This case looks at the automotive industry, Fiat and Tata's corporate background and provides an in-depth description of how these two sides came together including the entire pre-operational negotiation process. The case is set as of October 2007, immediately after the companies had finalized a joint venture for the manufacturing of passenger cars, engines and transmissions in India for national and international markets. The alliance also includes additional agreements to jointly manufacture pick-up trucks in Fiat's Argentinian facility and a distribution arrangement between Fiat's commercial vehicle subsidiary, Iveco, and Tata's commercial division.
Students will be exposed to the key issues in negotiating alliances, such as timing, readiness, management opinions, cultural learning, due diligence and ownership structure.

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