In a recent interview to Automotive News, Mr. E. Balasubramaniam who is the head of outsourcing for Tata's small car, said that it wants to sell 1 million units of the car priced at not more than US$2500. A supplier asked whether the price might creep up to, say, $3,000 or $4,000. No way, Balasubramaniam said. If the price goes higher, the business case collapses.
However, it may have only one body style. Choices in powertrains and exterior colours may also be limited severely. |