Price

Tata initially targeted the vehicle as "the least expensive production car in the world"[10] — aiming for a starting price of 100,000 rupees or approximately US$2000 (using exchange rate as of March 22, 2009) [11][12] 6 years ago, despite rapidly rising material prices at the time.[45]

As of August 2008, material costs had risen from 13% to 23% over the car’s development,[46] and Tata faced[citation needed] the choice of:
introducing the car with an artificially low price through government subsidies and tax-breaks[citation needed]
forgoing profit on the car[citation needed]
using vertical-integration to artificially boost profits on cars at the expense of their materials industries[citation needed]
partially using inexpensive polymers or biodegradable plastics instead of a full metal-body[citation needed]
raising the price of the car