Mexican Media Brands
Tata Maps Plan for Rebound
Tata Motors Ltd., with whose net profit in the fiscal third-quarter plunged 26%, hopes to revive its financial performance with cost cuts, new models and a bigger focus on exports, the Financial Times says.
#economics
Share
Tata Motors Ltd., with whose net profit in the fiscal third-quarter plunged 26%, hopes to revive its financial performance with cost cuts, new models and a bigger focus on exports, the Financial Times says.
Tata's revenue in October-December grew 9% to 699 billion rupees ($11.3 billion). But unit sales declined 4% to 127,500 vehicles. Analysts say the company is being penalized for a lack of new products and poor customer service.
Tata introduced its first new domestic model in four years, the small Zest sedan, last August. It rolled out the Bolt hatchback last month and says it will add two new models per year through 2020.
Mayank Pareek, who heads Tata's passenger car operations, tells the FT his top priority is cost reduction. He says results will fund plans to bolster customer car, expand its dealer network and develop new models. Pareek joined Tata last autumn from rival Maruti Suzuki India Ltd.
Tata aims to triple its domestic sales network to 1,500 dealers in three years, according to Pareek. He says the company will introduce free at-home initial maintenance services for new customers. Tata also plans for a "very important" effort to increase exports to Africa and Latin America.
RELATED CONTENT
-
On Headlights, Tesla's Autopilot, VW's Electric Activities and More
Seeing better when driving at night, understanding the limits of “Autopilot,” Volkswagen’s electric activities, and more.
-
China and U.S. OEMs
When Ford announced its 3rd quarter earning on October 24, the official announcement said, in part, “Company revenue was up 3 percent year over year, with net income and company adjusted EBIT both down year over year, primarily driven by continued challenges in China.” The previous day, perhaps as a preemptive move to answer the question “If things are going poorly in China, what are you doing about it?, Ford announced that it was establishing Ford China as a stand-alone business unit.
-
On Quantum Navigation, EVs, Auto Industry Sales and more
Sandia’s quantum navi, three things about EVs, transporting iron ore in an EV during the winter, going underwater in an EV (OK, it is a sub), state of the UK auto industry (sad), why the Big Three likes Big Vehicles, and the future of logistics.