Why has JLR prospered under the ownership of Tata Motors?
Jaguar and land rover, as two types of popular brands located in British countries. JLR is the integration of the jaguar and the land rover which was pre-own by the British Leyland. However, due to various reasons cause that the British Leyland has faced financial critical issues. This case has caused British Leyland to have insufficient capital to continue operating the brand of the jaguar and land rover.
捷豹和路虎,作为位于英国国家的两大热门品牌。捷豹路虎是捷豹和路虎的结合,由英国利兰公司二手。然而,由于种种原因导致英国利兰公司面临着财务危机。此案导致英国利兰没有足够的资金继续经营捷豹和路虎的品牌。
The only solution that British Leyland choose is to sell its
brand to another company for exchanging for capital to solve the problem. After being resold to the different companies several times finally fall on the hand of tata company
with the low price of $2.3 billion since the year 2008. Some people might think
that tata company as the Indian automobile industry may affect the JLR product
quality since there are gaps between India and British in terms of technology,
cultural view, and other elements. This should probably cause the failure of the
Jaguar and land rover.
In fact, it actually does not affect that much. Even India
tata has bought the jaguar and land rover, but it gave JLR a certain authority
to operate its manufacturer. In this case, JLR still belongs to the British manufacturer
company, but tata company is only receiving its dividend profit every
financial period. In other term, JLR is just finding themselves an investor
to obtain the monetary supply. In this case, JLR is able to ensure and maintain
its vehicle at a certain quality and business model as usual. However, the
capital supply from tata automobile is just the main surviving and operation.
The main important reason that actually brings Jaguar and
land rover rise is the joint venture with the China company is the Chery
automobile. This action has caused a significant increase in the sales of JLR
in the China market. Even more, JLR is coming out with 5 locally assembled
products such as the land Rover Evoque, jaguar XFL, and so on. By using local
produce, it allows the JLR to adapt and customization the vehicle based on
the trends, culture, and taste of the local consumer. Even more, local
production is able to help JLR to prevent from paying the customs tariff.
In fact, this strategy has increased the JLR sales from 92,474 units to 146,399
units in the China market.
At last, since the year 2017, the reputation and sales of the Jaguar
and land rover have significantly dropped in the China market due to several reasons, especially quality issues. This has forced the breaking of the joint
venture between JLR and Chery and brought JLR a huge loss,
最后,自2017年以来,捷豹和路虎在中国市场的口碑和销量,由于多种原因,尤其是质量问题,出现了明显的下滑。这迫使捷豹路虎与奇瑞的合资关系破裂,给捷豹路虎带来了巨大的损失
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