Casie Merza
3 March 2016
Jill Solomon
Case 11-1 Global Companies Target Low-Income Consumers (B)
11-12 What is the key to the Logan’s low price? Their success primarily lied in the facts that
there were only select few cars to prove people and this had factors similar to do with the price
of the vehicle. What is affordable for some was not for other for others. They allowed the view of
products to determine the price of the vehicle. Because the vehicles lack so much in their safety
and quality features than those of other brands, Logan is able to offer a lower price. This is also
affected by people’s already made possible views of the brand.
11-13 Do you think Tata will be able to save the Nano? What steps should the company take? I
think they can take the deal. With money invested into this project I believe can supply the Nano
until they have no more stock left but because this the vehicle is viewed in different lights all
over the world, saving it may not be the best option for it may not be in the best interest of the
country and company. Tata may be putting all of its resources forward trying to save the Nano
compared to not trying to save it but instead putting that time and energy towards building a
better option.
11-14 Assess Carlos Ghosn’s plans to revive the Datsun nameplate. Can a car that sells for $3000
make a profit for the parent company? Yes it can and by using a nameplate it eliminates the
possibility of failure resulting in the downfall of the parent company. If Tata fails, it should limit
the effects on Nissan because the Nissan name was spared during this transaction. The goal was
to create a new less expensive line of vehicles under an already high-expectation associable
