Fiat Auto Case Study

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Fiat Fiat Auto, one of the pioneer companies in the automobile industry and the largest automobile manufacturer in Italy, has a very luminous history in automobile industry with its first car being built in 1899. Around 1990s, Fiat Auto dominated the small car market in Europe and other parts of the world. Fiat’s presence in India can be traced back to 1905 when the vehicles were imported and sold through its sales agent named Bombay Motor Cars Agency. Further in 1951, Fiat entered into a license and service agreement with Premier Automobiles (Premier) to manufacture its cars. As the liberalisation of Indian economy happened in 1990s, Fiat established a wholly-owned subsidiary in India in 1995. Fiat then entered into joint venture with Premier with a 51:49 stakes and increased it to 97% by 1997. But in late 1990s due to lack of proper product promotion by the Indian partner and lack of dealers and service points, Fiat decided to terminate the partnership with Premier in 2004. Tata Motors Ltd Founded in 1945, Tata Motors Ltd (TML), formerly known as TELCO, is India’s largest automobile manufacturer by revenue. It was a leader in Commercial Automobiles industry in India and among top three players in Passenger Vehicles segment in 2000’s (it currently hold its leadership position in Commercial Vehicles market and is ranked in top four Passenger Vehicles market. By 2005, it had a market presence in Thailand, Senegal, South Africa, Turkey, Europe, and West Asia. However, in

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