Why TATA Motors failed so miserably?

TATA Motors

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TATA Motors

Said the newly appointed CEO Guenter Butschek.

This statement suggests that even TATA Motors accepts that it has lost its market share due to some sloppy strategy. Till now TATA motors insisted only on form factor rather than accountability; however when it comes to passenger vehicles once on second spot, TATA motors is unable to keep up the fight even with late entrants like Renault. Once its true competitor Mahindra and Mahindra has gone miles ahead in terms of numbers and maintaining its customers trust. Tata though has its products lined up in every category but it is only the latest launch of Tiago which somehow managed to attract few buyers to its showrooms. Although signs are promising but future is yet unpredictable.

What could be the obvious reason for such dismissive performance we wonder? Now the sleeping giant is trying hard to fight back into its home market with some serious line-up of products but it is obvious that only product line ups will not change TATA’s fate. These are some of the reason’s we think TATA must address to regain its stature –

  • Unable to refine their products with time
  • Keeping designs plain and jane
  • Unable to innovate technologically
  • Extremely poor service providers across the country thereby losing customers trust
  • Not taking adequate care of their current customers
  • Unable to keep up the pace of new product launches
  • Faulty market strategy for example targeting masses with Nano with an image of cheap car

These are the some external factors which lead to TATA motor’s failure apart from what happens internally. However we would like to know from your side, why a TATA product is not on your list?


  1. Pathetic Service of TATA motors has lead them to such disaster

    1. True, even in big cities their servvice is just unacceptable

  2. Poor service is the major probleem TATA unable to solve