VW, Tata sign accord to explore cooperation, report says

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Thread: VW, Tata sign accord to explore cooperation, report says

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    GMI Staff Member Premium Member nadepalma's Avatar
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    VW, Tata sign accord to explore cooperation, report says

    VW, Tata sign accord to explore cooperation, report says
    March 9, 2017 @ 10:29 am
    Andreas Cremer, Jan Schwartz and Aditi Sha
    Reuters via AutoNews.com

    BERLIN -- Volkswagen Group has signed a memorandum of understanding with Tata Motors to explore cooperation in India, sources close to the matter said, as VW takes a fresh attempt at conquering low-cost markets.

    After months of talks, the carmakers have signed a memorandum of understanding to deepen exchanges about technology, components and platforms, and analyze overlaps that could come from cooperation, one of three company sources said.

    VW is embracing electric cars and looking for new markets as it battles to recover from its diesel emissions scandal. A previous attempt by VW to expand in emerging markets through an alliance with Suzuki Motor collapsed in 2015 after a fierce dispute.

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    Re: VW, Tata sign accord to explore cooperation, report says

    Well, that it entirely unexpected for Tata to link up with someone --- but wasn't anticipating it would be with VW. I would have thought FCA before VW, especially as the Agnelli and Tata families were friendly and had a previous agreement.
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    Re: VW, Tata sign accord to explore cooperation, report says

    VW is *very* good about cultivating developing markets early. They were in China long before anyone else. Looks like they are trying to get in that position with the Indian market as well. Currently, the Indian market seems to be a decade or more behind China but they will eventually become another huge market.
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    Re: VW, Tata sign accord to explore cooperation, report says

    Now that GM no longer has Opel they should look to tie up again with Suzuki, not alot of profit in small cars and small is what Suzuki does best and they are big in India to.

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    Re: VW, Tata sign accord to explore cooperation, report says

    Quote Originally Posted by emh View Post
    VW is *very* good about cultivating developing markets early. They were in China long before anyone else. Looks like they are trying to get in that position with the Indian market as well. Currently, the Indian market seems to be a decade or more behind China but they will eventually become another huge market.
    Far more than a decade. Let's see how long it takes them to start pooping in toilets and not on the curb.

    I find this unfortunate, because I prefer Indians far more than the Chinese.

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    Re: VW, Tata sign accord to explore cooperation, report says

    Quote Originally Posted by Rick_VT View Post
    Now that GM no longer has Opel they should look to tie up again with Suzuki, not alot of profit in small cars and small is what Suzuki does best and they are big in India to.
    I'm afraid then that ship had sailed. http://www.thehindubusinessline.com/...cle9532549.ece

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    Re: VW, Tata sign accord to explore cooperation, report says

    These guys can't program, so how bad is their car building going to be? VW should stay away from that stink hole.

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    Re: VW, Tata sign accord to explore cooperation, report says

    I wonder how long it will be before VW offers to acquire JLR from Tata?

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    Re: VW, Tata sign accord to explore cooperation, report says

    Quote Originally Posted by Stéphane Dumas View Post
    I'm afraid then that ship had sailed. http://www.thehindubusinessline.com/...cle9532549.ece
    GM's loss there. Suzuki would have given them a partner for their small and light car platforms they will need to develop now Opel gone.

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    Re: VW, Tata sign accord to explore cooperation, report says

    Quote Originally Posted by Rick_VT View Post
    GM's loss there. Suzuki would have given them a partner for their small and light car platforms they will need to develop now Opel gone.
    But the list of GM failures is impressive.

    As you mention, Suzuki would have been ideal for small car development
    Subaru's rally heritage could have helped Pontiac
    Isuzu could have been used to expand trucks globally
    Not much foresight into propelling SAAB into a true global BMW/Audi/MB competitor

    GM could have merged the three Japanese manufacturers to give GM a significant market share in Japan.

    But what happened? Nothing near enough - mismanagement on a mind boggling scale. It's as if GM liked to have the marques but had no clue what to do next.

    Even the initial deal with FIAT could have been managed to their advantage. Also the original offer of PSA. Again, a missed opportunity

    GM seems to be more interested in Wall Street. What's the obsession with share buybacks? Or is this the only way the current share price can be maintained?

    Although some here will point out the record profits GM is making but these are on the back of NA and few models. What happens when the next downturn happens (yes, we'be heard GM state that they can be profitable at a market of x millions but they also said Open would be break even in 2016) or oil prices rise once again?

    One has to remember if GM has nothing to offer a partner there is no point in a partnership for the other party. I just don't see what GM has to offer in a partnership given their partnership record.

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    Re: VW, Tata sign accord to explore cooperation, report says

    Quote Originally Posted by vxl View Post
    But the list of GM failures is impressive.

    As you mention, Suzuki would have been ideal for small car development
    Subaru's rally heritage could have helped Pontiac
    Isuzu could have been used to expand trucks globally
    Not much foresight into propelling SAAB into a true global BMW/Audi/MB competitor

    GM could have merged the three Japanese manufacturers to give GM a significant market share in Japan.

    But what happened? Nothing near enough - mismanagement on a mind boggling scale. It's as if GM liked to have the marques but had no clue what to do next.

    Even the initial deal with FIAT could have been managed to their advantage. Also the original offer of PSA. Again, a missed opportunity

    GM seems to be more interested in Wall Street. What's the obsession with share buybacks? Or is this the only way the current share price can be maintained?

    Although some here will point out the record profits GM is making but these are on the back of NA and few models. What happens when the next downturn happens (yes, we'be heard GM state that they can be profitable at a market of x millions but they also said Open would be break even in 2016) or oil prices rise once again?

    One has to remember if GM has nothing to offer a partner there is no point in a partnership for the other party. I just don't see what GM has to offer in a partnership given their partnership record.
    All GM has now is empty promises And a short sighted future, I sadly see GM being taking over or broking up in the next Major Consolidation of car manufacturers. Face it GM has burned way too many partners and abandoned and thrown away too many units and divisions to be trusted by there own dealers and potential partners, only way forward for GM is to be taking over and have there Board Fired.

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    vxl
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    Re: VW, Tata sign accord to explore cooperation, report says

    Quote Originally Posted by FactChecker90803 View Post
    All GM has now is empty promises And a short sighted future, I sadly see GM being taking over or broking up in the next Major Consolidation of car manufacturers. Face it GM has burned way too many partners and abandoned and thrown away too many units and divisions to be trusted by there own dealers and potential partners, only way forward for GM is to be taking over and have there Board Fired.
    Sadly, I think you are 100 percent correct. GM is busy managing itself into extinction.

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    Re: VW, Tata sign accord to explore cooperation, report says

    Quote Originally Posted by vxl View Post
    Sadly, I think you are 100 percent correct. GM is busy managing itself into extinction.
    Sometimes I wondered if someone had payed Roger B. Smith and some of his successors under the table to destroy GM? But I'm falling into Alex Jones' conspiracy theories territory here.

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    Re: VW, Tata sign accord to explore cooperation, report says

    Quote Originally Posted by vxl View Post
    But the list of GM failures is impressive.

    As you mention, Suzuki would have been ideal for small car development
    Subaru's rally heritage could have helped Pontiac
    Isuzu could have been used to expand trucks globally
    Not much foresight into propelling SAAB into a true global BMW/Audi/MB competitor

    GM could have merged the three Japanese manufacturers to give GM a significant market share in Japan.

    But what happened? Nothing near enough - mismanagement on a mind boggling scale. It's as if GM liked to have the marques but had no clue what to do next.

    Even the initial deal with FIAT could have been managed to their advantage. Also the original offer of PSA. Again, a missed opportunity

    GM seems to be more interested in Wall Street. What's the obsession with share buybacks? Or is this the only way the current share price can be maintained?

    Although some here will point out the record profits GM is making but these are on the back of NA and few models. What happens when the next downturn happens (yes, we'be heard GM state that they can be profitable at a market of x millions but they also said Open would be break even in 2016) or oil prices rise once again?

    One has to remember if GM has nothing to offer a partner there is no point in a partnership for the other party. I just don't see what GM has to offer in a partnership given their partnership record.
    Who is going to be in a great position during the next NA downturn? I don't remember you spitting this much vitriol until GM sold Opel. From what you have been posting, you should be thrilled!

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    Re: VW, Tata sign accord to explore cooperation, report says

    Quote Originally Posted by vxl View Post
    But the list of GM failures is impressive.

    As you mention, Suzuki would have been ideal for small car development
    Subaru's rally heritage could have helped Pontiac
    Isuzu could have been used to expand trucks globally
    Not much foresight into propelling SAAB into a true global BMW/Audi/MB competitor

    GM could have merged the three Japanese manufacturers to give GM a significant market share in Japan.

    But what happened? Nothing near enough - mismanagement on a mind boggling scale. It's as if GM liked to have the marques but had no clue what to do next.

    Even the initial deal with FIAT could have been managed to their advantage. Also the original offer of PSA. Again, a missed opportunity

    GM seems to be more interested in Wall Street. What's the obsession with share buybacks? Or is this the only way the current share price can be maintained?

    Although some here will point out the record profits GM is making but these are on the back of NA and few models. What happens when the next downturn happens (yes, we'be heard GM state that they can be profitable at a market of x millions but they also said Open would be break even in 2016) or oil prices rise once again?

    One has to remember if GM has nothing to offer a partner there is no point in a partnership for the other party. I just don't see what GM has to offer in a partnership given their partnership record.
    Well said.

    Agree 100%

    GM has the worst management in the world in any type of company, it does not understand how markets work so has no clue about how to be successful in any market outside of the U.S. and that is only in the middle of the U.S. as GM is a failure on both coasts.

    I can go for weeks and sometimes months before I see a new GM car on the road out here, the same roads where I see every other brand's cars on a regular basis.

    I do see GM Trucks and SUV's although most of them are GMC, not Buick, Chevrolet or Cadillac with most Chevrolets being driven by company fleet drivers, not retail owners.

    GM problem is that it refuses to let any brand overshadow Chevy in any market even if Chevy is the worst brand for that market and why nobody wants anything to do with GM in India or any other global market since GM will do whatever it takes to make Chevy the brand of focus in that market. GM does not understand that Chevrolet is not Dairy Queen or Heinz Ketchup and has no "Global Brand Image" and Ford will always be the "American Car Company" to everyone in every global Auto market and where Ford has a very long and entrenched history.

    Other problem that is going to ultimately destroy GM is that they are no longer a global company and no longer have global buying power and have a very long history of being a poor customer for many suppliers around the world who have only done business with GM in the past due to their global presence - with that gone, suppliers will not be giving GM the deals that competitors get and those competitors will turn up the heat big time on GM by getting exclusive deals with suppliers that GM needs. Not going to be a bright future for GM.

    Opel could have and will have success in Japan where GM could have used the brand for improved sales/margins and will also do well in South America.

    Not sure if PSA will use a PSA brand or Opel for India, but it will do better in India than GM ever will since the Indian market demands a vehicle have a lot of value and very low price, it is a very tough market to be successful in since the margins are razor thin and the competition intense.

    You are correct GM has nothing to offer any partner other than arrogance and ignorance and a stubborn insistence that Chevy will be the brand that any partnership will have to use for any market, everyone in the Auto Industry and most outside of it know who GM is and exactly how they do business and nobody trusts them.

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