Indian car maker Tata has just launched the world's cheapest car: the new 'Tata Nano' will cost an estimated $2000 and is being aimed at the Indian market where it's hoped that the cheap price will tempt motorcyclists to trade up to cars.
Tata's company president was inspired to create a low-cost car after seeing whole families crammed onto motorcycles e.g. father driving while mother sits behind holding a baby. He believes the Nano will provide a cheap, safe and all-weather alternative.
The basic model will not have air-bags, power steering, or air-conditioning; however, a larger version with all these features will be launched in Europe at a later date.
Tata has high-hopes for the Nano, but it faces a tough challenge from the global slowdown and the dropping demand for new cars.
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