CHENNAI: Tata Motors’ chairman N Chandrasekaran reiterated the critical nature of the firm’s plans to turn around its flagging domestic business, pointing out on Tuesday that Tata Motors had suffered due to a challenging environment and its sub-optimal execution and market misses.
Coming a day after MD and CEO Guenter Butschek announced that the company would invest Rs. 4,000 crore into the turnaround plan, Chandrasekaran expressed regret to shareholders over the company’s inability to pay dividends due to losses in the domestic business and said it is working “with tremendous urgency” to deal with the matter.
The clear focus, he added, will be on a domestic turnaround, since “looking ahead, (Tata Motors) expects the business environment to remain dynamic and unpredictable”.
According to Chandrasekaran, the main reason for the less-than-impressive figures was due to the challenges faced by the CV segment, due to the change over to the goods and services tax regime, demonetization and “unexpected Supreme Court ruling on BS3 to BS4 migration”.