Desh ka Namak...

The distinctive characteristic of the brand #Tata is its profound connection with the image and identity of India and its people. This link is so strong that it is evident not just in the brand communications of the company but also in the culture, ethos, and business decisions of its founders and management.

On this day, as we mourn the passing of the philanthropic business tycoon Mr. #RatanTata, I wish to reflect on two fascinating anecdotes (among numerous others well recognised in the industry) that illustrate how the Tatas prioritised the interests and reverence for the motherland in their boardroom discussions.

The Source: Everyone has heard the story about the Taj Mahal Hotel(now, The Taj Mahal Palace and Towers) and why Jamsetji Tata, the great grandfather of Ratan Tata, had built it. People say, he built it because he was denied access into the Watson’s Hotel which was known for its discrimination against Indians. But what very few people would know that back in 1898, when Jamsetji Tata, founder of the Tata Group, suddenly announced that he would build a grand hotel in Mumbai, his sons, his friends, his business associates, everyone urged him not to go ahead with the project.

One of his sisters reportedly responded in Gujarati, “What?? You are building an institute of science in Bangalore, a great iron and steel factory, and a hydroelectric project – and now you tell us you are going to put up a bhatarkhana [eating house]!” He had no experience as a hotelier and It’s going to lose money, they all insisted. However, Jamsetji was unyielding; “Perhaps it will,” he said, “but that makes no difference”. He wanted Indians to get what they needed — a great hotel that would be proud to serve them. Hence it was built, and it became a beacon of Mumbai and India, 20 years before Gateway of India was erected.

One century after its inauguration, the Taj has maintained its status as one of the world's premier hotels, frequently serving as a destination in its own right. Throughout the years, the hotel has observed numerous historic events of local, national, and international significance. Lord Mountbatten's goodbye address occurred in the hotel's 'great ballroom' before he boarded his ship and departed from India. It has endured two World Wars and a horrific terrorist attack in 2008, emerging in a magnificent resurgence.

The Taj transcends mere hospitality, embodying the essence of Mumbai and India. The Taj Mahal Palace and Towers has originated an extensive chain of hotels, the largest in India. Today, the Indian Hotels Company Ltd (IHCL) is a chain of over 100 luxury, business and resort hotels across 62 destinations worldwide. Every hotel constructed with identical meticulous care. However, it is Indian hospitality that distinguishes them above mere walls and material.

Ultimately, as Jamsetji Tata recognised, this constitutes our most esteemed Indian heritage.

The Legacy: The story of the two renowned brands, Jaguar and Land Rover, joining the Tata portfolio began with an insult Ratan Tata couldn't bear. In 1998, the esteemed industrialist initiated his dream project, Tata Indica - India's inaugural hatchback equipped with a diesel engine. However, sales were initially sluggish, prompting Tata Motors to divest its nascent automobile company within a year of its launch in 1999. The American automotive corporation Ford was regarded as a prime contender. The corporation complied with a meeting request from Ford Motors. Representatives of the US company visited Bombay House for discussions in 1999. During the discussion at the Tata headquarters, the American company expressed interest in acquiring the business. To further the agreement, Ratan Tata and his colleagues travelled to Detroit to confer with Bill Ford, the then chairman of Ford. The meeting lasted about three hours but did not go well. The American businessman was condescending and "humiliated" the Indian businessman.

"You do not know anything, why did you start the passenger car division at all," the Ford officials told their guests, and spoke about doing a favour to the Indian company by buying out the latter's business.

The deal collapsed. The crew decided to return to India immediately following the conference. During the flight back a solemn Ratan Tata uttered very few words. The humiliating event simply intensified Ratan Tata's focus on his objectives.

He opted against selling the unit, resulting in a quintessential transformation from failure to success. Nine years later, Ford teetered on the brink of bankruptcy in the aftermath of the Great Recession of 2008. Tata proposed the acquisition of two prestigious brands from the Ford portfolio: Jaguar and Land Rover. The USD 2.3 billion all-cash transaction was finalised in June 2008, with Ford chairman Bill Ford expressing gratitude to Tata, stating, "You are doing us a big favour by purchasing JLR," as recalled by Pravin Kadle, a member of the team who accompanied Ratan Tata to the US in 1999, during a public event in 2015. Following the acquisition, the Tata Group has orchestrated a remarkable turnaround in the automotive sector, successfully establishing the prestigious British brands as powerful players in the intensely competitive global automobile market. Despite Tata Motors' significant progress and increased market share in India, Jaguar Land Rover remains the cornerstone of the company, contributing almost four-fifths of its revenue.

Credits :

tata.com/newsroom

newindianexpress.com/business

thehindu.com/business

#RatanTataSir #RatanTata #RestinPeace #Tata