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Old 26th August 2008, 08:21   #1
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Default Tata not to compete with Fiat in same segment

There is news in Financial Express that Tata and Fiat would not compete in the same segment. It probably implies that Fiat will phase out Palio as it is in the same segment as Vista. They also stated that Tata will sell higher end cars of Fiat. Apparently this means Fiat will bring in GP and Tata will not compete in that segment.

Interestingly Tata will sell Vista internationally within six months, presumably, with Fiat's help. Another statement made is that Tata will not phase out the current Indica. So Taxi segment is getting clearly demarcated. Finally this partership seems to be taking some direction.

Any views on this, guys?

Tata Motors launches Indica Vista - The Financial Express
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Old 26th August 2008, 09:44   #2
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I dont know but it seems counter productive to FIAT's strategy in India. They have just launched the Palio MJD & Stile and by phasing them out, they will have no cars left in the economy hatch segment.
It makes sense if they launch the GP as replacement, otherwise, FIAT is losing whatever niche it has made for itself.
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Old 26th August 2008, 10:04   #3
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I would still expect a full scale war in Tata showrooms between the higher versions of the Indica Vista and the GP, with the "even more car per car" argument.

Linea might be spared, but only if there is a significant price difference between it and the "Indigo Vista"
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Old 26th August 2008, 10:14   #4
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According to 25/08/08 Economic times, Tata and FIAT are revamping their showrooms in anticipation of the new launches. While the FIAT showrooms will have a more European look with a red theme, the Tata showrooms will be more towards the colour blue. This probably means that the GP & Linea will be showcased in showrooms different from Vista and the Nano!
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Old 26th August 2008, 10:15   #5
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i dont see indica vista going against GP. GP is gonna be in fabia segment. Linea and Indigo Vista would be separate segments all together with Linea being in Verna and Magnum segment.
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Old 26th August 2008, 10:15   #6
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Quote:
Originally Posted by sridhga View Post
There is news in Financial Express that Tata and Fiat would not compete in the same segment.
Wouldn't the new Indigo be priced close to the GP or Linea?

Quote:
Linea and Indigo Vista would be separate segments all together with Linea being in Verna and Magnum segment.
Linea 90hp MJD fully loaded with blue&me etc should be in Magnum and Octavia segment. Probably Indigo QJD/Dicor top end would be priced against Linea base petrol?

Last edited by amit : 26th August 2008 at 10:18.
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Old 26th August 2008, 10:19   #7
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Its not Tata, its Fiat who don't want to compete
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Originally Posted by sridhga View Post
There is news in Financial Express that Tata and Fiat would not compete in the same segment.
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Old 26th August 2008, 10:25   #8
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GP should start where indica vista ends. Indigo vista will most probably replace the current indigo (Logan & dezire segment). CS will continue. Linea will start where Indigo vista ends (SX4 and HC segment). I don't see a competition at all except for currently palio and Vista
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Old 26th August 2008, 11:05   #9
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Quote:
Originally Posted by prateekswarup View Post
This probably means that the GP & Linea will be showcased in showrooms different from Vista and the Nano!
So I buy the Linea from a swanky Euro-looking showroom, and take it for service to the Tata Service center, jostling with Indica taxis. That would be a problem for someone who has paid premium money for his/her car.

PS: sorry for going OT.

Last edited by vipul_singh : 26th August 2008 at 11:07.
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Old 26th August 2008, 11:13   #10
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Quote:
Originally Posted by sridhga View Post
Another statement made is that Tata will not phase out the current Indica. So Taxi segment is getting clearly demarcated.
B U Bhandari person yesterday told me that Indica DLX & DLG turbo have been phased out for Vista. He claimed they are taking bookings only till current stocks are exhausted. Any confirmations on this from other members?

Nikhil
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Old 26th August 2008, 11:19   #11
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Quote:
Originally Posted by prateekswarup View Post
I dont know but it seems counter productive to FIAT's strategy in India. They have just launched the Palio MJD & Stile and by phasing them out, they will have no cars left in the economy hatch segment.
It makes sense if they launch the GP as replacement, otherwise, FIAT is losing whatever niche it has made for itself.
i dont think palio MJD is gonna be phased out anytime soon, they have just launched a new shade of black, why would they do that ? if they want to phase it out?
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Old 26th August 2008, 12:29   #12
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Quote:
Originally Posted by nsbhagwat View Post
B U Bhandari person yesterday told me that Indica DLX & DLG turbo have been phased out for Vista. He claimed they are taking bookings only till current stocks are exhausted. Any confirmations on this from other members?
Tata have mentioned it in their press release. LINK

Quote:
The existing Indica will continue to exist with a rationalised portfolio - the lower versions of the 1.2L Xeta and the 1.4L naturally aspirated IDI diesel and one version each of the DICOR and TCIC diesel, the latter being available with ABS and Airbags.
so considering pricing of new vista, only DLG dicor and DLX Turbo with abs and airbags make sense.

Following have to be discontinued
DLS turbo and dicor,
DLG turbo,
DLX turbo.
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Old 26th August 2008, 12:29   #13
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Umm, is the Fiat Palio even a competitor to the Indica? It has such a miniscule market share that it's really not a cause of worry to any hatch maker. This news is most relevant to the GP & Linea, which will be placed in a higher segment anyways.
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Old 26th August 2008, 12:40   #14
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Quote:
Originally Posted by GTO View Post
Umm, is the Fiat Palio even a competitor to the Indica? It has such a miniscule market share that it's really not a cause of worry to any hatch maker. This news is most relevant to the GP & Linea, which will be placed in a higher segment anyways.
I agree. In terms of sales, Palio is no competitor to Indica. This arrangement applies to the next generation of cars which come from Fiat stable. At least, the entire Fiat-Tata arrangement can price and market their cars without any favour to any manufacturer.
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Old 26th August 2008, 13:08   #15
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If WagonR, Zen Stilo and Alto can compete and survive in the same segment, why can't Indica Vista and Palio? Does Tata feel threatened by the Italians?
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