Italian automobile maker Fiat’s Indian arm, Fiat India is in the process of opening solo outlets and laying off Tata Motors dealers through a series of checks which most of them have been unable to qualify for. The company was earlier partnering with Tata Motors for its sales and distribution activities before ending the agreement in May 2012.
According to Mr. Ravi G Bhatia Vice President (Commercial) Fiat India Automobiles, the company is under no obligation to retain the existing Tata Motors dealers. He added that the company does however prefer the Tata Motors dealers in comparison to opening new outlets if they are able to meet the standards and criteria set by Fiat.
The Italian carmaker plans to open 80 dealerships across 67 cities by March 2013, strengthening its solo presence in the Indian automobile market. Mr. Bhatia stated that the Fiat brand needs a strong revival strategy to capture a share in the Indian auto industry.