Retailers, consumers and prices
Auto show-Tata Technologies looks to offer “frugal engineering”
But Tata Technologies wants to become a supplier of “frugal engineering” solutions to a global industry that, as it restructures and adjusts to lower industrywide sales at least in North America, looks for ways to squeeze out product development costs.
“For Tata, the Nano creates a new market in India and other parts of the developing world,” Tata Technologies President Warren Harris said at the Detroit auto show. “By positioning at $2,500, Tata Motors is going after what used to be the motorcycle and motor scooter market.”
As U.S. automakers look to bring the break-even levels lower, at lower annual production levels, Tata Technologies hopes to become a vendor to the Detroit 3 and the transplants in North America, and automakers in the developing world.
About the Nano, Harris said: “The thing we’re most proud about is the contribution we made to the innovation (18 of 32 patents) and the frugal engineering that allowed the vehicle to be delivered at a $2,500 price point. That’s the major thrust of the event we’re having on Thursday.
“Our ambition is to go and compete with the Magna Steyrs, and the Pininfarina of this world,” he added. “We believe we’ve got a differentiator that increasingly will allow us to go toe to toe with them and compete very, very effectively.”