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Tata Motors: Driving into the Future with Sustainability and Innovation

Book Chapter

Authors: Vijaya Kittu Manda; Anuradha Yadav; Radha Pavitra Yalamarti

DOI: https://doi.org/10.1201/9781003438748

Book Name: Handbook of Digital Innovation, Transformation, and Sustainable Development in a Post-Pandemic Era

ISBN: eBook ISBN 9781003438748

Publisher: CRC Press / Taylor & Francis

Editor(s): M. Affan Badar, Ruchika Gupta, Priyank Srivastava, Imran Ali, Elizabeth A. Cudney

Book Chapter Number: 16

Publication Date: Dec 30, 2024

Pages: 26 pages

Book Chapter Link on Publisher Website

Book Link on Publisher Website

Abstract: Global automaker Tata Motors Limited (TaMo) transformed its business by betting on manufacturing cars with sustainability and innovation in its heart. Braving the 2020 Indian automobile sector slowdown, the COVID-19 pandemic, and the semiconductor chip shortage, TaMo took India’s just-emerging electric vehicle (EV) as a transformational opportunity. It took the early mover advantage by launching EV-based cars and commercial vehicles for the Indian market, apart from making similar moves to its global brand, Jaguar Land Rover (JLR). The decision to move to EV is expensive and risky, more so considering the financial crunch the company is facing. However, backed by the parent’s—Tata Sons—support and blessings, and having risked its global market share earlier when Jaguar Land Rover (JLR) delayed EV migration, the company decided not to leave any stone unturned in its turnaround bid. This case study examines the various sustainability and innovative practices that helped the company emerge as a market leader in the Indian EV market. This case study draws inputs from secondary sources to examine the events that led to the turnaround. The case helps strategy practitioners, such as strategy managers and business school students pursuing strategic management courses, to understand how companies work on the dual legs of sustainability and innovation to rebuild and survive in the competitive automobile industry.

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