India presents a very unique opportunity for the growth of automobile sector specifically in car segment. With the better economic growth and increase in salaries, the small cars upto price ranges of 5 laks are very much in reach for the middle income group. Car makers from across the globe are looking to expand in India that too in the lucrative small car segment which is expanding at a very phenomenal pace.
It all started after independence when Indian government invited proposal for the “Economy car” and allowed Premier Automotive Ltd. To enter in a JV with Fiat for the production of FIAT 500. Later on 16th Nov. 1970 Mr. Sanjay Gandhi founded Maruti Technical Services Pvt Ltd. To develop a people’s car. In 1971 Maruti Limited was founded under the companies act and the joint venture with SUZUKI happened. Today MARUTI is the leader in car manufacturing and has more than 50% share in the market. Today India manufactures more than 1.5 million cars in a year and growing at a pace of 25% (approx). In the small car segment today, every big player i.e. Chevrolet, Hyundai, Maruti, Toyota, Volkswagen, Honda etc has its presence.
Unitedworld Executive.
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