indian Automobile : effect of globalization
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Globalization has significantly changed the environment of the Indian automobile industry over the last 20 years. Indian car brands have transitioned from domestic manufacturers like Hindustan and Premier to international brands like Mercedes. Major changes include Korean companies like Suzuki and Hyundai establishing joint ventures with Indian partners in the 1980s. The market further liberalized in 1991, attracting more foreign manufacturers and increasing competition. Indian companies were able to take advantage of lower production costs. Exports began in 1987 and have increased substantially, with India now among the top five global manufacturers and exporters of automobiles. Chennai has emerged as a major automobile hub in India.
indian Automobile : effect of globalization
- 1. Assignment no.1 Submitted by: Vishal Gupta DM15166 How globalization has changed the environment of the Indian Automobile industry in the last 20 years Automobile sector has seen vast advancements in India during last 20 years of Globalization era. Indian Four wheelers has moved from Hindustan & Premier to Mercedes. Latest technologies have been incorporated to this sector. Some of the major changes in the Environment of Indian automobile industry are listed below: In 1982 some Korean giants like Suzuki, Hyundai and Toyota were allowed to move to India but in collaboration to some Indian companies. Maruti Suzuki was the first. Thus first time Indian Automobile companies were experiencing the Joint ventures. In 1991 India liberalize their automobile market. And other offshoots MNCs came to India. High competition was experienced. In India companies found cheap labor and were looking forward to increase the manufacturing here. In1987 Maruti Suzuki started the first export of automobiles to Hungry. In India in 1990’s w hen large competition w as seen the market w as also growing up with different products and large demand. I n 2000’s the major giants of the w orld w ere ready to mov e to I ndia and provide Indians a better service and a better competition to the existing Indian JVs. In tune with international standards to reduce vehicular pollution, the central government unveiled the standards titled 'India 2000' in 2000 with later upgraded guidelines as 'Bharat Stage'. New Advanced technology has been incorporated in India which attracts even the world leaders with the effectiveness and profitability associated. Even some years back the CEO of Hyundai fly his full team of managers to Chennai Plant in India to make them learn the effective managerial skills Chennai is becoming the I ndia’s Automobile I ndustry Hub w ith the largest and advanced ports. The export of automobiles has been increased to a great extent and India is now the top five major manufacturers and exporters of the Automobiles.