Chapter 4: Leadership in the automobile industry: the case of India’s Tata Motors
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This chapter examines the case of Tata Motors Limited (TML), one of the leading automotive firms in India’s automotive industry. It demonstrates that TML is a market leader in India’s fast-growing automotive industry. TML fulfils the three market-leadership conditions – market share, global reach and innovation – exceptionally well. The sources of this leadership are described through a series of firm, sector and country level factors. However, maintaining leadership on a continuous basis for a reasonably long time must not be taken for granted. Leadership positions may be easily challenged in a globalized market and potential new leaders may emerge to challenge what is currently presumed to be an unassailable leadership position. For this reason, a leader must continue to be vigilant from the innovation point of view. In this respect, for TML, continued innovation is the accepted corporate strategy.

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