Behemoth can do without surname By Lalatendu Mishra in Mumbai
THOUGH he does not have the illustrious Tata surname but Cyrus Mistry is certainly no outsider plucked from obscurity. The elevation of the 43- year- old engineer to the top post of the Tata conglomerate will only add to the salt- to- software brand value.
Cyrus, in the capacity of the member of the highest decision- making body of the Tata group and a distant relative of the Tatas, is the son of Pallonji Mistry — who owns 18 per cent of the Tata group.
Brand and marketing experts said the choice of Cyrus as the successor would in fact help the brand grow stronger.
“ It is a good choice. He is young and is very appropriate for a young country. With him in the drivers seat the Tata brand value will be enhanced,” said Jagdeep Kapur, chairman & managing director, Samsika Marketing Consultants.
“ What is important is the ability of the person to steer the group to the next level. Cyrus is a good professional and certainly has the acumen to do that,” he said.
Some analysts also believe that the Tata brand has grown so large that it does not require the surname to support it any more.
“ It has become an international brand and does not depend only on a surname that can add value to it. The name
Tata is synonymous with trust, reliability and ethics. If the new person with a different surname imbibes these values, then it would have more positive effect on the brand,” said Rajesh Srivastava, a marketing expert.
He said there will be no kneejerk reaction from either the industry or the market, as they view the development in a longterm perspective since a lot of thought has gone into the selection of Cyrus.
“ Today Tata is known as international company with Indian origin. Because the candidate has been selected merit, it has given a very strong signal of continuity of Ratan Tatas legacy who has transformed the group in the last years,” said Jyorden Misra, managing director ( India), Spearhead InterSearch.
Chandrajit Banerjee, head the CII, applauded Wednesday's announcement, calling it exemplary move that speaks volumes about the norms corporate governance at Tata.
“ CII commends the leadership in the Tata Group for setting standards which would be benchmark for large global corporations,” Banerjee said in statement