Automobile Industry

In india

ANKIT BANSAL
MBA HONS(PREVIOUS)
Roll No. 29
 Introduction
Automotive = Automobile + Auto Components 

Automobile - all types of

commercial/passenger vehicles including 2/3/4
wheelers

Auto components are the parts used to

manufacture the an automobile
 Birth of Automobiles
 Horses had dreams of them since time immemorial, but it was only in

the 18th century that the first horseless carriage actually hit the roads.
Seeds of this idea actually originated only through horses which
intended them to invent HORSELESS CARRIAGES!
 The History of the automobile actually began about 4,000

years ago when the first wheel was used for transportation in India.
 Carl Benz and Gotttlieb Daimler (both Germans) for their efforts laid the

foundation of the great motor industry as we know it today. First, Carl

Benz invented the petrol engine in 1885 and a year later Daimler made
a car driven by motor of his own design and the rest is History.
 History
Indian automobile industry has grown leaps and
bounds since 1898.

The automobile industry in India — the ninth largest

in the world with an annual production
of over 2.3 million units in 2008 — is expected
to become one of the major global automotive
industries in the coming years.
Automobile Companies in India
Ford Motor Company
Hyundai Motors
Mahindra & Mahindra Ltd.
Hero Honda
Bajaj
TVS
Ashok Leyland
General Motors – Chevrolet
Mercedes Benz
Ferrari
Automobiles is a broad area where it has
been divided into the following categories:
Two-Wheelers
Motor-cycles.
Scooters.
Passenger – Cars.
Three-Wheelers.
Commercial Vehicles
Light-commercial vehicles.
Heavy-commercial vehicles.
 CURRENT SCENARIO
With the latest available data Indian Automobile
Industry is expected to grow at 9%-10% in near future.
It is assumed that in coming festive season to
meet demand, carmakers going to produce
70000units/month more over the average
1.3lac/month with help of 5000 new hands.
 INDIAN AUTOMOBILE INDUSTRY
AT GLOBAL LEVEL
India ranks 1st in the global two-wheeler market
India is the 4th biggest commercial vehicle
market in the world
India ranks 11th in the international passenger
car market
India ranks 5th pertaining to the number of bus
and truck sold in the world
India is the second largest tractor manufacturer in
the world.
 STRENGTHS

Large domestic market

Sustainable labor cost advantage
Competitive auto component vendor base
Government incentives for manufacturing plants
Strong engineering skills in design etc
 WEAKNESS

Low labor productivity

High interest costs and high overheads make
the production uncompetitive
Various forms of taxes push up the cost of
production
Low investment in Research and Development
Infrastructure bottleneck
OPPURTUNITIES

 Commercial vehicles: SC ban on overloading

 Increase in the income level
 Cut in excise duties
 Rising rural demand
 THREATS
Rising input costs
Rising interest rates
Cut throat competition
Statistics:
In 2008, more than 70 million motor vehicles, including

cars and commercial vehicles were produced world wide.

Around the world, there were about 806 million

automotives on the road and they burn over 260 billion

gallons of gasoline and fuel yearly.
Top-10 World’s best Automobiles
Ferrari
Ford
BMW
Mercedes
Chevrolet
Volkswagen
Porsche
Rolls-Royce
Renault
Land Rover
 Henry Ford, c. 1919

Net  worth- $188.1 billion, according

to Wealthy historical figures 2008,
Based on information from Forbes –
February 2008.
Ford Taurus
Mahindra & Mahindra Ltd:
 Mahindra & Mahindra Limited is part of the Mahindra Group, an

automotive, farm equipment, financial services, trade and logistics,

automotive components, after-market, IT and infrastructure The company
was set up in 1945 as -
 Mahindra & Mohammed. Later, after the partition of India, Ghulam

Muhammad returned to Pakistan and became that nation's first finance

minister. Hence, the name was changed from Mahindra & Mohammed to
Mahindra & Mahindra in 1948.
Mahindra Scorpio
Hero Honda Motors Ltd.
 Hero Honda Motors Limited, based in Delhi, India is a joint venture between

the Hero Group of India and Honda of Japan. It has been referred to as the
world's biggest manufacturer of 2-wheeled motorized vehicles
 The company's most popular model is the Hero Honda's Splendor, which is the

world's largest-selling motorcycle, selling more than one million units per year.
 “Hero” is the brand name used by the Munjal brothers for their flagship

company Hero Cycles Ltd. A joint venture between the Hero Group and Honda
Motor Company was established in 1984 as the Hero Honda company.
 Brijmohan Lall Munjal

Net worth $ 1.2 billion [2]

 Rahul Bajaj

Rahul Bajaj, Chairman of Bajaj Auto

Net worth ▲ US$1.1 billion
(as of May 2008
Bajaj Auto:
 Bajaj Auto is a major Indian automobile manufacturer. It is India's largest

and the world's 4th largest two- and three-wheeler maker.. Bajaj Auto makes
and exports motor scooters, motorcycles and the auto rickshaw.
 The company is headed by Rahul Bajaj

 Bajaj Auto came into existence on November 29, 1945 as M/s Bachraj

Trading Corporation Private Limited. It started off by selling imported two-

and three-wheelers in India. In 1959, it obtained license from the
Government of India to manufacture two- and three-wheelers
TVS Motors:
 TV Sundaram Iyengar and Sons Limited (TVSs) is the holding company for
the TVS Group of companies engaged in the manufacturing of almost all kinds
of automotive components, best two wheelers and a few other industrial
products. They are also into the financial services sector. The turnover of the
entire group was close to $2 billion in 2003.
 TVS was founded by T. V. Sundaram Iyengar in 1911.

 It is the only automotive manufacturer in India to get the prestigious Deming

Prize.
 The TVS group of companies is mainly situated in Padi, Tamil Nadu, in the
outskirts of Chennai (formerly Madras).
Ashok Leyland:
 Ashok Leyland is a commercial vehicle manufacturing company based in Chennai,
India. Founded in 1948, the company is one of India's leading manufacturers of
commercial vehicles, such as trucks and buses, as well as emergency and military
vehicles.
 The joint venture announced with Nissan Motors of Japan would improve its presence
in the Light Commercial Vehicle (LCV) segment
William Durrant
 Chevrolet is a brand of automobile produced by General Motors Company (GM).

Founded by Louis Chevrolet in 1911, Chevrolet was acquired by General Motors in

1917.
 Chevrolet is among the newest brands in India launched by GM's India operations.

Until June 6, 2003 (the official birthday of Chevrolet), GM India (which was
originally a joint venture with Hindustan Motors)
Mercedes Benz:
Mercedes-Benz is a German manufacturer of automobiles, buses,
coaches, and trucks. It is currently a division of the parent
company, Daimler AG (formerly DaimlerChrysler

AG), after previously being owned by Daimler-Benz. Mercedes-

Benz has its origins in Karl Benz's creation of the first gasoline-
powered automobile in January 1886, and by Gottlieb Daimler
and engineer Wilhelm Maybach's conversion of a carriage by the
addition of a petrol engine the same year.
 Karl Benz

Karl Benz
Personal information
Name Karl Benz
Nationality German
Ferrari:
 Ferrari S.p.A. is an Italian sports car manufacturer based in Maranello,

Italy. Founded by Enzo Ferrari in 1928 as Scuderia Ferrari,.

Enzo Ferrari

Enzo Ferrari (left) and Ilario Bandini

 Conclusion:
 Indian Automobile Industry is in the growth phase
and the expected growth rate is 9-10% for FY2009-10
 Indian Automobile has a lot of scope for both two
wheelers and four wheelers due to development in
infrastructure of the country
 The growth rate of Indian Automobile is so fast that
by 2016 Indian Industry will be world 7 largest
manufacturer in all sections
 Being a developing economy there is lot of scope for
growth
 BIBLIOGRAPHY
www.google.co.in
 Wikipedia.com
Economic Times