1. Automobile Industry
Name- Debdoot Sarkar
Roll no.- 110 (BETA)
New Delhi Institute of Management

2. AUTOMOBILE HISTORY & INDIA
AUTOMOBILE INDUSTRY 2
GREEK Word – (Autos-Self) ; (Motivus-Motion) ; Self Powered Vehicle
• 1769- Nicolas J.Cugnot- French engineer- steam powered vehicle
• 1806- Fuel Gas Vehicle- Internal Combustion
• 1838- Robert Davidson – 1st Electric Vehicle
• 1888- Karl Benz – 1st license auto maker
Indian History
• 1897- 2 brother’s company- Mahindra Jeep CJ-3A
• 1901- Jamshedji Tata
• 1945- Tata Motors
• 1981- Maruti Suzuki
• 1994- Mercedes Benz
• 1996- Hyundai

3. DETERMINANTS & HIGHLIGHTS
Low price and healthy competition
Exchange rate and affordability
Product innovation
Demographics and infrastructure
Union budget
2nd largest 2-wheeler/4th largest Commercial/7th largest passenger-car market
Revenue and employment (13mil.)
7% of industrial output
AUTOMOBILE INDUSTRY 3

4. Current scenario:
AUTOMOBILE INDUSTRY 4
 23.37 million vehicles produced yearly
 4th Largest auto exporter in Asia
 2nd largest market after China
 Tata Motors- commercial vehicles- market share 64%
 Maruti Suzuki- passenger cars- market share 47%
 Valuation of $140 billion with 35billion in export
 11% contribution towards GDP
 Massive growth rate @19%
 31% globally sold hatches produced in INDIA

5. AUTOMOBILE INDUSTRY 5

6. AUTOMOBILE INDUSTRY 6

7. COMPETITORS
AUTOMOBILE INDUSTRY 7

8. MAJOR INVESTMENTS
• MV AUGUSTA & KINETIC
• CLEAN MOTION BATTERY CAR (10mil. US$)
• ISUZU - Andhra Pradesh (3000CR. INR)
• FORD MUSTANG
• GENERAL MOTORS (1bil. USD)
• CHRYSLER (3500 CR. INR) JEEP CHEROKEE
• MAHINDRA ACQUIRED 51% of PEUGEOT
• BMW & 7 INDIAN AUTO PARTS MAKER
• MERCEDES –GLA CLASS
AUTOMOBILE INDUSTRY 8

9. Top 10 Export destination:
1 United States 1.2 billion 8.4%
2 Mexico $1 billion 6.9%
3 South Africa $888.8 million 6.1%
4 United Kingdom $637.4 million 4.4%
5 Sri Lanka $596.9 million 4.1%
6 Bangladesh $592.1 million 4.1%
7 Turkey $580.4 million 4%
8 Nigeria $546.8 million 3.8%
9 United Arab Emirates $433.6 million 3%
10 Colombia $428.9 million 3%
AUTOMOBILE INDUSTRY 9

10. SWOT ANALYSIS
OPPORTUNITY
• EMPLOYMENT
• FOREIGN COLLABORATION
• CUT IN EXCISE DUTY
• ROADWAYS & STANDARD OF LIVING
STRENGTHS
• LARGE DOMESTIC MARKET
• LABOUR COST ADVANTAGE
• GOVERNMENT INCENTIVES
• INCREASED EXPORT
THREATS
• TECHNOLOGY
• IMPORT TARIFF
• SMALL CARS FAIL INTERNATIONAL STD.
• POLITICAL INSTABILITY
WEAKNESS
• LOW PRODUCTIVITY
• COST OF OVERHEADS
• LOW INVESTMENT IN R&D
• LOW COST VEHICLES
AUTOMOBILE INDUSTRY 10

11. CASE STUDY- ROYAL ENFIELD
AUTOMOBILE INDUSTRY 11