Indian Automobile Industry: an Overview

The self-propelled sector comprises the Original Equipment Manufacturers (OEMs) and auto component manufacturers. callable to its deep forward and backward linkages with several key segments of the economy, automotive industry has a strong multiplier effect and acts as one of the drivers of economic growth. The globular automotive industry is in the midst of a major structural transformation Among OEMs, world(a) conglomerates are emerging, driven by mergers and alliances among manufacturers (eg: GM/Fiat/ Suzuki; hybridization/Volvo/Mazda). Component manufacturers, or suppliers, are getting Tierised, with Tier 1 suppliers taking on the role of component aggregation and faculty supply/assembly, and component suppliers being relegated to Tiers 2 or 3. Relationships in the midst of OEMs and suppliers (especially Tier 1s) are becoming increasingly collaborative. These trends have bear on the Indian auto industry as well, leading to a speedy transformation of the industry over the last ten or so. After the end of licensing in 1993, the industry has witnessed rapid growth in volumes and capacity, and various new ventures have enter up in the last few years. These include global giants much(prenominal) as General Motors, Ford, Toyota, Honda, Hyundai and Fiat.

The industry encompasses commercial vehicles, multi-utility vehicles, passenger cars, two wheelers, three-wheelers and auto components. The sector also has tremendous possible for providing employment. This will increase the present figure of employment in manufacturing sector which presently is quite low at 12% as compared to the countries like Malaysia (50%); Korea (62%) and China (31%). Automobile manufacturing units are hardened all over India. These are, however, concentrated in some pockets such as Chennai and Bangalore in the south, Pune in the west, the National Capital country (NCR, which includes New Delhi and its suburban districts) in the north, Jamshedpur and Kolkata in the east If you destiny to get a full essay, order it on our website: Ordercustompaper.com

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