9. Value Chain & Value System Suppliers , Contractors Strategic Alliances Transporters, Convoy Drivers Association Dealer Network, Marketing Research Firms, Vehicle Financing Regional Warehouses, Dealer Workshops, Distributors, TASS Inbound Logistics Operations Marketing Service Outbound Logistics SAP , VCM SAP , CRM - DMS
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20. Leveraging the resources How did TATA create initial resource complement to overcome the disadvantage of being newcomers in passenger car business? STRATEGY INSTITUTIONS Government support (10Year Plan) New institutions for trade promotion, technology up-gradation, quality enhancement ( ACMA : Automotive Component Manufacturers Association , SIAM : Society of Indian Automobile Manufacturers ) R&D Acquisitions Strategic partnerships Joint ventures Intensive management development
41. All said and done…a new strategy is required… The Blue Ocean Strategy
42. Blue Ocean Strategy Red Ocean Blue Ocean Compete in the existing market place Create unconsolidated market space Beat the competition Make the competition irrelevant Exploit existing demand Create and capture new demand Make the value cost trade off Break the value-cost trade off Differentiation or Low cast Differentiation and Low Cost