Car manufacturers in India are on a roll. We have witnessed record sales in the past few months with small cars leading the charge. The Indian consumer is on a buying spree, which is surprising considering we are just out of the woods of an economic slowdown. Maybe it’s the government stimulus to boost consumption that’s working.

Both new and old automobile companies are launching new models to lure the Indian consumer to their stables. The following articles shed some light on the strategies followed by some companies to gain market share in India.

Article 1

Article 2

Identify the different car segments in the Indian car market. Also look at the SIAM website.  (3 Marks)

How big is the car market in India? (2 Marks)

Analyse the benefits to car companies of segmenting their markets? (6 marks)

Discuss the benefits of companies focusing on one particular segment vis a vis being present in all different segments. (6 marks)

Draw up a SWOT analysis of the Indian rural car market. (8 marks)