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Tata Discontinues Nano City Car

15 Jul 2018, 16:52 UTC · by Mircea Panait
/ Home / News / Car Profile

11 photosOf the most unfathomable, uninteresting, unworthy, uncanny, and unforgettable cars to have made it into series production, the Nano is up there at the top with the very worst of them.
Introduced by Tata as a cheap means of personal transport in 2008, the Nano is no longer with us. Production came to a virtual stop in May over drying demand, and as of June 2018, Tata has stopped making the Nano altogether.
Automotive News reports that Tata produced one Nano in June, “down from 275 in the same month last year.” The confirmation of the Nano’s dismissal, however, comes from the export numbers. Which were zero, if you were actually wondering.
The Nano, which starts in India at the equivalent of $3,500, was interesting to the value-conscious buyer back in 2008. But things have changed since then. Even the European low-cost segment has seen changes since 2008, with Dacia upping its game with superior products and after-sales service.
In addition to the horrific exterior styling, the Nano is less comfortable than a ride on the bus and just as lacking in terms of safety. But most of all, it was the fault of Tata for thinking that the lowest price possible is what will make the Nano a commercial hit.
Tata even thought that it would be great to electrify the Nano, but that didn’t work out either. Automotive News puts it as follows: “India may not be ready for the pizazz of futuristic vehicles. But it's past the point of no-frills metal shells.” And that’s the thing with the Nano.
Instead of being the go-to car for those with budgets on a shoestring, it became a repugnant reminder that the people who are now part of the aspirational middle class were poorer and more limited in options in 2008.
The bottom line is, Tata ignored one of the most important aspects of a customer’s mindset by omitting a simple question. It doesn’t all boil down to “can I afford this car?” but “do I want this car?”
On the matter of wants versus needs, the most basic of economic laws teach us that a growing middle class favors wants over needs. And with that, Tata should take note for the future.

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