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innovation strategy and about the feasibility of producing an innovative car for one Lakh only that meets the Indian safety and emission standards. This doubt could turn out to be an error with grave consequences. Tata Motors is giving reassurances that its Peoples Car will comply with the Indian safety and emission standards that understandably at this moment are not yet as stringent as the German ones. Tata is the only Indian car producer with a certified crash-test facility. In order to reduce the cost of this innovation, the One-Lak-Car will use more plastic parts, which are glued together rather than welded, than is usual in the car industry. The first factory for the One-Lakh-Car has already been built in Singpur in West Bengal. The innovative car will be assembled in further three satellite plants which will also sell and service the cars, if needed, in order to save the trade margin of the intermediaries. In its innovation strategy, Tata Motors makes use of a network of European partners such as BASF, which supplies plastic components, or Fiat, which helps Tata with its design. Concerning design: this in the past was often a weakness of products from emerging countries. In its design, Tata relies on the help of such renowned Italian design firms as I.D.E.A. and Stile Bertone, respectively. Tata has already sufficiently proven in the past that it knows how to design likeable cars. Picture: Tata Motors compact car Indica, originally introduced in India in 1996, the market-leading passenger car Maruti Suzukis doubts may actually be rather tactically motivated. Also at the Delhi Motor Show, Suzuki will present an innovation of its own of a low-cost car with the code name A-Star. In Suzukis global innovation management plan, India in the future is planned to play the role of an innovation centre for low-cost vehicles. Renault and Nissan as well intend to make India their innovation centre for low-cost cars. Other industries and companies such as the innovation machine GE or SAP or, respectively, the innovation machine Cisco have already made the experience that India is an interesting location for an innovation centre for disruptive innovations. And what is the innovation strategy of the German car manufaturers, above all of Volkswagen ? They know that without any arrogance they have to take Tata Motors seriously as a new important global competitor. Because as far as offering a transport solution to the billions of potential low-cost car customers in the emerging and developing countries of this world is concerned, Tata Motors with its Indian innovation centre and its disruptive innovation One-Lakh-Car is the first mover and has a leg up. India more and more becomes the leading choice for placing an innovation centre that shall be globally responsible for low-cost cars. It can be safely assumed that the Indian employees who are heavily influenced by daily experiences of scarcity and penury will bring along a big amount of creativity and innovation that will benefit the development of disruptive low-cost cars. In the meantime, Tata Motors is very active at the other end of the car price scale. It is being viewed as the leading candidate for acquring the Jaguar and Land Rover businesses