The Last Rajah: Ratan Tata and Tata's Global Expansion

The Last Rajah: Ratan Tata and Tata's Global Expansion

Introduction

Ratan Tata is known for his international and diversified business. Apart from the business, he is known for his pleasant and modest personality which is appealing to many people. Tata enterprise has expanded globally and set benchmarks within various domains. It dominated the market in several sectors such as software, cars, and steel to phone services, tea bags, and wristwatches. The success of Tata's Global expansion and its owner, Ratan Tata, has positioned the brand in markets among the top competing companies in industry. This paper discusses the global expansion of Tata Company along with its primary and secondary source problems. The evaluation and analysis is done on the basis of key performance indicators and standards. The decisions made by the company are also assessed with respect to its mission and strategies and alternative strategies are reviewed to resolve the issues.

Discussion

True definition of expansion is given by Ratan Tata who has defied all odds. Tata is one of the leading diverse and conglomerate organizations operating in India. Tata industry in India is expanding into various categories, geographical locations, government regulations, as well the peripherals of industry barriers. Since its inception, the company has expanded into multiple business portfolios resulting in becoming one of the largest multinational companies in India and enjoys the reputation of being one of the world's largest businesses.

In recent abundantly competitive organization situation, budget-oriented layout or forecast-based development approaches are inadequate for a greater business to live through as well as confirm profits. The company is required to involve in planned arrangements that plainly defines objectives and analyzes together the interior and exterior state of affairs to make approaches, instigate these approaches, assess the growth, and accomplish modifications as central to the roadmap.

Source Problems

Intense domestic competition in sub-continent

The rising competition due to the threat of new entrants in the business markets in on the insurrection. To avoid such competition, Tata has devised a differentiation strategy to support the strategic brand positioning of the company. To maintain the world class quality of products, it depends upon the reliability of supplies at competitive prices. The extensive nationwide distribution network of Tata enables it to cater customers in an effectual manner.

Economic slowdown in India

The global economic growth uncertainty and unexpected decline could injure core business margins, impacting overall margins of Tata in India. India is not only going through a recession but also failing to meet the supply demand gap. Tata should bear in mind the economic scenario of the country parallel to the global crisis. This can impact company negatively and preventive measures should be taken in a pro-active manner. Thus, the company needs to deploy significant free cash flows from existing businesses to capture attractive growth opportunities in such economy and services sectors.

Poverty in low standard areas

Poverty is a highly prevailing issue of developing countries. Similarly, India also faces such weaknesses in the environment that posses a disadvantage ...