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Old 7th September 2010, 08:44   #1
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Default *Incorrect* - Fiat parting ways with Tata?

Hi All,

I saw this news in the NDTV Profit this morning.
Can anyone confirm?

Apparently the news said that FIAT are not happy how it's customers are treated at TATA services/showroom.
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Old 7th September 2010, 09:25   #2
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Rumor ? This will only taint the image of FIAT if this happens. Their a.s.s was an issue ages ago and it was coz of their link with Tata that helped claim their lost glory in India.
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Old 7th September 2010, 09:32   #3
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Tata Motors isnt exactly setting the standards for service in India. Quite a sarkari company in many ways.

This could be an opportunity for FIAT to strike new ground
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Old 7th September 2010, 09:35   #4
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Indeed the news is true. However, not sure of the further proceedings. What was mentioned as FIAT is not happy with the service provided to the Linea/Punto impacting the sales.

FIAT see this as an opportunity and invest on the service network. Its costly but worth over the long term
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Old 7th September 2010, 09:38   #5
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Originally Posted by penpavan View Post
Hi All,

I saw this news in the NDTV Profit this morning.
Can anyone confirm?

Apparently the news said that FIAT are not happy how it's customers are treated at TATA services/showroom.
Me too just saw the same thing a while back. On headlines part. Would be good if a video grab of the same can be posted.

Last edited by sidindica : 7th September 2010 at 09:39.
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Old 7th September 2010, 09:40   #6
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I'm very happy to hear this news. But its like walking on the edge of knife for Fiat because they need to establish themselves with a very strong A.S.S in India within a short span of time & provide a high quality of service. Now that their products are good, they only need to focus on service. Good Luck Fiat!!!
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Old 7th September 2010, 09:42   #7
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And they are opening new showrooms with alliance...confusing I must say.

FIAT will take much time to start things on its own and what about the owners who due to Tata have bought GP/Linea in tier-2/3 towns?
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Old 7th September 2010, 10:03   #8
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Oh boy - this could be tricky for many existing customers who bought the latest Fiat offerings based on current tata network / spare sale points (Whether good or bad, the reach atleast was commendable). And the investment for Fiat will also be huge. Not sure if the best decision !
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Old 7th September 2010, 10:04   #9
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This shall be the best decision FIAT has taken after their comeback, only if they strongly stand behind it, and raise the pathetic levels of A.S.S offered by TATA.

BTW - they also got to raise the workmanship standards on their cars:


Last edited by blackasta : 7th September 2010 at 10:06.
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Old 7th September 2010, 10:22   #10
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I just hope that this turns out to be a good decision. TATA Service is way too lousy, even TVS does a much much better job nowadays.

Question is, how Fiat is gonna manage the A.S.S now?!
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Old 7th September 2010, 10:32   #11
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I don' think this will be with immediate effect. FIAT might start opening their own dealerships over the next year or so and will gradually move out of the TATA showrooms.

A very bold decision IMO, which can go both ways.
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Old 7th September 2010, 10:44   #12
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There would have a lot of complications if the Joint venture is over in India. Considering there is a huge investment needed to setup their own networks and dealership. The news said that there is not official word from Tata motors on this matter.
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Old 7th September 2010, 10:52   #13
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Interesting move.

Prospective buyers of Fiat cars will have to wait and see how Fiat ramps up its service network which was otherwise available in every corner of the country.

With whatever issues current lineas and puntos have and bad after sales service would be a deep plunge. However, a best in the class service network would get Fiat the much needed public acceptance. Building a good service network is a long term activity and can take years. Till then (most probably) sale of Fiat cars would suffer.
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Old 7th September 2010, 10:52   #14
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If VW or a Nissan can manage to sell/service 2k cars per month with a miniscule number of dealerships, why can't fiat which has a better car lineup and larger brand visibility in India do better?
I think these 2 brands have helped Fiat-India open it's eyes and ears.

Once they walk out they need to do what Ford and Chevy did. Bring their top brass from Italy on PR missions to India which will help improve the "commitment to India part" which is missing now.

OT:If Fiat had already walked out of this service alliance, i would have been a Punto owner by now

Last edited by Daewood : 7th September 2010 at 11:01.
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Old 7th September 2010, 10:53   #15
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Somehow, this European-Indian JV never seem to work, isn't it? One more recent example being Mahindra Renault.

Will Tata be able to use their engines in the future? This is a big question now. Tata has access to all their engines right now. The FIRE 1.2, the FIRE 1.4, the MJD FGT and VGT. Interesting thing is, Tata took all FIAT engines, plonked them into cars similar to the FIAT ones and prices them much cheaper. Now the general Indian public will trust Tata over Fiat blindfolded. And then the dealershihps used to push a customer for a Tata car over a Fiat. Wow!

Ultimately, this had to happen. Its more like Fiat opened their eyes now.

Last edited by blue_pulsar : 7th September 2010 at 10:57.
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