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development update

Tata

A giant family firm

This Development Update examines the growth of Tata, the Indian company which now owns many brands familiar to you, such as Tetley tea, Jaguar Land Rover and Corus steel. How has an Indian family business become a global player?

Ratan Tata, the current chairman

Tata is the most powerful brand in India. It is a family business which goes back five generations. Today Tata has a major stake in a diverse range of manufacturing and service industries, with considerable inf luence worldwide. Tata is the UK’s biggest industrial employer with 45,000 people working in steel production and at the Jaguar Land Rover car plants (Figure 1).

In the late nineteenth and early twentieth centuries India’s manufacturing industry developed in the form of family-owned businesses. Each successive generation learned the trade by working up through the company to become the managers of the future. Recently some of these firms have struggled with succession issues. Sometimes when the business is handed to the next generation it has to be split between family members. However, the Tata family dynasty has maintained its leadership of what is now the second largest company in India.

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The idea of wilderness

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Rare earths and resource nationalism

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