TATA MOTORS CASE STUDY QUESTIONS
This case introduces Tata Motors, a regional automotive company headquartered in India, as the company awaits acceptance of its acquisition bid for Jaguar Land Rover (JLR) from Ford Motor Company. At this time, Chairman Ratan Tata faces several unanswered questions, including whether the JLR acquisition is the best approach for expanding in overseas markets, how to execute the acquisition if the bid is accepted, and how to proceed if it is not.
After a brief opening, the case provides an overview of the global automobile industry as it enters 2008. Thorough descriptions of Tata Motors' market in India and the company's acquisition history follow. Background on Ford's decision to dismantle its Premier Automotive Group (PAG) and the details of negotiations for JLR are further explained so that a situation analysis can be completed. After examining the existing conditions and performing due diligence on the JLR acquisition, some answers to Ratan's questions can be suggested, and proposals for future strategic action can be recommended.
- Assess the JLR acquisition in terms of the company's business objectives. Is this the best approach for Tata Motors to expand its international market position?
- Determine the best actions to be taken by the company if (1) the bid is accepted or (2) the bid is declined.