the Tata Group, envisioned a safe, affordable and all-weather form of transport for Indian families that couldn’t afford a car. The vehicle Mr. Tata dreamed of would have a starting price of only 100,000 rupees ($2,000). More..
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No Advance Booking for Nano - Buy Nano of-the-shelf soon
"From this August or September, customers will be able to walk into our showroom and drive out in a Nano," Manoj Arora, Senior Manager, Tata Motors, told reporters.
Arora said that setting up a manufacturing facility at Sanand (Gujarat) will help the company deliver cars faster.
Tata Motors has been producing limited units of the Nano at its Pantnagar plant in Uttarakhand.
The company had taken bookings for only 1.55 lakh units through a lottery after the Nano was launched on March 23, 2009. Out of the total, only one lakh units were price-protected and the company was scheduled to deliver them by this year-end.
At present, there are 35,000 Nanos plying on Indian roads. "The Sananad facility can manufacture 2.5 lakh units per annum," he said.
Talking to reporters on the sidelines of the Tata Nano's 'Superdrive' event, which will have cars traveling through the length and breadth of the country, Arora said that the company has nearly fulfilled the commitment made during the first lot of bookings.
Arora said that the car is doing well in the market because customers are satisfied by it.
Speaking on the Superdrive event, he said that the Nanos were flagged off from the Tata Motor Plant at Sanand on June 2.
"Nine Tata Nanos will cover three different routes during a 26-day-long voyage, and will visit 36 cities -- covering a distance of over 15,000 kilometres," he said.
source Yahoo news
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Bajaj car to take on roads in 2012
INDIAN TWO-WHEELER major Bajaj Auto and French automaker Renault on Tuesday (November 10), announced their plans to launch an ultra-low cost car in India in 2012. The car is expected to take on the Tata Nano, the cheapest car being produced and marketed by Tata Motors in the country.
Renault chairman and CEO, Carlos Ghosn said that the design, engineering, sourcing and manufacturing of the car will handled by Bajaj, while marketing and sales will be done by Renault-Nissan alliance.
Speaking at the India Economic Summit, Ghosn said that the brand under which the car will be sold will be decided later on. The tie-up between Bajaj and Renault to produce a low cost car was annunced in 2008. The alliance is planning to sell the car at about Rs 1 lakh.
The project was, however, delayed after differences emerged over issues like price, brand and styling of the car. Both the companies are now confident that the work on the project will start soon and the car would burn the rubber on Indian roads in 2012.
Learning from Tata's Nano for Western executives
The announcement last month by Tata Motors of its newest car, the Nano, was revealing on many levels. The announcement generated extensive coverage and commentary, but just about everyone missed the Nano's real significance, which goes far beyond the car itself.
But, O.K., let's start with the car itself-particularly the price. At about $2,500 retail, the Nano is the most inexpensive car in the world. Its closest competitor, the Maruti 800, made in India by Maruti Udyog, sells for roughly twice as much. To put this in perspective, the price of the entire Nano car is roughly equivalent to the price of a DVD player option in a luxury Western car. The low price point has left other auto companies scrambling to catch up.
Thinking Outside the Patent Box
How could Tata Motors make a car so inexpensively? It started by looking at everything from scratch, applying what some analysts have described as "Ghandian engineering" principles-deep frugality with a willingness to challenge conventional wisdom. A lot of features that Western consumers take for granted-air conditioning, power brakes, radios, etc.-are missing from the entry-level model.
More fundamentally, the engineers worked to do more with less. The car is smaller in overall dimensions than the Maruti, but it offers about 20% more seating capacity as a result of design choices such as putting the wheels at the extreme edges of the car. The Nano is also much lighter than comparable models as a result of efforts to reduce the amount of steel in the car (including the use of an aluminum engine) and the use of lightweight steel where possible. The car currently meets all Indian emission, pollution, and safety standards, though it only attains a maximum speed of about 65 mph. The fuel efficiency is attractive-50 miles to the gallon.
Hearing all this, many Western executives doubt that this new car represents real innovation. Too often, when they think of innovation, they focus on product innovation using breakthrough technologies; often, specifically, on patents. Tata Motors has filed for 34 patents associated with the design of the Nano, which contrasts with the roughly 280 patents awarded to General Motors (GM) every year. Admittedly that figure tallies all of GM's research efforts, but if innovation is measured only in terms of patents, no wonder the Nano is not of much interest to Western executives. Measuring progress solely by patent creation misses a key dimension of innovation: Some of the most valuable innovations take existing, patented components and remix them in ways that more effectively serve the needs of large numbers of customers.
A Modular Design Revolution
But even this broader perspective fails to capture other significant dimensions of innovation. In fact, Tata Motors itself did not draw a lot of attention to what is perhaps the most innovative aspect of the Nano: its modular design. The Nano is constructed of components that can be built and shipped separately to be assembled in a variety of locations. In effect, the Nano is being sold in kits that are distributed, assembled, and serviced by local entrepreneurs.
As Ratan Tata, chairman of the Tata group of companies, observed in an interview with The Times of London: "A bunch of entrepreneurs could establish an assembly operation and Tata Motors would train their people, would oversee their quality assurance and they would become satellite assembly operations for us. So we would create entrepreneurs across the country that would produce the car. We would produce the mass items and ship it to them as kits. That is my idea of dispersing wealth. The service person would be like an insurance agent who would be trained, have a cell phone and scooter and would be assigned to a set of customers."
In fact, Tata envisions going even further, providing the tools for local mechanics to assemble the car in existing auto shops or even in new garages created to cater to remote rural customers. With the exception of Manjeet Kripalani, BusinessWeek's India bureau chief, few have focused on this breakthrough element of the Nano innovation (BusinessWeek.com, 1/10/08).
This is part of a broader pattern of innovation emerging in India in a variety of markets, ranging from diesel engines and agricultural products to financial services. While most of the companies pursuing this type of innovation are Indian, the U.S. engineering firm, Cummins (CMI) demonstrates that Western companies can also harness this approach and apply it effectively. In 2000 Cummins designed innovative "gensets" (generation sets) to enter the lower end of the power generator market in India. These modular sets were explicitly designed to lower distribution costs and make it easy for distributors and customers to tailor the product for highly variable customer environments. Using this approach, Cummins captured a leading position in the Indian market and now actively exports these new products to Africa, Latin America, and the Middle East.
"Open Distribution" Innovation
We have called this "open distribution" innovation because it mobilizes large numbers of third parties to reach remote rural consumers, tailor the products and services to more effectively serve their needs, and add value to the core product or service through ancillary services. Three innovations in products and processes come together to support "open distribution:"
o increased modularity (both in products and processes)
o aggressive leveraging of existing third-party, often noncommercial, institutions in rural areas to more effectively reach target customers
o creative use of information technology, carefully integrated with social institutions, to encourage use and deliver even greater value.
Modular designs combined with creative leverage of local third-party institutions help participants to get better faster. Companies such as Tata and Cummins are going far beyond "customer co-creation" in the narrow sense of soliciting isolated ideas from customers. Instead, they are building long-term personal relationships with customers, enriched by the specialized capabilities of broad networks of third parties that generate much deeper insight into customer needs and afford opportunities to tailor value.
Such innovations are quite different from those in the retail distribution systems pioneered by companies such as Dell (DELL) and the leading big-box retailers. These U.S. companies developed completely self-contained and highly standardized facilities and services for customers. But the open-architecture approach pioneered by Indian companies may offer much greater opportunity to deliver more tailored value to customers than the closed-architecture U.S. approach. The techniques initially developed to reach poor and rural customers may have even greater potential when used to reach highly demanding, affluent, urban customers in Western economies.
Welcoming Users Back into the Design Loop
The Tata Motors/Nano approach contrasts with the strategy of most other manufacturers. For more established automakers each new model represents an advance in tight integration, with more and more of the functionality deeply embedded in electronics that truly represent a "black box" to the customer. The days of customizing cars to personalize them and push their performance limits are rapidly receding into distant memory for the average customer. Yet, as Kathleen Franz, makes clear in her wonderful book, Tinkering: Consumers Reinvent the Early Automobile, it was the open design of early automobile models that blurred the lines between consumption and invention and led to a wave of innovations that were later embraced by the auto industry.
What are the broader lessons that Western executives should learn from this innovation story?
Emerging markets are a fertile ground for innovation. The challenge of reaching dispersed, low-income consumers in emerging markets often spurs significant innovation. Western executives should be careful about compartmentalizing the impact of these innovations on the edge of the global economy. As we suggested in Innovation Blowback, these innovations will become the basis for "attacker" strategies that can be used to challenge incumbents in more developed economies. What's initially on the edge soon comes to the core.
o Find ways to help customers and others on the edge to tinker with your products. Modular and open product designs help engage large numbers of motivated users in tailoring and pushing the performance boundaries of your products, leading to significant insight into unmet customer needs and creative approaches to addressing those needs.
o Pay attention to institutional innovation. Western executives often become too narrowly focused on product or process innovation. Far higher returns may come from investing in institutional innovation-redefining the roles and relationships that bring together independent entities to deliver more value to the market. Tata is innovating in all three dimensions simultaneously.
o Rethink distribution models. In our relentless quest for operating efficiency, we have gone for more standardization and fewer business partners in our efforts to reach customers. As customers gain more power, they will demand more tailoring and value-added service to meet their needs. Companies that innovate on this dimension are likely to be richly rewarded.
John Hagel and John Seely Brown are co-chairman and independent co-chairman, respectively, of the Center for Edge Innovation, a part of Deloitte & Touche USA LLP. John Hagel writes a blog at Edge Perspectives .
Nano fetches premium in used-car market
Used car dealers say limited allotments and long waiting periods are the chief reasons for these premium second-hand prices. In addition, customers whose names featured in the first allotment list of 100,000 cars are reportedly also selling their allotments, though at lower premiums.
The premiums for December deliveries, for instance, range from Rs 5,000 to Rs 8,000 (the allotments, however, would be made to the original buyer).
"The buyers are those who either missed out on the first allotment draw or did not bother to book it then. They are people who are quite affluent and own four or five cars, so they wouldn't mind paying that extra buck," said Arif Fazulbhoy, director, Fazulbhoy Motors.
All the eight to 10 Nano models sold from Fazulbhoy's outlet in Mumbai were re-sold even before they were brought to the showroom.
Those who are selling are either in need of cash or choose not to wait for the extended period for the delivery of the car, which ranges from three months to over a year, according to information provided by the company to its buyers.
Demand has also been fuelled by the fact that Tata Motors has not yet disclosed when bookings for the Nano will reopen.
The company had initially stated that bookings would reopen only after the first batch of Nanos was delivered. Although the company had suggested that first-batch deliveries would be complete by the last quarter of 2010, some allottees say their delivery date is scheduled for the first quarter of 2011.
All the second-hand models were from the top-end LX variant, priced at Rs 1,85,375 (ex-showroom Mumbai). The on-road price of the variant is a little more than Rs 2 lakh.
"Buyers of second-hand Nanos are those who have developed a kind of fetish for the car. It’s more the snob value attached to the car than the practical use of it. These buyers are from Mumbai, the National Capital Region and Gujarat, with a strong demand for the yellow, high-end variant," added another used car dealer from the city.
According to a Tata Motors disclosure, among the three variants of the car, 50 per cent of the 203,000 bookings were for the LX variant, 30 per cent for the CX variant and only 20 per cent for the standard variant.
Tata Nano Plant – From Singur to Sanand and now to Dharwad
The Principal Secretary, Department of Industries and Commerce, Mr V. Umesh, said Tata Motors’ officials had visited two sites near Dharwad which could be offered for the project. Murgesh Nirani, Minister for Large and Medium Industries met Ratan Tata, Chairman of Tata Motors, “to take forward the negotiations on relocating the Nano project to Dharwad,” he said.
Last week, a Tata Motors team led by its Managing Director, Mr Ravi Kant, met the Karnataka Chief Minister, Mr B.S. Yeddyurappa, and discussed the possibility of locating the Nano plant in the State. The state government has assured all the help needed by the company for setting up its plant.
Submitted by Satish Kalepu
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Second slot of Nano, Tata Motors now in the race in Karnataka
The initial offering of the Karnataka government was in the form of 1000 acres of land in a split of 600 acres in just 24 hours and the remaining in the time span of three months. But the venture could not fruitify but the time has now come for further negotiations and this time Tata is firm on its foot at Dharwad. In the current move, according to the government’s Minister, 2500 acres of land has been acquired adjacent to the proposed Nano plant from which 1000 acres will be benchmarked for Tata. The choice of Dharwad is for the reason that it is closer to Pune to indicate the wide presence of Tata. Further talks are on between the Chairman of Tata, Ratan Tata and the government officials. The present unit in Pantnagar is designing Nano and the full-fledged Nano plant will start its operation from Sanand in Gujarat from 2010.
The Dharwad plant is currently in the operation for Telcon ranges including a bus project with Brazil ‘s Marcopolo. Tata has got possession of 600 acres with the employees ranging upto 3500 in its two plants and the bus plant has yielded Rs500 crore investment by which the commercial production commenced this January. Karnataka government has in good spirits to promote Korea’s Hyundai and, Mahindra&Mahindra too for erecting their units in this state. Earlier, Toyota got the grace from the Karnataka government for Rs800 crore at Bidadi. In all the Karnataka government is in celebrity mood to meet the automobile industry prior to the global investor’s meet slated for January 2010.
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Tata Motors delivers 2,501 Nanos in August
during the first full month of its sale in August.
The company, which rolled out the car on July 17 has registered a cumulative delivery of 4,976 units during the first month and half, Tata Motors said in a statement.
It had delivered 2,457 units of the car during the first 15 days of July.
The vehicle carries an ex-factory price of Rs one lakh for the base variant and costs anything up to Rs 1,75,000 depending on the model.
Last month, the company's total sales jumped 14.24 per cent to 49,810. Its passenger vehicles sales in the domestic market grew by 11.33 per cent at 17,364.
Tata Group Chairman Ratan Tata had said in the company's Annual Report in July it would deliver up to 60,000 Nanos within the next year.
After originally planning to roll out the 'small wonder' from Singur, Tata Motors had to shift the project to Gujarat on account of violent protests by farmers last year.
Nano facility in Gujarat to be ready by January: Tata
Tata Motors Chairman Ratan Tata addresses shareholders at the company's 64th Annual General Meeting in Mumbai on Tuesday. the head of India's leading vehicle maker said the country was seeing its initial signs of recovery in the auto sector but there were tough challenges on the road ahead. Tata Motors consolidated earnings for the year 2008-09 showed a net loss of Rs25 billion ($520 million) compared to a net profit of Rs21.7 billion in 2007-08.
"The Sanand plant will be ready by January next year. At first stage, the plant will produce more yellow and silver coloured cars as they are in demand in the market," Chairman Ratan Tata said at the company's Annual General Meeting here.
Tata Motors Chairman Ratan Tata, discusses with Vice Chairman Ravi Kant, and CFO C. Ramakrishna, before addressing shareholders at the company's 64th Annual General Meeting in Mumbai on Tuesday.
He said the Sanand plant would supplement the production of the Rs 1-lakh car that is now coming out of the company's facility at Pantnagar in Uttarakhand.
Last year, Tata Motors pulled out of the proposed Nano site at Singur, West Bengal, following agitation and relocated the plant to Sanand, on the outskirts of Ahmedabad.
Tata Motors Chairman Ratan Tata addresses shareholders at the company's 64th Annual General Meeting in Mumbai on Tuesday.
The shifting of the plant cost the company Rs 100 crore, Tata said, adding, the net loss on account of the relocation had not been assessed yet.
Tata Motors Chairman Ratan Tata makes notes before addressing shareholders at the company's 64th Annual General Meeting in Mumbai on Tuesday.
The car, touted as the cheapest in the world, would initially cater to the Indian market but the company plans to export the vehicle to Europe, Africa and Asia, he said.
'Cost down' Alto to replace 800, dare Nano
Sources tell us that Maruti has devised a clever, two pronged strategy to meet this challenge: launch a new, upgraded Alto at a price premium, and simultaneously develop a 'cost down' version of the existing Alto to bring it close to the price levels of the M800.
The upgraded Alto, which is already under development and should be launched in the first quarter of next fiscal, will come with the advanced K-series engine and significant design and styling changes as well. It may be priced close to the Rs 3 lakh bracket but this could not be confirmed. Vendor sources say the company does not expect major volumes from this variant -- only 60,000-70,000 units a year.
But the 'cost down' version of the Alto is expected to generate sizeable volumes for Maruti. The company has already been working with vendors on the 'one gram, one component' principle to reduce the weight of each component used in making a car by a gram. This, coupled with other cost saving techniques, could well bring down the price of this 'cost down' Alto rather close to the base version of the M800 or could even within striking distance of the Nano!
So, six months down the line, a first time car buyer can choose between the existing Alto -- which will be priced at the bottom of the pyramid -- and the new, upgraded one.
The Alto has been one of Maruti's most successful models, averaging 19,000-20,000 unit sales a month. But sales of the erstwhile bread and butter model, the M800, have been declining continuously though top officials at Maruti insist that the model may see an upgrade to BS IV norms even now.
One thing is for sure though. The first indigenous car, which was launched in the early eighties, would not be selling in Mumbai, Delhi and nine other top cities of the country from April 2010 unless an upgrade is done to make it BS IV compliant.
Gearing up
Maruti developing new Alto with K-Series engine and significant styling changes
This new Alto will come at a price premium, could be in Rs 3 lakh bracket
The existing Alto may be replaced with a 'cost down' version
This model will be made BS-IV compliant and could be close to the existing M800 base variant or even lower, competing directly with the Nano
Fiat could help Tata in Nano launch in Latin America
Tata has been considering launching this car in the international markets as well. Latin America is one of the important markets where Nano could generate good sales.
Tata could launch the Nano model in this market with the help from Fiat which is a major player in Latin America.
Fiat and Tata are already collaborators in India. Fiat provides engines to Tata while Tata provides service stations and showrooms to Fiat.
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Book Tata Nano in your own city Click here to Know How..
To know the Ex- showroom Price of Tata Nano City Wise All Over India Click here
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