ITM EMBA BATCH-26
Members of Group-D
•Alok Ghosh •Atul Aware •Gagan Lamba •Karuna Londhe •Mahesh Palandhe •Parvez Mujawar
WHAT IS BCG MATRIX
? The BCG Growth-Share Matrix is a Planning Model
developed by Bruce Henderson of Boston Consulting group by early 1970 ? This study is based on the observation that a company’s business units can be classified into four categories as Question Mark, Star, Cash & Cow, and Dog ? This study based on the market growth & share of the company’s classified busied business ?This framework based on the assumption and the experience curve , considering the competition of the market segment
BCG GROWTH SHARE MATRIX OF TATA MOTORS
HISTORY OF TATA MOTORS
Tata Motors, formerly known as TELCO, is the largest automobile manufacturer in India and commands more than 60% of the commercial vehicle market in India and has also increased its share of passenger vehicle market. It was responsible for developing India's first indigenous vehicle, the Indica. It has proved to be a success in the market after initial quality problems. The company also exports the car to many countries. Tata owns major stake in Jaguar and Range Rover from 2008. with consolidated net profit of 9,274 cr. (US$2.07 billion) in 2010–11. It is the leader in commercial vehicles and among the top three in passenger vehicles Sources: http://en.wikipedia.org/wiki/Tata_Motors
FINANCIAL OF TATA MOTORS
Source : http://www.tatamotors.com
STRATEGIC BUSINESS UNIT
?COMMERCIAL VEHICLES/ GOODS CARRIERS e.g. :- Tata ace, Tata trucks ,Tata Bus family, Tata defense vehicles leading the market as more than 60 % of shares are owned by Tata motors. ?UTILITY CAR/ SUV’S e.g.:- Tata aria, Tata Safari , Tata Sumo family. With the new Tata aria introducing in the market Tata Aria has full plans to capture the market of Mahindra’s who hold 40 % of shares. ?PASSENGER CARS e.g. :- Tata Indica, Tata Indigo, Tata Manza, Tata Nano. This the most selling segment where Maruti are the leaders followed by Hyundai Motors, Tata motors has full plans to capture maximum shares with the new Indica and new models coming.
COMMERCIAL VEHICLES/ GOODS CARRIERS
MARKET SHARE
TATA MOTORS - 63.94% ASHOK LEYLAND 16.47 % MAHINDRA & MAHINDRA - 10.01 % OTHERS - 9.58 %
UTILITY VEHICLES & SUV
MARKET SHARE
MAHINDRA & MAHINDRA 40.75 % TATA MOTORS - 21.75% TOYOTA KIRLOSKAR'S 19.78% GENERAL MOTORS - 9.93 %
PASSENGER VEHICLES
MARKET SHARE
MARUTI SUZUKI- 51.03% HYUNDAI MOTORS - 18.01 % TATA MOTORS - 16.63 % OTHERS - 14.24%
MARKET SHARE
SBU Goods carrier Annual growth Tata Motors (a) In (%)
& GROWTH
Largest Competitor (b) In (%) X=a/b 16.47 (Ashok Leyland)
26.97
63.94
3.88
Passenger cars
17.72
16.63
51.03 (Maruti Suzuki)
40.75 (M&M)
0.32
Utility Car
10.33
21.75
1.53
http://www.siamindia.com (Society of Indian Automobile Manufacturers)
Business growth Rate
HIGH 18%
LOW 4%
10%
12%
14%
16%
20%
30%
10x
4x
2x
1x
0% 0.5 x 0.4 x 0.3
2%
6%
8%
HIGH LOW
x 0.2 x 0.1 x
TRADITIONAL BCG MATRIX
Business growth Rate
HIGH 18%
LOW 4%
10%
12%
14%
16%
20%
30%
GOODS CARRIERS
10x
4x
2x
1x
0% 0.5 x 0.4 x 0.3
2%
6%
8%
HIGH LOW
x 0.2 x 0.1 x
TRADITIONAL BCG MATRIX
HIGH 30%
GOODS CARRIERS
LOW
20% HIGH 18% 16% 14% 12% 10% 8% 6%
PASSENGER VEHICLES
LOW 4%
2% 10x
2x
4x
1x
0%
0.5 x 0.4 x 0.3
x 0.2 x 0.1 x
TRADITIONAL BCG MATRIX
Business growth Rate
HIGH 30%
GOODS CARRIERS
LOW
20% HIGH 18% 16% 14% 12% 10% 8% 6%
UTILITY VEHICLES
PASSENGER VEHICLES
LOW 4%
2% 10x
2x
4x
1x
0%
0.5 x 0.4 x 0.3
x 0.2 x 0.1 x
TRADITIONAL BCG MATRIX
Business growth Rate
CONCLUSION & RECOMMENDATION
? To Develop & Retain Commercial Vehicles / Goods Carriers
Market :- ( STAR ) Tata Motors is Running Successfully in Commercial Vehicles from Decades and serving from Farmers to wholesalers to defense. Commercial Vehicle is the Key to Tata Motors Success Key points to develop & retain the market:? Acquiring Daewoo Commercial Vehicles. ? Advertising Tata Ace in the Market. ? Investing a lot in Commercial Vehicles.
To Develop Passenger Car Segment :- ( ? )
Tata Motors is trying everything possible to develop the Passenger Vehicle Segment. Were competitor is most Severe as it is the Most Selling Segment Currently in India. Key Points to Develop Passenger Car Segment ( turn ? Into Star ) :? Investing Heavily through holding major stake in Land rover & Jaguar. ? Designing a Perfect Solution Nano hitting the Lower middle Income Group, looking at the market trends over fuel cost Indica seems to be Perfect Solution. ? Early Stage, requires time and Extensive Advertisement.
To develop Utility Vehicles :- ( Cash Cows )
? This is the Segment where Investment was very less as Safari
was the product which Captured the Market right from the Beginning of the SUV’s. then they faced Competition From Other Brands.
Key Points to Develop Utility Segment:? Invest Extensively. ? Increase Advertisement and Promotions. ? Increase Market Reach. ? Product Expansions
BIBLIOGRAPHY
Websites :? www.siam.com ? www.tatamotors.com ? www.autoworld.com ? www.wikipedia.com Books :? Autocar. ? OverDrive ? Wheels Unplugged
doc_265549091.pptx
Members of Group-D
•Alok Ghosh •Atul Aware •Gagan Lamba •Karuna Londhe •Mahesh Palandhe •Parvez Mujawar
WHAT IS BCG MATRIX
? The BCG Growth-Share Matrix is a Planning Model
developed by Bruce Henderson of Boston Consulting group by early 1970 ? This study is based on the observation that a company’s business units can be classified into four categories as Question Mark, Star, Cash & Cow, and Dog ? This study based on the market growth & share of the company’s classified busied business ?This framework based on the assumption and the experience curve , considering the competition of the market segment
BCG GROWTH SHARE MATRIX OF TATA MOTORS
HISTORY OF TATA MOTORS
Tata Motors, formerly known as TELCO, is the largest automobile manufacturer in India and commands more than 60% of the commercial vehicle market in India and has also increased its share of passenger vehicle market. It was responsible for developing India's first indigenous vehicle, the Indica. It has proved to be a success in the market after initial quality problems. The company also exports the car to many countries. Tata owns major stake in Jaguar and Range Rover from 2008. with consolidated net profit of 9,274 cr. (US$2.07 billion) in 2010–11. It is the leader in commercial vehicles and among the top three in passenger vehicles Sources: http://en.wikipedia.org/wiki/Tata_Motors
FINANCIAL OF TATA MOTORS
Source : http://www.tatamotors.com
STRATEGIC BUSINESS UNIT
?COMMERCIAL VEHICLES/ GOODS CARRIERS e.g. :- Tata ace, Tata trucks ,Tata Bus family, Tata defense vehicles leading the market as more than 60 % of shares are owned by Tata motors. ?UTILITY CAR/ SUV’S e.g.:- Tata aria, Tata Safari , Tata Sumo family. With the new Tata aria introducing in the market Tata Aria has full plans to capture the market of Mahindra’s who hold 40 % of shares. ?PASSENGER CARS e.g. :- Tata Indica, Tata Indigo, Tata Manza, Tata Nano. This the most selling segment where Maruti are the leaders followed by Hyundai Motors, Tata motors has full plans to capture maximum shares with the new Indica and new models coming.
COMMERCIAL VEHICLES/ GOODS CARRIERS
MARKET SHARE
TATA MOTORS - 63.94% ASHOK LEYLAND 16.47 % MAHINDRA & MAHINDRA - 10.01 % OTHERS - 9.58 %
UTILITY VEHICLES & SUV
MARKET SHARE
MAHINDRA & MAHINDRA 40.75 % TATA MOTORS - 21.75% TOYOTA KIRLOSKAR'S 19.78% GENERAL MOTORS - 9.93 %
PASSENGER VEHICLES
MARKET SHARE
MARUTI SUZUKI- 51.03% HYUNDAI MOTORS - 18.01 % TATA MOTORS - 16.63 % OTHERS - 14.24%
MARKET SHARE
SBU Goods carrier Annual growth Tata Motors (a) In (%)
& GROWTH
Largest Competitor (b) In (%) X=a/b 16.47 (Ashok Leyland)
26.97
63.94
3.88
Passenger cars
17.72
16.63
51.03 (Maruti Suzuki)
40.75 (M&M)
0.32
Utility Car
10.33
21.75
1.53
http://www.siamindia.com (Society of Indian Automobile Manufacturers)
Business growth Rate
HIGH 18%
LOW 4%
10%
12%
14%
16%
20%
30%
10x
4x
2x
1x
0% 0.5 x 0.4 x 0.3
2%
6%
8%
HIGH LOW
x 0.2 x 0.1 x
TRADITIONAL BCG MATRIX
Business growth Rate
HIGH 18%
LOW 4%
10%
12%
14%
16%
20%
30%
GOODS CARRIERS
10x
4x
2x
1x
0% 0.5 x 0.4 x 0.3
2%
6%
8%
HIGH LOW
x 0.2 x 0.1 x
TRADITIONAL BCG MATRIX
HIGH 30%
GOODS CARRIERS
LOW
20% HIGH 18% 16% 14% 12% 10% 8% 6%
PASSENGER VEHICLES
LOW 4%
2% 10x
2x
4x
1x
0%
0.5 x 0.4 x 0.3
x 0.2 x 0.1 x
TRADITIONAL BCG MATRIX
Business growth Rate
HIGH 30%
GOODS CARRIERS
LOW
20% HIGH 18% 16% 14% 12% 10% 8% 6%
UTILITY VEHICLES
PASSENGER VEHICLES
LOW 4%
2% 10x
2x
4x
1x
0%
0.5 x 0.4 x 0.3
x 0.2 x 0.1 x
TRADITIONAL BCG MATRIX
Business growth Rate
CONCLUSION & RECOMMENDATION
? To Develop & Retain Commercial Vehicles / Goods Carriers
Market :- ( STAR ) Tata Motors is Running Successfully in Commercial Vehicles from Decades and serving from Farmers to wholesalers to defense. Commercial Vehicle is the Key to Tata Motors Success Key points to develop & retain the market:? Acquiring Daewoo Commercial Vehicles. ? Advertising Tata Ace in the Market. ? Investing a lot in Commercial Vehicles.
To Develop Passenger Car Segment :- ( ? )
Tata Motors is trying everything possible to develop the Passenger Vehicle Segment. Were competitor is most Severe as it is the Most Selling Segment Currently in India. Key Points to Develop Passenger Car Segment ( turn ? Into Star ) :? Investing Heavily through holding major stake in Land rover & Jaguar. ? Designing a Perfect Solution Nano hitting the Lower middle Income Group, looking at the market trends over fuel cost Indica seems to be Perfect Solution. ? Early Stage, requires time and Extensive Advertisement.
To develop Utility Vehicles :- ( Cash Cows )
? This is the Segment where Investment was very less as Safari
was the product which Captured the Market right from the Beginning of the SUV’s. then they faced Competition From Other Brands.
Key Points to Develop Utility Segment:? Invest Extensively. ? Increase Advertisement and Promotions. ? Increase Market Reach. ? Product Expansions
BIBLIOGRAPHY
Websites :? www.siam.com ? www.tatamotors.com ? www.autoworld.com ? www.wikipedia.com Books :? Autocar. ? OverDrive ? Wheels Unplugged
doc_265549091.pptx