Interesting discussion here. A few members have expressed their doubts over Tata's takeover plans and the future of brand Jaguar. So what do we know:
1. Its just to expensive to make cars in Britain any more. Even design and R&D are moving house. Now, thats not to say that the quality of engineering is bad, on the contrary it is still world class. Looking ahead, an Indo-Anglo engineered Jaguar made in a factory in Pune (that used to churn out Mercs no less) doesnt sound that bad.
2. Tata has ample experience with overseas takeovers. Now if JLR will fit in strategically into the Tata umbrella, only time will tell.
3. Tata not only buys into JLR's engineering but also its vast dealer network, which is key in many untapped markets like US, where Jaguar is a more recognisable name than Tata (for now).
4. For the immediate future atleast, British unions will make sure that production stays in Britain and pensions are met. So it doesnt end with the takeover, expect huge VRS bills!!
Slightly OT but others members
have doubts over 'Indian' ownership and management of premium brands. Let us look at the facts leaving aside the chest thumping nationalism. (lets be gracious, t-bhp is available to all on the world wide web)
1. If you asked Tetley tea drinkers in Britain about the ownership of the brand and what they thought of it, 90% wouldnt know that it was Indian owned or would not care to know.
2. Likewise for Whyte n Mckay/Delmore scotch whisky. Do you know that more than half of the scotch brands are in non-british hands?
3. Let us remember that Tata were small fish in the world steel market untill they bought a much much bigger Corus. This move has catapulted them into the top 10 steel makers. Theirs continues to be a happy marriage (atleast while the honeymoon lasts
)
4. India just happens to be the 2nd largest foreign investor in UK after the US of A. Like it or not, Economics is here to stay.