Tata Nano SWOT Analysis

Tata Nano SWOT analysis evaluates the brand by its strengths, weaknesses, opportunities & threats. In SWOT Analysis of Tata Nano, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

Tata Nano is one of the leading brands in the automobiles sector. The article below lists the Tata Nano SWOT and includes its target market, segmentation, positioning & USP.

SWOT Analysis of Tata Nano

For Tata Nano, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position.

Tata Nano Strengths

The strengths of Tata Nano looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value.

A list of strengths is mostly the starting point in starting SWOT analysis. Below are the Strengths in the SWOT Analysis of Tata Nano :

1. Tata Nano is available at a very affordable price

2. Easy to drive in traffic conditions

3. Innovative engineering of Tata Nano provides better facilities compared to same segment cars

4. Low maintenance and handling cost of Tata Nano

5. Good fuel efficiency goes well with Indian audiences

6. When it was introduced it created a huge buzz in the global automobile industry being a ‘common mans’ car

7. Excellent advertising of the Tata Nano car across TVCs, print media, online ads etc

Tata Nano Weaknesses

The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Tata Nano SWOT Analysis:

1. Perceived as a cheap product which repels the aspirational customers

2. Setting up of production plant in WB caused a lot of tension

3. Limiter international presence of Tata Nano

Tata Nano Opportunities

The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Tata Nano SWOT Analysis:

1. Tata Nano can capitalize on the fact that it is the most affordable car and acquire new customers

2. Increasing per capita income and purchasing capability of potential customer base

3. Promoting CNG model at the earliest and attract the public passenger car segment

4. Increase international market presence especially Europe too boost Tata Nano's business

5. Augmenting the distribution and service network in various countries

Tata Nano Threats

The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Tata Nano are as mentioned:

1. Increasing fuel costs 

2. Competition from other big automobile giants can affect Tata Nano's business

3. Competitive products offering same level features at a lesser price

4. Product innovations and frugal engineering by competitors

5. Customer perception of a Tata Nano as a cheap car can lead to loss of sales

Similar to Tata Nano

1. Maruti Alto

2. Hyundai i10

3. Maruti 800

Hence this concludes the Tata Nano SWOT analysis.

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About Tata Nano

Tata Nano Overview
Parent Company	Tata Motors
Category	Hatchback
Sector	Automobiles
Tagline/ Slogan	Khushiyon ki Chabi
USP	Tata Nano is the most affordable car in the Indian automobile market
Tata Nano STP
Segmentation	Hatchback segment for middle class
Target Market	Targeted towards the families belonging to middle class segment
Positioning	Tata Nano is positioned as the cheapest and most affordable car

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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