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  • Essay / Growth of Indian Automobile Industry - 710

    Due to rapid economic growth, car ownership in India has increased a lot. The popularity of different vehicle segments based on size and price has also undergone changes. I present a study on the influence of car attributes on car purchase in Delhi-Ncr. We analyze the choices made regarding cars. The Indian automobile industry has huge market potential. With population growth and lifestyle change due to urbanization, the demand for cars is growing rapidly among the Indian middle class. 1.2 Industry Profile The Indian automobile industry has flourished a lot since the 90s. It was Maruti 800 that started the revolution. in the Indian automobile market in 1984 with its launch. Then, after economic liberalization in 1991, various multinational companies entered the Indian market and brought a variety of choices to the Indian middle class. This extraordinary growth experienced by the Indian automobile industry is the result of a major factor, namely the improvement in the standard of living of the middle class and the increase in their disposable income. Furthermore, the institutionalization of automobile financing has paved the way for sustaining long-term high growth for the industry. India is the second fastest growing automotive market in the world after China. The Indian automobile industry is witnessing a shift in demand from two-wheelers to cars due to the increasing availability of low-cost cars and the car being a symbol of high prestige. Based on overall car production in the country, the Indian automobile industry is now the 6th largest in the world. The Indian automobile market has a huge market potential. With the growing population and changing lifestyle due to urbanization, the demand for Indian automobiles has increased rapidly. The Indian automobile industry has flourished like never before in recent years. This wonderful growth that the Indian automobile industry has witnessed is a result of one major factor, namely the improvement in the standard of living of the middle class and an increase in their disposable income. The Indian automobile sector had humble beginnings when the first car was produced. by Premier Automobile Limited and rolled out on Indian roads in 1949. For a long time, only three players dominated the Indian automobile industry. When Maruti Udyog Limited introduced its much awaited and sought after small car, MARUTI-800 in India in 1984, mass hysteria was created in the Indian market..