ACF 308 Financial Statement Analysis Semester - VI GROUP-09 GROUP MEMBERS • Salman Siddiqui • Raghav Wason Date: 28/04/2014 INTRODUCTION Tata Motors was founded in 1945 as Tata engineering and locomotive Co. Ltd. to manufacture locomotives and other engineering products. It is India largest automobile companies with consolidated revenues of $34.7 billion in 2012-2013. Tata motors are leader in all segments of commercial vehicles and among the top in passenger cars awarded with compact, midsize car and utility segment. Tata motors is world seventh largest motor vehicle company with products like (passenger car, trucks, buses, military vehicle, coaches and construction equipment), It is second largest manufacture of buses and fourth largest manufacture of trucks by volume. Tata motors have 60,000 employees, which are guided to be passionate about their work and trained to build best vehicles so they can meet the global standard that can excite their customers globally with finest quality. The corporation's manufacturing base in India is spread across Jamshedpur, Pune, Lucknow, Pantnagar, Gujrat, and Dharwad. After a strategic agreement with Fiat in 2005, it has set up an industrial joint venture with Fiat Group Automobiles at Ranjangaon to produce both Fiat and Tata cars and Fiat powertrains. Tata motors are also listed in New York exchange in September 2004 and have emerged as an international automobile company. In 2004 Tata motors acquire Daewoo Company of South Korea and Jaguar and Land Rover in 2008 a British based passenger company. Tata motors has develop electric and hybrids eco friendly vehicle for both personal and public transportation. Tata Motors is devoted to improving the quality of life of publics ... ... middle of paper ... ...dustry averages. A low turnover implies poor sales and therefore excess inventory. If the inventory level is high than the rate of return of investment are represented by 0. • Debtors turnover Ratio= net credit sales/average trade debtors Debtors turnover ratio is concluded when the average debtors divides net credit sales. If the company has the high ratio it shows us that the company functions on cash basis and compilation of account receivable is efficient and if the company have the low ratio they should change their credit strategy. • Assets Turnover ratio= revenues/total assets The higher the ratio generates more revenue to the company from their assets. Assets turnover ratio is calculated yearly basis as per the monetary policy of the organization. Assets turnover ratio is also use to check if the company’s assets is improving or deteriorating.
General Motors Company (GM) is an American multinational corporation that manufactures, designs, markets and distributes vehicles and vehicle parts, and sells financial services. GM produces vehicles in 37 countries, selling and servicing them through thirteen brands such as Alpheon, Chevrolet, Cadillac, Holden and Wuling (Our Company, 2014). GM is among the world 's largest automakers by vehicle unit sales. It employs about 212,000 people working in 396 facilities touching six continents and has 21,000 dealers around the world (Our Company, 2014).
The actual production of company is started with Maruti ALTO, the first modern car in India. Its main competitors were the Hindustan Ambassador and Premier Padmini .At the time of its incorporation 74% of shares are owned by Indian Government, and remaining portion of share was with Suzuki Corp.
Hence production units for example the exports that take place in Europe and its Ukraine therefore they have competitive advantage with value into the technology. It gone through the acquisition by natural resource seeking for example Tata Company has invested in coal mines in different country and ownership advantage the company that enables them to successfully acquire established goal companies (KUMAR, 2008).Location advantage of Tata motors has the nature of the product and the services which the company requires to invest In plant or an office (Neelankavil and Rai,2009).In addition the Tata Company has a manufacturing with joint venture and Thornburg automotive gives which them a location advantage again in the south East Asia region. Internationalization advantage of Tata motors will help them in having better control over the manufacturing units as licensing option which are issues related to transfer of technology or technology theft. The advantages of own production for Tata company which they have done is introducing a new car called Nano an ultra low cost car
The inventory turnover decreased from 3.8 to 3.59. This is explained by the higher increase in the average inventory (37%) than the increase in cost of sales (29%) during 2005. This means that the rate at which inventory is sold is dropping
Inventory Turnover (2011 only): For the year 2011, the inventory turnover was calculated by the cost of good sold divided by the typical average amount of inventory. The average inventory was equal to the current inventory plus the prior inventory all divided then by two. Resulting in the 2011 Inventory Turnover to be equal to 3.480 because 5,385,088 / 1,547,223.5=
Kia name changed once again in 1990, to what we now know as Kia Motors, Inc (Kia.com). A major event happened in Kia’s life as a company in the 1990’s; Kia entered the United States market (Kia.com). Three years later, in 1993 Kia opened a parts distribution center in California and signed the first twenty (20) dealers to sells vehicles in the United States (Kia.com). Kia grew quickly and two years later, in 1995 Kia had one hundred (100) dealers and was located in twenty (20) U.S. states (Kia.com). In 1999 Hyundai Business Group purchased Kia Motors Corporation (Kia.com). With this purchase, Kia Motors Corporation (Korea) began making a profit again as one of the largest businesses that became a success story (Kia.com).
Ranging from steel, automobiles and software to consumer goods and telecommunications theTATA Group operates in more than 80 companies . It has around 200,000 employees all across India and has the pride to be nation‘s largest private employer. Mr. Ratan N. Tata has led the eminent Tata Group successfully. Mr. Tata was trained as an architect at New York's Cornell University but he chose to enter the family business .He assumed the Chairmanship of the Group in 1991. Named Business Man of the Year for Asia by Forbes in 2004, Mr. Ratan Tata serves on the board of the Ford Foundation and the program board of the Bill & Melinda Gates Foundation's India AIDS initiative. Tata Group chairman Ratan Naval Tata has stepped
Maruti Suzuki India Limited is an Indian car manufacturing company which formed an alliance with Japanese car maker Suzuki Motor Corporation. Maruti Suzuki India Limited also referred as the people’s car maker over the last thirty years, they have changed the face of the car industry in India. Maruti Suzuki India Limited first started out as Maruti Udyog Limited by nationalizing Maruti motors limited in 1981. A joint venture and license agreement was signed between Maruti udyog ...
Its major competitors in the Indian market are Maruti Suzuki, Tata Motors, Ashok Leyland, Toyota, Hyundai, Mercedes Benz and
Higher the ratio of 2013 is effective utilization of working capital, but the 2014 decrease of 0.22 times but in year 2015 to increase of o.o7 times to be
Over a hundred year company, Chevrolet was founded in 1911 by a Swiss immigrant Louis Chevrolet and U.S. entrepreneur Billy Durant and called it Chevrolet Motor Car Company. Seven years later in 1918, Chevrolet Motor Car Company completed a reverse merge and combined with General Motors. General Motors was the first automobile company to open an assembly plant in India. It wasn’t until 2003 that Chevrolet officially began business in India, and as shown in the table below, India is ranked ninth in total sales in 2013. In 2012 Chevrolet created an equal joint venture company called Commonwealth to manage Chevrolet's ads and marketing in China and India. Manufacturing plants in India include Halol, Gujarat and Talegaon Dabhade, Maharastra; which can manufacture 385,000 vehicles annually. Chevrolet’s main headquarters are in Halol , Gurgaon, and Bangalore.
In the early stage, Bajaj Auto Finance was promoted by Bajaj Auto and Bajaj Auto Holdings. The groups flagship company, Bajaj auto is the fourth largest two wheeler and three wheeler manufacturers in the world. Bajaj Auto Holdings basically was an investment company. Later in 2010 the company was renamed as Bajaj Finance Limited.
India’s automobile industry is one of the key drivers that promote the economic growth of the country. Personal vehicle ownership in India is increasing at a fast pace as a result of rapid economic growth witnessed in the last two decades. The rise in disposable income (in both rural and urban sector), presence of a wide variety of options to choose from and availability of easy finance are the main drivers of automobile sales in India. The relative popularity of the various segments of vehicles based on their size, price and usage are also undergoing sea changes. Especially in a country like India where motorized and non-motorized informal transports are a major mode of travelling (along with public transport in bigger cities), a fast-paced shift towards private motorized transport is a substantial change. The post globalization period has witnessed the footprints of global automobile majors striding towards India to tap India’s highly potential vehicle market. With manufacturers fighting to capture the biggest slice of the pie in one of the fastest growing automotive markets in the world, the Indian consumer is being offered with extravagantly larger set of vehicles in
As Tata Motors is an automobile company, the raw materials required in production of a car or a vehicle include aluminium, copper, platinum, palladium, rhodium, steel and zinc. The prices for these materials have been increasing in the recent years. An increase in price of input materials could severely impact its profitability. Additionally, increases in fuel costs also pose a significant challenge to automobile manufacturers worldwide, especially in the commercial and premium vehicle segments where increased fuel prices have an impact on
Tata Motors have not targeted the usual customer base like every other company, but have lured them through innovation. Tata plans on capturing the rural population with the help of Nano as it is the most affordable car. Moreover, through expansion, they are not only trying to increase their production, but also create a brand name for