Capitalstars |A view on Automobile Sector


India’s automobile industry is an industry which has steadily increased and the money invested in the shares of the companies of this industry has increased manifold. As we take the example of Maruti Suzuki or Bosch Limited or TVs Motors or even Hero Moto Corp.
One of the biggest reasons for the increase in automobile sector is the increase in spending capacity of the people. Today you will definitely see a motorcycle in any home. Motorcycle cycle is one of the basic necessity of today’s time.
If I talked about some major changes, then banning of BS-3 vehicles was a major change. At the time the Supreme Court ordered this, all the companies had sold their vehicles at a discounted price. Prolonged pressure in crude oil prices was also a major reason for the growth of the automobile industry, because the pressure on crude oil prices is considered good for tyre companies. Another change is in taxation, which is GST, it was a change that made the sector even stronger, contributing a lot to get the things organized properly.
The way in which the amount of pollution is increasing in the country, the future of vehicles running on diesel and petrol can be seen in danger, as well as the demand for electric vehicles are definitely going to be increased. Although closing down petrol and diesel vehicles is very difficult in a country like India, but we cannot deny that the trend of electric vehicles will definitely increase.
In the changing times of this industry, the company will get better as soon as it adopts to the changes quickly. Some other companies are likely to make the debut, Tesla Motors is one of the leading names in it. All the attention of Tesla Motors is only to the electric vehicles if the arrival of such companies is done in India then the competition between the companies can reach to a new peak and that would be better for consumers.
Large companies like Tata Motors, which have a large amount of profit which comes from abroad is focusing mainly on it that how to increase their market share in a country like India. Many new vehicles are being unveiled in this phase, not only Tata Motors, all other companies are also unveiling new vehicle which is increasing a stiff competition between the companies.
In India, a four-wheeled vehicle is considered as a status symbol. Therefore, the demand for both small cars and luxurious cars will always be there and the possibility of further growth cannot be neglected.
One and only thing which is required for the companies is to adapt to the changing scenario and move quickly to the next level because now this industry will care about only those which will be a fast mover not a first mover.

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