TheTata Nano was released on 20th January 2008. Being the firstautomobile company in India, it did not only possess the control overthe market but also attained a higher competitive advantage over theregion. The Tata car emerged as the cheapest maintaining a mediablitz that spread around the global market. The company used themedia to capture the consumer’s attention and build the brand. As amarketing strategy, the use of media provided a platform for morecustomers to learn about the product.
TheTata group applied diverse international approaches to reach itsconsumers. The company practiced the use of multipurpose parts thatserved many purposes. This helped the company to reduce itsproduction and increase the amount of profit earned significantly.Moreover, the company developed the product to be fuel-efficientthereby making it affordable for the general public. However, theemergence of the two and the three-wheeler changed the consumer’sscope of the company’s product. Since India is regarded as acost-driven community, the two-wheeler car created a competitiveenvironment that the Tata Company was not prepared to tackle.
Nonetheless,the company remains with a defined middle-class group having demandfor their product. The product features met the needs of most clientswith satisfaction regarded as one of the areas addressed. Identifyinga particular group of consumers allows the organization to build anddevelop its brand (Mayer, 2008). One would equally argue that for thecompany to increase its consumer base, it should adapt the modernmethods of technology for marketing. This would include the use ofthe internet as a marketing tool, as well as the production of otherunique, cost-effective products that may widen the consumer circle.Tata Motors should also practice social responsibility in India andaround the globe to market the company widely. According to thearticle, the Tata Nano remains an affordable brand to a majority ofcustomers and vibrant marketing will result in increased sales.
Researchhas argued that individuals are motivated to achieve certain needs.However, when one need is met, the individual is likely to strive toachieve another one. In regards to Maslow’s Hierarchy of needs,there exist 5 levels of motivation that influence an individual’sdecision when purchasing a product. In this case, the Nano has beenidentified to fit families that would like to avoid rain, wind, anddust. By addressing these essential elements, Tata Motors tackle thefirst need in Maslow’s Hierarchy (Basic needs: Security andPsychological needs). The company also made the price of the productrelatively low thereby creating a sense of belonging to itscustomers. The car’s design was stated to be very appealing. TheTata group focused on developing a car that is very attractive andenvironmentally friendly with lesser emissions.
Mayer, R. P. (2008). A Mega market for ultra-low-cost cars: Focusing on Customers in developing markets. Kearney A.T: Kearney Inc.