Economic Factors Affecting to Two Wheeler Industry Essay

The two-wheeler grocery in India is the biggest contributor to the political machinemobile industry with a size of Rs.100,000 million. The two-wheeler market in India comprises of 3 types of vehicles, namely motorcycles, scooters, and mopeds.Foreign collaborations assimilate been playing a major role in the growth of the Indian two-wheeler market, and most of them be Japanese firms. The modern two-wheeler firms in India have been manufacturing innovative categories of two wheelers much(prenominal) as Step Thrus and Scooterettes. These have been produced by combining two or more two-wheeler segments. Foreign firms have already taken initiatives to own their two-wheeler subsidiaries in India. Among the 3 segments of the Indian two wheeler market, major growth trends have been seen in the motorcycle segment over the destination four to five years. One good reason for such enlarge in demand for motorcycles is due to its resistance and balance even on bad road conditions.Most o f the rural areas in India do not have decent roads and hence the need for good, shock-resistant, and steady two-wheelers such as motorcycles had been felt. Some of the major players in the Indian motorcycles market are sub Honda CBZ, Bajaj Pulsar, TVS and Apache. Other brands include Splendor, Passion, Fiero, Victor, Star City, Boxer, CD Dawn, Karizma, Caliber, etc. Having classified advertisement the motorcycle brands into economy, executive, and bounty segments, Bajaj stands as the leader in the economy segment, Hero Honda leads in the executive segment, and there is a competition in the premium segment between Hero Honda and Bajaj. The following are the main factors that scratch two-wheeler sales in India Increase in credit and financing for auto vehicles Two-wheeler loans and financing has been on the rise.Increase in consumers salary due(p) to opportunities offered by multinationals the disposable incomes of salaried individuals have increase manifold.Constant petrol p rices Today, the government of India has been working on reducing subsidies on kerosene and diesel which will keep petrol prices at more or slight the same level.Delay in initiation of Mass Transport system of rules Probably a future threat to the two-wheeler market, the implementation of the mass fascinate system has been delayed. However, the two-wheeler market in India is a fast growing market due to its technological advancements in product manufacturing and emphasis on practice innovation.