Tata Motors vs. Obvio!
"Is company X disruptive?" Whenever we're asked this question—and we're asked it often—we run through a simple mental checklist that looks at the target customer, the solution, the business model and the competitive landscape. Here, we use our "Disrupt-O-Meter" to analyze new products that are being developed by the automotive industry.
The auto industry has always heavily relied on innovation. Now, with emerging market consumers expanding demand, two companies are rolling out interesting new offerings. Tata Motors' "1-Lakh Car" would retail for 1 lakh, or about $2,500, in the Indian market. It is a fully functional, four-door vehicle that aims to replace motorbikes. Small Brazilian company Obvio! is set to release its first hybrid car, the 828, at a price of $14,000, less than half the cost of a Toyota Prius. Which is more disruptive?
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