The January auto sales figures are a mixed bag with Tata Motors being the main focus. It has reported a shocking fall in its sales data.
The January auto sales figures are a mixed bag with Tata Motors being the main focus. It has reported a shocking fall in its sales data . Total sales plunged 30 percent, passenger vehicle sales have halved to 15,000 units. Nano sales plunged 80% down to 1,500 units. Ronojoy Banerjee gives the details on the numbers.
This is by far Tata Motors' worst performance in a really long time. This is something that the company could not have expected. Tata Motors has been going through a bad run. Their sales have been declining month-on-month, something that we have been reporting constantly. However, for them to report sales of just a little over 15000 units has even taken analysts and many of the market experts by complete surprise.
Nano continues to give a lot of headache to Tata Motors. The sales of the Nano this month is about 1500 units compared to 7700 units, infact a little more than that, in January last year. Sources have also told that the company has been gradually cutting down production. Infact, in the month of January, the company was forced to drastically cut production because there was no demand for Nano. Many of the vendors who have put up facilities at Sanand are also operating well below their capacity.
The company spokesperson says that the market conditions are not good, but one has to say that the same market conditions apply to all other car makers. What is the company's strategy is the main question now. They have a new management in place, they have been concentrating on quality related issues, but what will be their strategy going forward to pull up the numbers, is something that is far from clear at this stage.
Set email alert for
ADS BY GOOGLE
video of the day
Auto, bank to do well; L&T good 2-3 yr story: Alchemy's Ved