Indego automotive concept, automotive consulting, steve young
Your Opinion
How much extra would you pay each month to get the "Peace of Mind" and "Predictability" offered by IndeGo, compared to what you spend today?
Tata, Fiat and Premium BrandsFriday, 18 January 2008 00:00 Finally Ford have confirmed what the rumour mill has been saying for some weeks now, that Tata is the preferred bidder for Jaguar and Land Rover. Various observers have raised objections about the qualifications of Tata to be a good home for these British premium brands. These comments are ill-informed and arguably rooted in prejudiced stereotypes, rather than cultural and industrial reality. As someone who has worked and travelled in India fairly extensively, I can only say that Tata Group serves up luxury, for example in their Taj Hotels, as well as any other premium provider. The key is recognising the target customer, and I am certain that Tata recognise the difference between the customer for a Jaguar XK and that for a Tata Indica car or Novus truck. The Indians in general can also do “traditional British” better than the Brits themselves, so little risk there either.
More interestingly, the industrial logic seems clearer to me than other observers. It is already public knowledge that Tata has a close and developing relationship with Fiat Group. Ratan Tata sits on the Fiat Board, and the groups have joint initiatives in trucks, tractors and cars in India. Fiat confirmed publicly last September that they were prepared to offer technical support to Tata if they acquired Jaguar Land Rover. Surely this all points towards further evolution of the Fiat-Tata relationship? A new “Premier Automotive Group” combining Alfa Romeo, Maserati, perhaps Ferrari and a now potentially viable Lancia, with Jaguar and Land Rover. Complementary brands, real scale economies in premium product and distribution and a precursor perhaps to the next industry mega-merger – that of Fiat and Tata? Add your comment |
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- Credit Crunch hits Residuals
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In the last few days we have seen writedowns of hundreds of millions of Euros by BMW
and Daimler
related to their exposure to residual values of vehicles which they leased in the US. They will not be the last to have to recognise that the value of the vehicles that they leased in the last couple years now have a lower value when it comes to resale than originally assumed . This was one of the issues which we considered within the IndeGo concept, as the business was based entirely on leasing, rather than selling vehicles. MORE





