Tata Group Turkey

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Category: Business and Industry

Date Submitted: 05/22/2012 09:47 AM

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Introduction

Tata group were born in India but become a huge international organization. Tata group consists of ninety three companies which operate in seven different areas. (add reference). One of the flagships of the company is steel production. Tata Steel Europe operating in the UK and mainland Europe is the largest steel producer in Europe. (http://www.tata.com/company/profile.aspx?sectid=3HYiu6ljpWk=) Tata steel Europe produces 20 million tons of crude steels in order to supply automotive, construction, packaging, aerospace, energy and engineering industries. The long products division, strip product division and the distribution and building system division are three operating division of Tata Steel Europe. They have a range product portfolio varies from steel tubes, pipes and slabs to transformer cores. Production facilities of Tata Steel Europe are located in UK, the Netherlands, Germany, France, Norway and Belgium.

Tata Steel Europe offers large range of tube products which are structural hollow sections, conveyance and pressure tubes, pipeline tubes, precision tubes and furniture tubes. It can be said that tube division supplies to very fragmented market from household usage for irrigation or plumbing to business usage such as oil transportation via pipelines. Marketing activities in that area can be really challenging in such environment because customers are not homogenous and corporate and individuals clients they have different needs; therefore, marketing actions need to be considered carefully.

Although Tata Steel Europe is one of the biggest producers in the world, there are still some markets they have not entered yet. In this paper, it will be traced that how Tata can enter Turkish tube market by establishing a distribution channel. It will be mentioned that the current situation of Turkish tube market, competition and potential rivals of Tata and most importantly, the moves Tata need to do in order to reach households.

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