Friday, September 12, 2008

Tata's Nano Dream Threatened?

The Singur deadlock does not seemed to have resolved for Tata Motors and it does look like it's plan for the world's cheapest car through the Nano could be threatened. With the ongoing delays, rising cost in materials, will the production of a $2,500 car remain feasible? If Tata has to shift its production factory, the costs could even go much higher.

It remains to be seen whether the Singur standoff will be too high a price for Tata Motors to stick to its promise of the world's cheapest car through the Nano. Even then, will it be profitable for Tat Motors? Only time will tell.

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