Tata Nano - An amazing product

I had talked the need of this car in my previous article. At that time I had written mainly about the price competitiveness of the car, but after the launch of the car it is clear that TATA Motors have done a superb job. They have designed a car that is not too big but still have more space than the cheapest car available in the Indian market, Marutu 800. One of the biggest achievement by launching People car is that TATA group has generated an interest from the world business community. People in the automobile industry are amazed by high safely and emmision standards it has comply with. Some of the environmental concious activists (read Dr. Pachauri) were too much worried about the harm to the environment by making a low grade car. But that did not happen. Though there can be another worry for the country like India that is already facing infrastructure problem, there are long jams on the city streets all over country, this damn cheap car can increase the sales of car too much and the road infrastructure will become too bad. But there is also an business opportunity for the companies those are involved in the infrastructure development. More and better roads will become the need of the coming time and government seems to be helpful (though there are many problems and everything is not too easy) for the development of infrastructure so it can bring more funds (already FDI is going up in India and this kind of opportunities will boost investment from the cash rich countries in middle east, they like infrastructure projects)

Many of the automobile giants in the world are concern with the development of this low cost car that seems to the need of the world when the oil prices are going up and are expected to remain high for the coming years too. When TATA will buy, Jagaur and Land Rover, it will have access to the North American and European market to sell this car and I see enthusiasm in the consumers (they are waiting to buy this brand new car rather than a second hand 7 years old car for the same price) too. Even if they dont succeed in selling in these two market, there is hugh market in China and African countries for this car. so welcome to the people's car.