Professional Documents
Culture Documents
Submitted By: Shweta Kumari MBA (Gen.), 4th Sem Reg. No. A50001911016
outsourcing their work to India especially in the area of business services which includes business process outsourcing and information technology services. This has given a major boost to the Services Sector in India, which in its turn has made the sector contribute more to the India GDP. The demand for services is on the rise with increases in income, as people are becoming less concerned about material needs. In the consumer sector, this leads to increasing demand for services such as health, education and entertainment. In business, companies recognize that many activities can be handled more efficiently by a service provider. Outsourcing services allows a business to concentrate on the activities that are critical to its success. These are called core activities, and they include sales and marketing, accounting, technology, quality, product and service delivery, management, human resources, finance and product development. The service sector is benefiting from improved marketing as service firms communicate their message more efficiently. Building understanding of the benefits of professional services is critical to the growth of the sector. According to the Rain Group, service firms can improve their performance by positioning themselves effectively and explaining their service benefits to customers. Services can help a business improve efficiency and achieve its strategic business objectives. For example, consultancy services can help a company focus on critical areas for growth. Training services, for example, help companies develop their workforce skills as a competitive advantage.
affordable price. Nano was the only car in the world carrying a price tag of under $2000. Tata Nano had not only caught the attention of the world, it had also roused the expectation of millions of Indians on what was going to be a first in the history of the automobile. Tata Nano instilled a sense of pride in every Indian on the day of its launch. After such an open arm welcome and warm response, Tata Nano failed to prove itself as a common man's car. This Case study tried to analyze the strategy that went into the making of Tata Nano, 'a common man's car', the reasons for its poor sales after a tremendous opening, and the course of action required to make Tata Nano, a truly 'common man's car'. This story would have a more obvious happy ending if Tata had gotten it right the first time: sales numbers in the millions, a transport revolution in the developing world, etc. etc. But second best to getting it right is to know why things went wrong, which is now well-documented and available to the public. The car symbolized anything but an aspirational purchase. As we've learned, pricing wasn't the only thing that mattered. The target market segment shifted. The price went up while the perceived value stayed the same. The car had not been properly tested. Setting up manufacturing in India wasn't easy. Political interference, local unrest, and floods didn't help things either. All the while, Tata largely failed to capitalize on the very happy users who owned one of the cars that did work well. The company was unable to mobilize brand ambassadors who held the power to make the car aspirational.