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September 2011, Week 5

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From:
Alan Yeo <[log in to unmask]>
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Date:
Fri, 30 Sep 2011 19:52:24 +0100
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<[log in to unmask]>,
[log in to unmask] writes
>Alan ,
>
>Tata has owned Jaguar and Land Rover for only three years.  Certainly
>not enough time to develop from start to finish new models.  Everything
>coming out is Ford's.  If Ford had not purchased Jaguar in1989 I
>believe Jaguar would have joined it's British Leyland stablemates -
>Triumph, MG, Rover cars, Austin in the "where are they now" list and
>Top Gear would hold a retrospective on them as they already have for
>the aforementioned brands.  Go to Tata's website and there is very
>little integration between Tata's brands and Jaguar and Land Rover
>Unlike Land Rover, BMW never owed Jaguar
>

I stand corrected, forgetting that Ford had bought Jaguar earlier and
still hadn't turned it around, it always hemorrhage money for Ford and
selling it for a £1 doesn't smack that they thought they were selling
anything of great potential.

I would agree with you that if Jaguar hadn't been purchased by Ford then
it would have met the fate of the others, There is some argument that
Land Rover may have survived, but I personally would have put the
chances at no more than 60:40 especially given the turbulent economic
decade.

The lack of integration between TATA brands and Jaguar/Land Rover is
deliberate, they are trying to go upmarket not down. But the turnaround
has been startling both marks now generating healthy profits and even in
these economic times generating most of it from export. Whilst some of
the new models were in design under Ford, under TATA they actually got
the money to build them, revamp the assembly plants, stop the closure of
a couple that Ford planned to do. And yes the latest models of both
Jaguar and Land Rover launched at Frankfurt are brand new designs that
carry forward little from the past.

However my original train of thought was given that neither Ford or BMW
lack the financial muscle to develop a business. What is wrong with the
management of these companies or the culture they engender that meant
they couldn't do it. Too many MBA's and Accountants? Not enough passion,
or just a case of being to big to care.


--
Alan Yeo
[log in to unmask]    Just because you're paranoid
Phone +44 1684 291710   it doesn't mean someone isn't!.
Fax   +44 1684 291712

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