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A critical evaluation of the economics of Indian automobile industry

Author

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  • Jakhotiya, Girish

Abstract

It is a well-known fact that India is emerging as an ‘automobile hub’ for the entire global economy on account of its large pool of talented automobile designers and cost competitive workforce. The present rate of growth in India’s GDP is more than that of China. This promising growth story is also partially on account of robust growth in India’s automobile industry. Almost all the global automobile manufacturers are now directly and indirectly associated with Indian economy for a sustainable business. Yet, there are quite a few gaps in the overall economics of Indian automobile industry. This paper attempts to present these gaps with micro analysis of each aspect impacting the future journey of this most value-adding industry. The paper also attempts to present a few original ideas essential for strengthening the economics of Indian automobile industry. The coverage of this paper comprises of an inquiry into ten different dimensions of the present state of affairs of the Indian automobile industry. It also explores a possible analysis of the potentiality of this industry to act as a growth engine for India’s sustainable economic prosperity. Virtually India also should prove to be a growth engine to push the global economy to its normalcy during the present difficult days.

Suggested Citation

  • Jakhotiya, Girish, 2019. "A critical evaluation of the economics of Indian automobile industry," MPRA Paper 92080, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:92080
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    File URL: https://mpra.ub.uni-muenchen.de/92080/1/MPRA_paper_92080.pdf
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    More about this item

    Keywords

    Indian automobile industry; economics of automobile industry; growth engine; global automobile market; automobile;
    All these keywords.

    JEL classification:

    • L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment; Related Parts and Equipment
    • L92 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Railroads and Other Surface Transportation

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