Case Study On ‘TATA NANO’

JENIL PATELMASTER OF E-BUSINESS

ROLL NO-04SEMCOM COLLEGE

Agenda• About TATA Motors

• CSR by TATA Motors

• The land Acquisition Controversy• Winner - Gujarat

About TATA Motors• Established in 1945, the company is top 1

automobile manufacturer in India, world’s 4th largest truck manufacturers and world’s third largest bus manufacturer.• Tata motors has produced & sold more than 4 million

cars in India so far.• It has more than 25000 employees, 4500

engineers and scientists and with R&D.

Cont…..• Tata launched “TATA INDICA” India’s largest selling car,

which is India’s first fully indigenous car.

• In 2005, they created a new segment mini trucks with the launch of “TATA ACE”.

• In Jan 2008, TATA unveiled its “People car” , TATA NANO the cheapest car.

CHA

RATAN TATA’s Dream

CSR by TATA MOTORS• Corporate Social Responsibility (CSR) is defined as the

voluntary activities undertaken by a company to operate in an economic, social and environmentally sustainable manner.

• curative and preventive health services were rendered to 2,95,075 community members.

• Scholarships for higher studies were awarded to 891 students;

• School infrastructure was developed for 100 schools;

Cont…..• Vocational training was imparted to 1048 youth;

• Technical training was provided to 1542 youth;

• Green cover was increased by planting 290,850 trees;

• Potable water solutions with support from the Sumant Moolgaonkar Development Foundation (SMDF) provided to 100 villages

• Donations (including donation of vehicles) to help 52 NGOs for various social programmes: 2,90,60,279

The land acquisition controversy• On 23 September 2008, Tatas decided to leave Singur in West

Bengal, the decision is reported to have been made by the Tata management and the Bengal government had been informed.

• On 3 October it became official that TATA will leave Singur (WB) when Ratan Tata announced it in a press conference in Kolkata.

• While the ruling party has gone all out for acquisition of 997 acres (4.03 km2) of multi-crop land required for the car factory, questions have been raised about the party forcible acquisition which was made under the colonial Land Acquisition Act of 1894.

• The law has provisions for state taking over privately held land for public purposes but not for developing private businesses. The illegality of the acquisition has been substantially conceded by the Kolkata High Court.

Cont….• The Tata Motors site is the most fertile one in the whole of the

Singur, and the Singur block, in turn, is among the most highly fertile in West Bengal.

• Consequently, almost the entire local population depends on agriculture with approximately 15000 making their livelihood directly from it. 

• With the number of direct jobs to be created no more than about 1,000, many of which are expected to go to outsiders, the local populace felt threatened for their livelihood . Environmental degradation is also feared.

• Chief protesters include the opposition parties spearheaded by the Trinamool Congress under Mamata Banerjee and Socialist Unity Centre of India.

Political Battlefield

• Built in January 2010 , Locations - Government owned land

• The 1100 acres of land which was allotted to Tata Motors falls in the villages of Khoda and Bol in Sanand Taluka

• Loan of Rs 9,570 crores

• Rs 2,900 cr for Nano plant

• Rs 6,670 cr for Infrastructure development

• Repayment of Rs 9,570 cr loan @ 0.1% over 20 years

• Repayment of Rs 9,570 cr loan @ 0.1% over 20 years

Repayment of Rs 9,570 cr loan @ 0.1% over 20 years

Winner - Gujarat

Vibrant Gujarat

THANK YOU

References : • Wikipedia• www.tatamotors.co

m