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Monday, 21 July 2008

The long-awaited reclassification of passenger cars has brought in a great deal of confusion between the car makers and the Society of Indian Automobile Manufacturers (SIAM).

Car makers are continually pushing for a better classification in terms of car length, engine displacement and horsepower but SIAM has only considered car length. SIAM reclassified car models on the basis of lengths.

Car makers are outraged because they feel that if the classification criteria for segmentation changes, it will directly affect the car market shares. This is mainly because if cars are classified based on length, Maruti 800 will lead the segment. Because, if reclassification is done on the basis of car length then Maruti 800 will be the only car to fall under the first segment that classifies cars of up to 3.4-metre as A1. This will definitely affect the market share positions.

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Wednesday, 30 April 2008

With Automobile Industry booming in India, Car designing course is getting popular with the youngster. Young designers are coming up with innovative designs. Now Indian culture is inspiring them. It is “the Sidi Saiyed ki Jali”, an well know mosque in Ahmedabad that inspired a NID (National Institute of Design) student to design a luxury car symbolising the monument. Another theme they took from Indian culture is “Navras”. These outstanding designs have given them the opportunity to pursue their internship in the renowned automobile design house, Pininfarina of Italy. They also won 'Luxury Car For India' competition hosted by designers associated with manufacturers like Ferrari, Ford, GM, Jaguar and Fiat.

Well, with these achievements the car designing seems to be another upcoming career option in India. If this trend continues, days are not far when we will see cars with contemporary designs rolling Indian roads.

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Tuesday, 29 April 2008

As counterfeits have a free hand to market their products despite efforts by manufacturers to maintain the difference, it is imperative that government steps in to stop this. The government, so far, has shown a laidback attitude. As the number of companies entering India increases, the government also needs to take quick action on this.

If India does not act fast, the problem could get compounded beyond repair. It may reach the scale of China’s piracy in electronic and auto parts. The individual car part buyers are in no stage to contain the menace, as most counterfeit parts look more original than OEM products themselves. Moreover, it is not possible by the companies to monitor every nook and corner of the country. Hence, it rests on the government to enact tough laws and implement them.

In a recent study by National Council of Applied Economic Research stated that counterfeit auto parts form a shocking 37 percent of the total component market in India. The

Counterfeits of OEM parts of all car manufacturers in India ranging from Maruti Suzuki to Mercedes-Benz are available in the market. The market size of counterfeits is valued at Rs 1,500 crore. This issue not only affects the original products but can also prove fatal to the car owners.

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Thursday, 17 April 2008

Tata Motors has done something that no car manufactures have ever done before in India. With the Jaguar takeover, Tata has given a new turning point to the Indian Automobile Industry. According to a section of UK press, Tata could now compete with the Mercedes, BMW, Audi and Nissan, the ultimate luxury statements, if it increases production of Jaguar and Land Rover.

The marketing would not be difficult as Jaguar and Land Rover are strong brands of style statement in UK, US and other developed economies. If the company decided to go for aggressive marketing and hike production volumes, then it would surely catapult Tata to the elite club easily.

But still we have to wait to see if other Indian company would go for such a strategy.

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Wednesday, 16 April 2008

Maruti seems to be going from strength to strength. The company has continued to maintain its lead in the Indian market despite of tough competition from competitors like Hyundai, Chevrolet and Honda. The company has innovated itself over number of years and has rightly identified the pulse of Indian consumer demands. It is gearing up its production capacity to meet the long list of demand.

With its plans to touch the 10 lakh cars per year in production, it will further grow in Indian Automobile Industry. The company has an impressive line of cars and still stands apart with the latest launch of Swift DZire.

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