Why Nano is a great example of innovation...

Professor Vijay Govindarajan is the Earl C Daum 1924 Professor of International Business and director of Tuck's Center for Global Leadership. An expert on strategy and a renowned innovation guru, Govindarajan shares his views on the Tata Nano and explains to Saurabh Turakhia why it stands out in the world of innovation.

To me, Tata’s Nano is a landmark event for a variety of reasons. Its innovation points to a whole new set of consumers, who did not have access to the car earlier. In a way, I liken it to a revolution that the PC and Apple’s iPod sparked. It is as important an event as India winning its independence or India launching its first satellite. 

I also like to think that it is going to fundamentally change the way the automobile sector functions. And here is why.

For the first time, thanks to Tata’s Nano, India has been established as an R&D leader, and not just a low-cost hub known for cheap labour. It has shown to the world that India can be a technology leader.

When we talk of Tata’s Nano, we are not just talking about low-cost, we are talking about high technology. Even a DVD player in some US cars are priced over $2,000--this just goes to explain the significance of the Tata Nano.

The Tata Nano will certainly find big takers in India. However, it can have a market in the US, as well. If the car is enriched with high technology functions to make it an intelligent car, many in the US will look forward to own it. An intelligent car at $3,000 would be a good bargain after all, for many Americans. Tata’s Nano shows that there is a huge opportunity for Indian companies to build profitable low-cost products and then take them to the US.

I also find that the Tata Nano has fundamentally followed the ‘Forget, borrow, learn' model of innovation. It forgot the way it made money or operated in its earlier businesses. It realised that to innovate it would have to embark on a completely new theme. Its borrow challenge was to put some of its effective capabilities to use – selectively use its current technology for the breakthrough project. Finally, it also learnt to test and resolve the many assumptions that go with such an ambitious project. 

The Tatas realised that for a poor country like India, there was a need of an ultra-low cost product and they offered it by leveraging the power of technology. The volumes are all there in India, one only needed someone like Ratan Tata to overlook the thin margins but invest in world-class technologies to offer an affordable good product to the market.

Most of all, Tata’s Nano is a great innovation, because innovation is all about thinking of the next decade and not the next quarter.

TATA NANO VS MARUTI 800

There is no doubt that the mono-volume design of the Nano is a sure winner over the boxy Maruti 800, which has not been helped by a series of facelifts over the last 2 decades.

Size does matter

The Nano is 3100 mm in length, 8 per cent shorter than the Maruti 800, but the breadth and height of the car tell a different story. The Nano at 1500 mm is 4 per cent wider than the 800 and, at 1600 mm, is 14 per cent taller.

The Tatas also claim the car is 21per cent bigger than an 800 when it comes to inside space.

Who has the power?

The Maruti runs on a 3-cylinder 796 cc engine, bigger and possibly smoother than the 623 cc 2- cylinder heart of the Nano.

The 800 churns out 37 BHP, while the Nano tops at 33 BHP, at 11per cent less power.

Although the Tatas were tightlipped about speeds, the Nano’s top speed is likely to be lower than the Maruti 800’s, which can hit 120 kph, when pushed.

Fuel efficiency

The Tatas say that the Nano will give 20 km/l which is about as much as the Maruti 800 delivers when driven well.

The real test for the Nano would be to match the survivability of the Maruti 800 on Indian roads, but the Tatas will cross that bridge when they launch the car later this year.

BAJAJ LITE VS TATA NANO

While Tata launches the People's car, Bajaj has surprised by unveiling it own cheap passenger car, the 4 seater Bajaj Lite concept.

Launch date is expected to be a couple of years down the line.Expected fuel efficiency of the Bajaj Lite is 35 kmpl which is higher than Tata's Nano which is 20 kmpl.

Bajaj earlier announced tie up with Renault of France. The expected price is Rs 1,17,000.The car will be marginally smaller than the average small car with a twin-cylinder engine. Transmission is expected to be a new format semi-automatic version.

Both petrol and diesel variants planned.

TATA NANO - Interior

You have seen the exterior of the Tata Nano - now see the interior.

The interiors are not anything heart taking for the Nano. But i think its minimalistic, and efficient

Watch the Exiting video of NANO Interior

TATA NANO MODELS

The Nano will come in three variants -- standard and two deluxe models with AC.



Tata Nano Models Video.....

TATA NANO - The Car that might change the world

Finally the Dream comes True ! TATA launches the 1 Lakh car...TATA Nano.


Tata Nano the 1 lakh car has finally been released by Tata Motors. Ratan Tata unvieled the People’s car at the 9th Auto Expo in New Delhi, India. I think no other cars recieved as much attention recent times.Commerce Minister Kamal Nath said it will help the common man shift from two-wheelers to four-wheelers. "It fulfills the need of the common Indian who aspires to move from a two-wheeler to a four-wheeler," he added.

Environmental impact

In India, a car like this can crowd the streets, forcing the government to improve infrastructure - and as the evolution of the Western industrial society demonstrates, affordable cars can be a major force for change.But till that happens, this is a car that can seriously crowd the streets - and make life a bit tougher in the short-term.

Safety

Passes crash tests. Side impact test yet to be done, but Tata is confident about it. It has 2 A-pillars on one side to better meet safety norms. No airbags. Airbags are still not a required feature in India. But you have crumple zones, intrusion-resistant doors, seatbelts and anchorages. A four wheeler is safe than a scooter. So to begin with, the huge two wheeler population of India gains a safety benefit. But will it pass the safety requirements of a large car or even a high technology compact? Unlikely. But that is not the objective - it is to improve the safety of four-member families like this one that rides scooters and at risk every day.

If this Car becomes a hit, will make every auto company change the way it works...Not only in India, but in entire Asia and every third world country...