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Contents: Introduction History Overview Product & Service Segmentation Indian Automobiles Companies Foreign Automobiles Companies Market Characterises Sector Condition Key Competitors In Indian Market Scope Of Automobiles Sector In India Automobiles Job Opportunities Growth In Automobile Sector Employment In Automobile sector

Introduction:The Automobile sector is one of the largest & fastest growing sectors in the world. India manufactures over 17.5 million vehicles including two wheeled; four wheeled & exports about 2.3 millions every year. India is the world 2nd largest manufacturer of two wheelers with annual sale exceeding 8.5 million in 2009. Passenger cars & commercial vehicle sector in India is the 7th largest in the world with annual production more than 3.5 million units in 2010. According to recent reports, India is set to overtake Brazil to become the sixth largest passenger vehicle producer in the world, growing 16-18 per cent to sell around three million units in the course of 2011-12. In 2009, India emerged as Asia's fourth largest exporter of Passenger cars behind Japan, South Korea & Thailand. India were produced 40 million passenger vehicle & more than 3.7 million automotive vehicle in 2010 in Indian market & making the country the second fastest growing automobile market in the world.

History:The first automobile petrol engine was built by Karl Benz in 1885 in Mannheim, Germany. Benz was granted a patent for his automobile on 29 January 1886 & began the first production of automobiles in 1888, after Bertha Benz, his wife, had proved with the first long-distance trip in August 1888 that the horseless coach was absolutely suitable for daily use. In 1889, Gottlieb Daimler and Wilhelm Maybach in Stuttgart designed a vehicle from scratch to be an automobile, rather than a horse-drawn carriage fitted with an engine. They also are usually credited as inventors of the first motorcycle, the Daimler Reitwagen, in 1885. but Italy's Enrico Bernardi, in 1882, patented a 0.024 horsepower (17.9 W) 122 cc (7.4 cu in) one-cylinder petrol motor, fitting it into his son's tricycle, making it at least a candidate for first motorcycle; Bernardi enlarged the tricycle in 1892 to carry two adults.

Overview:The economy of India is one of the fastest growing economies and highly dependent on automobile. The automobile sector in India has witnessed rapid growth in the last couple of decades and in recent years has also attracted attention from around the world with some innovative products. There are plenty of job opportunities for qualified individuals and can select a career in the automobile

Product and service segmentation:Two wheelers: - Two wheelers are dominating in the Indian market. More than 75% of the vehicles

sold are two wheelers. Passenger vehicle: - Passenger vehicles are further categorised into passenger cars, utility vehicles and multi-purpose vehicles. All sedan, hatchback, station wagon and sports cars come under passenger

cars. Multi-purpose vehicles are designed for maximum interior room. Utility vehicles are designed for specific tasks. The passenger vehicle account for about 15% of the market in India.

Commercial Vehicle: - Commercial vehicles are categorised into heavy, medium and light. They

account for about 5% of the market.

Three wheelers: - Three wheelers are categorised into passenger carriers and goods carriers. Three

wheelers account for about 4% of the market in India.

Indian Automobiles Companies:Two Wheeler companies Hero Honda Ltd Bajaj Auto TVS

Passenger Vehicle Tata Motors Hindustan Motors ICML Mahindra & Mahindra Premier Automobiles Ltd

Commercial Vehicle Force Eicher AMW Tata Motors

Foreign Automobile Companies: BMW Fiat FORD General Motors Hyundai Honda

Market characteristics:Market Size: - After de-licensing in July 1991, the Indian Automobile sector has grown at a spectacular rate on an average of 17% for last few years. The sector has attained a turnover of USD 35.8 billion and an investment of USD 10.9 billion. The sector has provided direct and indirect employment to 13.1 million people. Automobile sector is currently contributing about 5% of the total GDP of India. Affordability: Movement in income and interest rates determine the affordability of new motor vehicles. Allowing unrestricted Foreign Direct Investment (FDI) led to increase in competition in the domestic market hence, making better vehicles available at affordable prices. Price of Petrol: Movement in oil prices also have an impact on demand for large cars in India. During periods of high fuel cost as experienced in 2007 and first half of 2008, demand for large cars declined in favour of smaller, more fuel efficient vehicles.

Sector Condition:Barriers to entry in this sector are high. The relatively high competition between established domestic companies and foreign companies. The automobile manufacturing sector is characterised by a high cyclical growth patterns, high fixed cost and break-even point levels, and an excessive number of participants. Barriers to entry into automobile manufacturing activity are formidable. Some of the barriers that need to be overcome by a new entrant include: the cost of developing high volume production facilities, in order to benefit from economies of scale; and the ability to gain access to technology of major operators,

Key Competitors in Indian market:Tata Motors Market Share: Commercial Vehicles 63.94%, Passenger Vehicles 16.45% Tata Motors Limited is Indias largest automobile company. Tata Motors is the first company from India's engineering sector to be listed in the New York Stock Exchange, has also emerged as an international automobile company. Maruti Suzuki India Market Share: Passenger Vehicles 46.07%

Maruti Suzuki India Limited is India's largest passenger car company. Hero Honda Motors Market Share: Two Wheelers 41.35% Hero Honda has been the largest two wheeler company in the world for eight consecutive years. Bajaj Auto Market Share: Two Wheelers 26.70%, Three Wheelers 58.60% Bajaj Auto is ranked as the world's fourth largest two and three wheeler manufacturer & countrys largest exporter of two- and three-wheelers.

Scope of Automobile sector in India:Today, India is well known as a potential market for new vehicle and jobs in the automobile sector are increasing. Several foreign companies have their investments in the Indian automobile sector. India is the market four wheels and two wheel manufacturers in the world. It is also the second largest tractor manufacturer. India is home to many Indian auto companies and international. Candidates who have obtained a Graduates degree are eligible for good jobs in these companies.

Automobile Jobs Opportunities:Many job opportunities are available to graduates. Some companies require IT specializations. Eligible candidates are selected by the companies and then trained properly. Considering he wide scope of the automobile sector, it is not surprising that the candidates more and more people are dreaming for a career in the automobile sector. Now, with so many foreign car companies like BMW, Volkswagen, Audi etc aimed at India as a base for car production, the possibilities of a career in automobile sector is increasing rapidly. The payoff in Automobile sector is very good.

Growth in Automobile Sector:-

At present the sector is enjoying a growth rate of 14-17% per annum, with domestic sales growth at 12.8%. The growth rate is predicted to double by 2015. The current growth rate indicates that by 2012 India will overtake Germany and Japan in sales volumes. Financing schemes have become an important factor in the growth of automobile sales. More and more financial schemes are coming up with easy instalment plans to lure the customers. Apart from domestic production, the industry is

consistently focusing on the automobile exports. The auto component segment is contributing a lot in the export arena. The liberalized policies of the government are now making the companies go for more and more exports. The automobile exports are increasing year by year Employment in Automobile sector:-

Investment is leading to the employment growth in the sector. With the emergence of new projects and introduction of technological advancements, the focus is more on the skilled and experienced human resource. The companies are looking for skilled and hard working people who can give their best to the organization.

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