Managers at Tata's Nano need to examine three inter-related environments in order to come up with an effective strategy. The three inter-related environments are – industry environment in which the company operates in, the geographic market or country in which the company operates, and wider socio-economic/macro-environment. PESTEL analysis is mainly the assessment of macro-environment factors.

2. nano
Political
Social
Economic
Technological
Environmental
Legal

3. I. Political Governance System
II. Government Regulations and Deregulations
III. Segregation of Political Responsibilities
between Different Government

4. I. Demand shifts from Goods economy to
Service economy
II. Foreign exchange rate
III. level of household income and saving rate
IV. GDP Trend and rate of economic growth

5. I. Demographic Trend
II. Birth Rate
III. Nature of social contract between
Government & Society.

6. I. Transparency and digital drive
II. Acceptance of mobile payment and fintech
Services
III. Preparedness for SG Related infrastructure
IV. Technology transfer and licensing issues for
Tata's Nano.
V. Likelihood of technology disruption.

7. I. Level of Consumer Activism Regarding
Environmental Concerns
II. Focus & Spending on Renewable
Technologies
III. Recycle Policies

8. I. Laws regarding Monopoly and Restrictive
Trade Practices
II. Time Taken for Court Proceedings
III. Health & Safety Laws
IV. Consumer Protection Laws

9. 1. How the phenomenon of business environment affected
Tata Motors Nano car project at different stages?
• Economy loss
• Geographical shift
• Work load
2. Why did Tata fail to business environment at the outset?
• Cheapest car tag
• Aspirational value
• Unavoidable incident
• Media

10. 3. What relationship do you see between the business environment and
business?
• Shift and loss
• Uncertainty in business term
4. For all Stakeholders, there is life after Singur? What lessons can they
learn from this episode and go on?
• The most significant, lesson to be learnt from the Singur controversy is
that political management of any large industrial project is as important
as overseeing its economic management.