There was a lot of pressure on costs...

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Abhishek Jain
Exec.Director – Precision Pipes

4Ps B&M: Do you believe that the hype behind the Nano will actually be able to meet the reality?
AJ: The whole concept of Nano is very sound and the opportunity to be capitalised upon is very huge. However, there is no denying that there will be a huge gap in the demand and supply in the short run.

4Ps B&M: Any particular incident that you can share while working with Tata Motors.
AJ: There was a lot of pressure on the cost aspect in the whole production process of Tata Nano.

4Ps B&M: Do you believe that Nano will be able to replicate the success of Maruti 800?
AJ: You can’t compare both the models with each other. When Maruti 800 came, the market dynamics were very different and more importantly, very few options were available to the consumer. But there is no denying the fact that Nano will surely bring a wave of excitement and change in the Indian market.

4Ps B&M: Will Nano be a profitable product for Tata Motors?
AJ: Well, if you talk about the long run i.e. when their Gujarat plant kicks off and production starts happening at the full capacity, it will surely be a very profitable product. And more importantly in my view, they should cut down on their production of LCVs as they are not doing pretty well.

4Ps B&M: Can you elaborate on your working experience with Tata Motors?

AJ: It has been a very overwhelming experience and very good for our company. We learned a lot from them.

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Source : IIPM Editorial, 2009

An Initiative of IIPM, Malay Chaudhuri and Arindam chaudhuri (Renowned Management Guru and Economist).

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