“If it ain't broke, don't fix it!"

Friday, March 28, 2008

Tata Motors: Hoping to Breathe Life into the Jaguar

Here’s more on the Tata Motors acquisition of British auto marquee, Jaguar, and its counterpart, Land Rover.

It seems that the desire of Tata Motors for European-owned companies is already bordering on obsession. That may be a bit of an exaggeration, but just take for instance their acquisition of Tetley, the second largest manufacturer and distributor of tea, as well as Corus, which is one of the largest producers of steel. It seems like it’s all a ploy to get back at their former colonizers, but in reality it actually pans out well in the end. The incorporation of the Corus Group into the company which also owns Tata Steel, ensures the monopoly of the production of steel in most countries, and even continents. As for Tetley, well, people love tea especially the British. In fact, Tetley products are widely popular in over 40 countries. Once the transfer of the ownership of Jaguar and Land Rover is finalized, expect Tata Motors to make a play to make these two marques, which by the way are beleaguered by low sales over the past year, the best in the world. It wouldn’t be surprising, because most of the companies that this firm touches turn into gold.

Here are just a couple of the firms that the Tata Group owns:

Ø Tata Motors

Ø Tata Steel

Ø Tata Power

Ø Tata Petrodyne

Ø Tata Chemicals

Ø Indian Hotels

Ø Tata Consultancy Services

Ø Tata Sky

Ø Tata Teleservices

Ø Tata Communications

Ø Tata Ceramics

Ø and others…

That is just about a tenth of the number of firms they own. And to think that those are leading companies in their respective sectors. Ford has made a good play of selling Jaguar and Land Rover to Tata, especially if they have the best interest of the auto-makers name/s at heart. No doubt, Henry Ford, founder of Ford Motors would have sold the marques, if need be, to Tata Motors as well.