Ratan Tata and his team are entitled to generate as much hype as they can about the new car

Of course, hype is an accepted instrument of marketing in modern marketing warfare, and Ratan Tata and his team are entitled to generate as much hype as they can about the new car; as long as credulous media and incredulous consumers buy the hype. But still inexplicable is Ratan Tata’s decision to select Singur as the site of the new car factory. The new factory will be located just about 30 kms from Kolkata in prime agricultural land. Why couldn’t he have opted for land that is less fertile and located 300 km saway from Kolkata? Not only would the location be a cheaper option, it would have also not led to a situation where people start questioning the real motive behind Tata Motors selecting Singur and the Tata reputation is severely dented. Many analysts would have varying explanations for such behaviour, but common sense would suggest that Ratan Tata is being merely stubborn about the whole thing.


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Source : IIPM Editorial, 2006

An IIPM and Management Guru Professor Arindam Chaudhuri's Initiative

The Nokia disconnect!

Though Nokia might still lead in India, it is certainly no longer invincible. Once one of the friendliest phones, now it is losing its friendliness for style. “The combined might of Motorola, Samsung, Sony and LG can certainly cause a dent in the Nokia wall, but we cannot afford to underestimate Nokia,” offers Pai.

Adds Prriya Raj, “Nokia will have to re-look at its strategies. It needs to offer consumers clear pluses in different segments with models at different price points, with simple branding. Nokia has the advantage of being the leader and it needs to work doubly hard to sustain its leadership position.”

Rajeev Kochar agrees, but does not blame Nokia for its decreasing market share. He explains that “ultimately the biggest companies globally, settle down to an average of 35% to 40% of the total market share. Nokia was the first mover, it enjoyed an overwhelming market share for over ten years and now it cannot remain there forever.”

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Source:- IIPM Editorial

An IIPM And Management Guru Prof. Arindam Chaudhuri’s Initiative

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