Can TATA or BAJAJ make 1 Lakh rupee Truck?


Does TATA or BAJAJ really care for Indians?

Indian consumers bought about seven million two-wheelers and one million cars in 2006/07.
Source

The Solution:

according to Ratan Tata, the company’s 70-year old chairman: — “That’s what drove me — a man on a two-wheeler with a child standing in front, his wife sitting behind, add to that the wet roads – a family in potential danger,” Tata wrote on the company website.

I have heard the similar kind of statement twice. One from our Reliance Ambani and one from Henry Ford.
The Reliance one actually helped many, to lower the cost on Phone calls.

Well If TATA brings Buses for 1 Lakh rupee that makes lot of sense in helping Indians. I know this is an exaggeration.

What will be the impact, if the 1Lakh rupee car Tata Nano becomes a hit?
In 2006-2007, Indian consumers bought 70 Lakh two wheelers and 10 Lakh cars. Source The equation for the coming years could be 35 Lakh low cost cars which could hit the Indian roads. My questions are simple, Whether our roads are built to bear that kind of traffic explosion. What about the pollution and What about the parking space in the city malls for consumers.

Who are the actual beneficiaries?

I don’t blame any businessmen for that matter. Any businessmen who finds opportunity will exploit it. Why can’t people understand the TATA’s and BAJAJ new venture in to cars and how about few more foreign car makers (Adding fuel to the fire) who are trying to make a mark in to the Indian consumers market.Why are the Politicians keeping mum?
End of the day they actually know that the cars can kept in their garage there will issues and they will come up with a solution which will benefit them. Let us say the solution would be to invest in more infrastructure like roads, parking lots etc etc
The solutions are costly only for the middle class people not for the rich and not for the business class and certainly not for the politicians.

Do the Government will make more money?
YES, certainly. How?

  1. The CC of two wheelers at a maximum is only 300 CC on an average. Hence the registration cost is going to go up by 600 CC and Odd.
  2. The road tax
  3. Then the Insurance cost (education excess) etc.

Why are the BAJAJ’s in to the car scene any Ideas?
Potential threat from the TATA’s One man’s dream car.

  1. Auto ricksaw could be easily replaced with a comfortable 4 seater by looking at the cost, not much of a difference. Well seems like their own Indicab could get in to trouble with in city limits.
  2. A Bajaj two wheeler at an average cost 50,000 Rupees, What about the new 4 wheeler another 60-70K on finance could solve the middle class problem of 1 Man’s Dream.

If not now, it is never for the BAJAJ’s to be in the market.

 
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4 thoughts on “Can TATA or BAJAJ make 1 Lakh rupee Truck?

  1. Why is everybody so much against NANO? As from whatever I could read in the media this car shal be: 1. affordable
    2. less polluting (as much as a motorcycle!!!)
    3. compact (quite small)
    So if now everybody is buying motorcycles that are so much polluting, nobody is worried, but nobody cares for how those people will be transporting their whole family on a 2 wheeler on a rainy day!! But if the same man buys a NANO that will give him and his family more protection with the same amount of pollution, everybody is up in arms. On top of it Tata is planning to experiment with the compressed air car, that will exhaust no polluting gas, but only clean air! now what? Oh, traffic woes! When a person buys the latest SUV and drives it everyday to office (being alone inside) he is just doing a style statement never worrying for his personal addition to traffic jams! But when he’ll see from his high car window a jam packed NANO waiting in line for the traffic signal, he’ll deffinitely curse Tata for producing such a low cost car!! How dare he enable such low people share road space with HIM! …And worst is …a crowded parking! India has the largest middle class population, but we can’t allow them to grow or even hope for better opportunities!! This is a very wroong attitude we have. Let us be more sensitive to people’s pains and try to be harsher on ourselves. and if parking is indeed a problem, we can increase the number of slots and their cost also. Maybe thanks to NANO, our ministers, caught in traffic themselves, will consider releasing the funds for infrastructure and start making better roads (money they were otherwise “eating” together with their families) If they cannot insure better public transport, at least better roads!

  2. hi Cristina:
    You haven’t actually gone through the mind of the TATA, he is a businessman, he sees a potential market and certainly not at people owning a cheaper car which offers safety. My only question is why can’t there a better public transportation. Developed countries are actually trying to use shared means of transport that a personal one. People prefer public transportation to remain healthy. How, basically by walking. A minimum distance he needs to walk to get a public transportation system.

    If in case TATA or Bajaj can make a 1 lakh rupee truck that means they can make a BUS which could accommodate more number of people.
    Hope that helps

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