The correct answer is -Cost Leadership Key Points Cost Leadership The launch of the Tata Nano is a classic example of cost leadership in the automobile industry. Cost leadership refers to a company's ability to produce goods or services at a lower cost than its competitors, while maintaining acceptable quality. The Tata Nano was introduced as the world's most affordable car, targeting middle and lower-middle-class segments that could not afford traditional cars. Tata Motors achieved this by: Streamlining production processes to reduce costs.