Overview

The automobile industry today is the most lucrative industry. Due to the increase in

disposable income in both rural and urban sector and easy finance being provided by all the financial institutes, the automobile sales have increased.
Indian automobile industry has grown leaps and bounds since 1898, a time when a car

had touched the Indian streets for the first time.

At present it holds a promising ninth position in the entire world with being # 2 in Two

Wheelers and # 5 in commercial vehicles.

Withstanding a growth rate of 7% per annum and an annual production of more than 2

million units, it may not be an exaggeration to say that this industry in the coming years

will soon touch a figure of 10 million units per year.

It is expected that the Automobile Industry in India would be the 7th largest automobile

market within the year 2016.

Objective of the Study

The objective of this project is deeply analyzing our Indian Automobile Industry for investment

purpose by monitoring the growth rate and performance on the basis of historical data.
The main objectives of the Project study are: Detailed analysis of Automobile industry which is gearing towards international standards Analyze the impact of qualitative factors on industrys and companys prospects Application of various Technical Tools and Fundamental tools (like Financial and Non-financial

statements).
This project deals with a critical analysis of Automobile Industry-Global and Indian perspective

and the growth it has shown in past years. It also looks into the future of automotive industry.
The project also deals with the various phases of the automobile industry and also looks into the financial status of automobile companies.

Analysis of Automobile Industry in India

Over a period of more than two decades the Indian

Automobile industry has been driving its own growth through phases. With comparatively higher rate of economic growth rate index against that of great global powers, India has become a hub of domestic and exports business. The automobile sector has been contributing its share to the shining economic performance of India in the recent years. To understand this industry for the purpose of investment we need to analyse it by Fundamental Analysis. It Includes: a. Economy Analysis b. Industry Analysis c. Company Analysis

 Economic Analysis:

In absolute terms, India is 16th in the world in terms of nominal factory output. The service sector is growing rapidly in the past few years. This is the pie- chart showing contributions of different sectors in Indian economy. The per capita Income is near about Rs 38,000 reflecting improvement in the living standards of an average Indian.

 Industry Analysis:

Segmentation of Indian Automobile Industry

 Five Force Analysis:

 SWOT Analysis:

Conclusion
The Indian automotive industry has emerged as a 'sunrise

sector' in the Indian economy. India is emerging as one of the world's fastest growing passenger car markets and second largest two wheeler manufacturer. It is also home for the largest motor cycle manufacturer and fifth largest commercial vehicle manufacturer. India's automobile exports have grown consistently and reached $10.2 billion in 2012, with United Kingdom being India's largest export market followed by Italy, Germany, Netherlands and South Africa. India's automobile exports are expected to cross $12 billion by 2014.

Contd..

Contribution of auto sector to GDP (in %) Year 2006 2010 2016(Expected) Share in GDP (%) 5.20 7.20 10.40

Limitations of the Study

This study mainly depends on the current market

perception, but the market perception is changing time to time so the recommendation and suggestions are subject to revises based on the market changes.
Time Constraint Cost Constraint Inability of covering all the aspects related to the Indian

Automobile Industry due to its wide scope.