MUMBAI: Identifying the automobile sector as a growth area, Tata group is confident of launching in less than three years, a proper “inexpensive” people’s car with a price tag of Rs one lakh that group chief Ratan Tata says will be a “gearless” vehicle powered by a rear engine.
Undeterred by scepticism from industry rivals, including Suzuki Motor Corporation that such a car may not be feasible for Rs one lakh, Tata exuded confidence that the launch would be the only answer from him.
“I hope so. Just like people ate their words on Indica they would realise that there is something (Rs one lakh car) that can be done,” Tata said on whether the launch would be the answer to the sceptics.
Along with Indica, the new Rs one lakh car, whose prototypes are at present doing test run without a body, would be the growth focus for Tata Motors in the medium term in the automobile sector, in which the group could invest up to Rs 30,000 crore in the next few years.
Source : Financial Express (Online Edition) (9/1/2005)