INDUSTRY PROFILE

Automobile industry at Global level

The modern global automotive industry encompasses the principal manufacturers,
General Motors, Ford, Toyota, Honda, Volkswagen, and Daimler Chrylser, all of
which operate in a global competitive marketplace. The globalization of the
automotive industry has greatly accelerated during the last half of the 1990's due to
the construction of overseas facilities and establishment of mergers between giant
multinational automakers.
Industry specialists indicate that the origins in the expansion of foreign commerce in
the automobile industry date back to the technology transfer of Ford Motor
Company's mass-production model from the U.S. to Western Europe and Japan
following both World Wars I and II. The advancements in industrialization led to
significant increases in the growth and production of the Japanese and German
markets, in particular. The second important trend in industrial globalization was the
export of fuel efficient cars from Japan to the U.S. as a result of the oil embargo from
1973 to 1974. Figures from the International Organization of Motor Vehicle
Manufacturers show that the countries that manufactured the most vehicles were in
descending order - China, the U.S., Japan, German, and South Korea - with China's
manufacturing being about double that of the U.S. Sales figures indicate that while
registrations grew between 2005 and 2013, the growth by country was uneven. In
2009 sales in the U.S. hit their lowest point while in EU countries their lowest point
was and -though overall losses were offset by a doubling of sales in Asia generally,
and more specifically in China.
Increasing global trade has enabled the growth in world commercial distribution
systems, which has also expanded global competition amongst the automobile
manufacturers. Japanese automakers in particular, have instituted innovative
production methods by modifying the U.S. manufacturing model, as well as adapting
and utilizing technology to enhance production and increase product competition.

There are a number of trends that can be identified by examining the global
automotive market, which can be divided into the following factors:
Global Market Dynamics - The world's largest automobile manufacturers continue to
invest into production facilities in emerging markets in order to reduce production
costs. These emerging markets include Latin America, China, Malaysia and other
markets in Southeast Asia.
U.S. automakers, "The Big Three" (GM, Ford and Chrysler) have merged with, and in
some cases established commercial strategic partnerships with other European and
Japanese automobile manufacturers. Overall, there has been a trend by the world
automakers to expand in overseas markets.
Automobile industry
The automobiles sector is compartmentalized in four different sectors which are as
follows:
Two-wheelers which comprise of mopeds, scooters, motorcycles and electric
two-wheelers.
Passenger Vehicles which include passenger cars, utility vehicles and multipurpose vehicles
Commercial Vehicles that are light and medium-heavy vehicles
Three Wheelers that are passenger carriers and goods carriers.
The automobile industry is one of the key drivers that boost the economic growth of
the country. Since the de-licensing of the sector in 1991 and the subsequent opening
up of 100 percent FDI through automatic route, Indian automobile sector has come a
long way. Today, almost every global auto major has set up facilities in the country.
Austria based motorcycle manufacturer KTM, the established makers of Harley
Davidson from the US and Mahindra & Mahindra have set up manufacturing bases
in India. Furthermore, according to internal projections by Mercedes Benz

Cars, India is set to become Mercedes Benzs fastest-growing market worldwide

ahead of China, the US and Europe.
As per the data published by Department of Industrial Policy and Promotion (DIPP),
Ministry of Commerce, Government of India, the cumulative FDI inflows into the
Indian automobile industry during April 2000 to October 2013 was noted to be US$
9,079 million, which amounted to 4% of the total FDI inflows in terms of US $. The
production of compact superbikes is also expected to take place in India. The
country has a mass production base of 16 million two-wheelers and the several
global as well as Indian bike makers are looking forward to use it as an advantage in
order to roll out sports bikes in the 250 cc capacity.
The world standing for the Indian automobile sector, as per the Confederation of the
Indian industry is as follows:

Largest three-wheeler market

Second largest two-wheeler market
Tenth largest passenger car market
Fourth largest tractor market
Fifth largest commercial vehicle market
Fifth largest bus and truck segment

However, the year 2013-2014 has seen a decline in the industrys otherwise smoothrunning growth. High inflation, soaring interest rates, low consumer sentiment and
rising fuel prices along with economic slowdown are the major reason for the
downturn of the industry.
Except for the two-wheelers, all other segments in the industry have been weakening
which is a negative impact on the automakers and dealers who offered high
discounts in order to push sales. To match the decline in demand, automakers have
resorted to production cuts and lay-offs, due to which capacity utilization for most
automakers remains at a dismal level.
Despite the comprehensive market being under extreme burden, the luxury car
market has observed a robust double-digit hike during the year 2013-2014, as a
result of rewarding new launches at compelling lower price points. Further, with the
measured increases in the price of diesel, the overall market continues to shift

towards petrol-fuelled cars. This has lead to the growth in sales of the 'Mini' segment
of the PV market by of 5.5%

Factors determining the growth of the industry

Fuel economy and demand for greater fuel efficiency is a major factor that
affects consumer purchase decision that will bring leading companies across
two-wheeler and four-wheeler segment to focus on delivering performanceoriented products.
Sturdy legal and banking infrastructure
Increased affordability, heightened demand in the small car segment and the
surging income of the Indian population
India is the third largest investor base in the world
The Government technology modernization fund is concentrating on
establishing India as an auto-manufacturing hub.
Availability of inexpensive skilled workers
Industry is perusing to elevate sales by knocking on doors of women, youth,
rural and luxury segments
Market segmentation and product innovation

Employment Opportunities
There are a wide range of jobs available in the automobile industry. With the number
of vehicles available on the road today, the need and requirement for people who
can fix these machines is fast increasing. Careers like automobile technician, car or
bike mechanics are a great option. Becoming a diesel mechanic is also a significant

alternative. Diesel mechanics are responsible for repairing and servicing diesel
engines. As they are also required to repair engines of trucks and buses, other than
cars, they are provided with hefty wages.
If communication with people instead of repairing cars is what interests you, then you
have the opportunity of becoming a salesperson or sales manager in an automobile
company. Career opportunities in automobile design, paint specialists, job on the
assembly line and insurance of vehicles is also available.

Employment Trends
The Automotive Mission Plan for the period of 2006-2016 aims to make India emerge
as a global automative hub. The idea is to make India as the destination choice for
design and manufacture of automobiles and auto components, with outputs soaring
to reach US$ 145 billion which is basically accounting for more than 10% of the GDP.
This would also provide further employment to over 25 million people by 2016
making the automobile the sunrise sector of the economy.
According to the Confederation of Indian Industry, the automobile sector currently
employs over 80 lac people. An extension in production in the automobile industry is
forecasted, it is likely to rise to Rs. 600000 crore by 2016.
Future Trends in the Automobile Industry
As the auto-shows began in January 2014, the industry promised a blend of
technology and automotives. With the recession trend breaking its leashes form the
past two years, 2014 is expected to get back on track with the sales of automobiles
in the country.
Almost Self-governing cars are predicted to be on the streets by 2020
More than half the cars on the streets are going to be powered by diesel by
2020

 Industry watcher Gartner indicates that 30 percent of motorists want parking

info. The facility is likely to come up after glitches in the infrastructure catch
up.
High Performance Hybrid cars are likely to gain greater popularity among
consumers.

Automobile industry at national level

The Indian auto industry is one of the largest in the world. The industry accounts for 7.1 per
cent of the country's Gross Domestic Product (GDP). As of FY 2014-15, around 31 per cent
of small cars sold globally are manufactured in India. The Two Wheelers segment with 81 per
cent market share is the leader of the Indian Automobile market owing to a growing middle
class and a young population. Moreover, the growing interest of the companies in exploring
the rural markets further aided the growth of the sector. The overall Passenger Vehicle (PV)
segment has 13 per cent market share. India is also a prominent auto exporter and has strong
export growth expectations for the near future. In April-January 2016, exports of Commercial
Vehicles registered a growth of 18.36 per cent over April-January 2015. In addition, several
initiatives by the Government of India and the major automobile players in the Indian market
are expected to make India a leader in the Two Wheeler (2W) and Four Wheeler (4W) market
in the world by 2020.

Market Size

Sales of passenger vehicles increased by 11.04 per cent to 242,060 units in April 2016 driven
by demand for utility vehicles*. While sales of passenger cars went up by 1.87 per cent to
162,566 units in April 2016, those of utility vehicles grew by 43 per cent to 62,170 units.
Sales of commercial vehicles maintained its momentum on back of replacement demand and
grew by 17.36 per cent to 53,835 units. The two-wheeler industry also performed well. While
sales of scooters increased by 35.86 per cent to 468,368 units, the demand for motorcycles
shot up by a strong 16.24 per cent to 1,024,926 units.

Investments
In order to keep up with the growing demand, several auto makers have started investing
heavily in various segments of the industry during the last few months. The industry has
attracted Foreign Direct Investment (FDI) worth US$ 14.32 billion during the period April
2000 to December 2015, according to data released by Department of Industrial Policy and
Promotion (DIPP).
Some of the major investments and developments in the automobile sector in India are
as follows:
MV Agusta, the Italy-based premium motorcycle manufacturer, has entered India through an
exclusive partnership with Pune-based Kinetic group with the launch of three luxury bikes,
which will be sold through the Motoroyale chain in Pune.
Sweden-based electric vehicle maker Clean Motion plans to invest US$ 10 million in India
over the next three years in order to expand operations including setting up of an assembly
unit for its Zbee three-wheelers in the country.

Isuzu Motors, the Japan-based utility vehicle manufacturer, has inaugurated its greenfield
manufacturing unit in SriCity, Andhra Pradesh, at a cost of fcRs 3,000 crore (US$ 450.94
million).
Japanese two-wheeler manufacturer Honda Motorcycle and Scooter India (HMSI) has opened
its fourth and worlds largest scooter plant in Gujarat, set up to initially produce 600,000
scooters per annum to be scaled up to 1.2 million scooters per annum by mid-2016.
American car maker Ford has unveiled its iconic Ford Mustang in India and will make its
debut in second quarter of FY2016 within the price band of Rs 45 lakh (US$ 66,146) and Rs
50 lakh (US$ 73,496) in the Indian market.
Nissan Motor Co. Ltd is in discussion with Government of India to bring electric and hybrid
technologies to India as the government plans to reduce air pollution caused by vehicles.
Global auto major Ford plans to manufacture in India two families of engines by 2017, a 2.2
litre diesel engine codenamed Panther, and a 1.2 litre petrol engine codenamed Dragon,
which are expected to power 270,000 Ford vehicles globally.
The worlds largest air bag suppliers Autoliv Inc, Takata Corp, TRW Automotive Inc and
Toyoda Gosei Co are setting up plants and increasing capacity in India.
General Motors plans to invest US$ 1 billion in India by 2020, mainly to increase the
capacity at the Talegaon plant in Maharashtra from 130,000 units a year to 220,000 by 2025.
US-based car maker Chrysler has planned to invest Rs 3,500 crore (US$ 513.5 million) in
Maharashtra, to manufacture Jeep Grand Cherokee model.
Mercedes Benz has decided to manufacture the GLA entry SUV in India. The company has
doubled its India assembly capacity to 20,000 units per annum.
Germany-based luxury car maker Bayerische Motoren Werke AGs (BMW) local unit has
announced to procure components from seven India-based auto parts makers.
Mahindra Two Wheelers Limited (MTWL) acquired 51 per cent shares in France-based
Peugeot Motorcycles (PMTC).

Government Initiatives
The Government of India encourages foreign investment in the automobile sector and allows
100 per cent FDI under the automatic route.
Some of the major initiatives taken by the Government of India are:
Mr Nitin Gadkari, Minister of Road Transport, Highways & Shipping has announced plans to
set up a separate independent Department for Transport, comprising of experts from the
automobile sector to resolve issues such as those related to fuel technology, motor body
specifications and fuel emissions, apart from exports.
Government of India aims to make automobiles manufacturing the main driver of Make in
India initiative, as it expects passenger vehicles market to triple to 9.4 million units by 2026,
as highlighted in the Auto Mission Plan (AMP) 2016-26.
In the Union budget of 2015-16, the Government has announced to provide credit of Rs
850,000 crore (US$ 124.71 billion) to farmers, which is expected to boost the tractors
segment sales.
The Government plans to promote eco-friendly cars in the country i.e. CNG based vehicle,
hybrid vehicle, and electric vehicle and also made mandatory of 5 per cent ethanol blending
in petrol.
The government has formulated a Scheme for Faster Adoption and Manufacturing of Electric
and Hybrid Vehicles in India, under the National Electric Mobility Mission 2020 to
encourage the progressive induction of reliable, affordable and efficient electric and hybrid
vehicles in the country.
The Automobile Mission Plan (AMP) for the period 20062016, designed by the government
is aimed at accelerating and sustaining growth in this sector. Also, the well-established
Regulatory Framework under the Ministry of Shipping, Road Transport and Highways, plays
a part in providing a boost to this sector.

Road Ahead
Indias automotive industry is one of the most competitive in the world. It does not cover 100
per cent of technology or components required to make a car but it is giving a good 97 per
cent, as highlighted by Mr Vicent Cobee, Corporate Vice-President, Nissan Motors Datsun.
Leading auto maker Maruti Suzuki expects Indian passenger car market to reach four million
units by 2020, up from 1.97 million units in 2014-15.
The Indian automotive sector has the potential to generate up to US$ 300 billion in annual
revenue by 2026, create 65 million additional jobs and contribute over 12 per cent to Indias
Gross Domestic Product#.
Exchange Rate Used: INR 1 = US$ 0.0149 as on May16, 2016

Automobile industry at state Level

Several domestic and foreign auto manufacturers have either announced plans to
establish manufacturing plants in Gujarat or are considering it as a possible location.
Domestic companies that are considering to enter Gujarat, with the exception of
Maruti Suzuki, include Hero MotorCorp (formerly Hero Honda), Bajaj Auto and
Hindustan Aeronautics Ltd (HAL), a public sector company specialising in production
of aircraft and helicopters.
With Gujarat all set to become a global automotive hub, its obvious that component
manufacturers are betting big on the state, which is expected to attract an
investment of around Rs 10,000-15,000 crore from auto component suppliers alone
in the coming decade.

Speaking at the sidelines of the Automotive Component Manufacturers Association

of India (ACMA) buyer-seller meet here in Ahmedabad, Ramesh Suri, president,
ACMA said, "Gujarat has been able to attract significant automotive investments. As

the vehicle industry in India gradually picks up momentum, it is necessary for the
component industry to start preparing itself for the ensuing growth cycle."

Suri felt that given the investments lined up and already made by Original equipment
manufacturers (OEMs) including Tata Motors, Maruti Suzuki, Ford India, Hero
MotoCorp, Honda Motorcycle and Scooter India, General Motors etc., the overall
investment to be made by suppliers in Gujarat would touch Rs 10,000-15,000 crore
easily over the coming decade.

"Some suppliers are supplying the OEMs from their current manufacturing locations,
be it Pune, NCR or down south. However, as the demand picks up, vendors are
bound make investments in Gujarat. When the volumes are assured, parts suppliers
would definitely look at being close to the OEM," he explained.
Rough calculations show the Sanand-Hansalpur-Vithalapur belt is likely to have
installed annual car manufacturing capacity of 1.46 million vehicles and around three
million two-wheelers in the coming three to four years. With planned expansions in
place, the figure would touch 2.3 million vehicles annually in the next eight to 10
years.

On the other hand, Vinnie Mehta, secretary general of ACMA pointed out that high
land rates were prohibiting smaller parts vendors to set up base in Gujarat. ACMA
had a plan to set up a park for component vendors nearby an existing auto-cluster.
As Mehta said, land prices in the vicinity of the OEMs are as high as Rs 1.2 crore
and acre at places, and thus it is difficult for smaller vendors to buy land at such high
rates. The state government had shown three potential sites, 400 acres at Sanand
(near Ahmedabad), 300 acres at Hansalpur (near Mehsana) and 150 acres at Halol
(near Vadodara) for setting up component parks, not much movement has taken
place in the project.
He, however, also said that once Gujarat picks up more pace as a major automotive
manufacturing hub, it would be a welcome step from the state government, if clusters

could be developed which have ready infrastructure for smaller players. "Some of the
benefits related to land deals to bigger projects could be extended to smaller players
as well. May be it can happen in a cluster model, where the area would have basic
infrastructure like roads, power, water lines etc, and the rates of the plots would be
affordable to the SMEs," he explained.

http://www.ibef.org/industry/india-automobiles.aspx

COMPANY PROFILE
ABOUT DSK MOTOWHEELS
DSK Group is a leading and diversified business conglomerate in India with multi core
turnover. The group has diverse business Verticals like construction, Automobiles,
Information Technology, Education and High-end Professional Courses, Pharmaceuticals,
Hospitality, Tours & Travels, Banking & High- End Dairy Solutions, International film
production, Digital Products, Investments and Infrastructure, Video Games. The DSK Group
is renowned as one of the most ethical and successful groups based in Maharashtra.
Established in 2012, DSK Motowheels, a part of the DSK Group forayed into the growing
automobile sector by entering the niche segment of powerful and aspirational bikes.
Taking forward the companys rich legacy of dynamic entrepreneurship, Mr. Shirish
Kulkarni,Chairman DSK Motowheels, spearheads the brands operations in India with the
primary objective of providing a world class super biking experience. With a CKD plant in
Maharashtra, the brand enjoys the status of having the strongest & most well entrenched
superbike network in India. DSK Motowheels is known for its high-end biking experience,
extended product line, technology and quality. DSK Motowheels also prides itself in
providing the best customer centric service and aftersales support in Indian Superbike
Market.

HISTORY OF DSK BENELLI

1911 THEY WERE SIX BROTHERS GEARED UP TO START UP

BUSINESS IN THE SPRING OF 1911.
Six brothers in whom an astute, persevering mother believed wholeheartedly: Giuseppe,
Giovanni, Filippo, Francesco, Domenico and Antonio Benelli. The Benelli brothers dream
was to build motorcycles. Eight years later, in 1919, their first engine became a reality: a 75cc
two stroke that when applied to the front fork of a bicycle, failed to give the hoped-for results

1920 IN DECEMBER OF 1921, BENELLI RELEASED THEIR FIRST

REAL MOTORCYCLE, THE VELOMOTORE,
A 98cc two-stroke lightweight produced in two models, touring and sport (125cc), followed
by a 147cc version in 1923. It was on a revved up version of that motorcycle that Tonino
Benelli started to rack up the victories that would make the Pesaro producer a name across
Europe. In 1926, Giuseppe Benelli designed a new motorcycle with a 175cc four-stroke
engine, overhead camshaft commanded by an original four gear train and performance
identical or superior to higher displacement motorcycles. In all, this combination would lead
to the innumerable victories of Tonino Benelli, Italian Champion in 1927, 1928, 1930 and
1931.

1930 AN INCREASED PRODUCTION AND COMMERCIAL SUCCESS THE

175 WAS BUILT IN SEVERAL VERSIONS UPTO 1934,
when Benelli released a 500 followed by a 250, both four-strokes made it necessary to
expand the factory, and in 1932 the Benelli brothers bought the premises of the Molaroni
sawmill on Viale Principe Amedeo, now Viale Mameli. In 1934, two new racing bikes were
introduced, a 250 twin cam and a 500.

1940 IN 1940, BENELLI BROUGHT OUT A 500 WITH SIDE VALVES AND A
FANTASTIC RACING BIKE
An in-line four-cylinder facing towards the direction of the motion with double overhead
camshaft and supercharger that would never compete on the track but the outbreak of the
war forced the company to produce solely military models. The Pesaro manufacturer was at
its apex, with about 800 employees in the factory, but the Second World War took a heavy
toll, destroying the site. Allied bombings and plundering by the Germans reduced the large
factory into a pile of rubble and empty sheds. The Benelli brothers did not lose heart.
Recovering machinery and equipment, their first commissions were to convert 1,000 military
motorcycles, primarily British, left on allied battlefields into civil motorcycles. 1947 was also
the year Benelli resumed racing.
1948 was an important year for the company. Benelli signed on the talented Romagnolo rider
Dario Ambrosini and on October 14th the Benelli brothers announced their decision to restart
motorcycle production.

1950 THE SUCCESSES OF THE REVITALISED BENELLI CULMINATED IN

1950 IN AMBROSINIS VICTORY IN THE 250 WORLD CHAMPIONSHIPS.
At the end of the 1940s Giuseppe Benelli left the family company due to irreconcilable
disagreement with his brothers and went on to design and produce Motobi motorcycles
featuring the classic small and medium displacement two and four stroke engine with eggshaped design. It was both a commercial success and a winner on the track with over 1,000
victories in the series derived races in the fifties and sixties.
Benellis production proceeded with the 1951 release of the Leoncino. Sales were a
resounding success, assisted by the victory in 1953 of the first Motogiro dItalia by Bologna
rider Leopoldo Tartarini.

1960 IN 1961, THE PESARO MOTORCYCLE MAKER CELEBRATED ITS

FIRST FIFTY YEARS. THE FOLLOWING YEAR, TO FACE THE DOWNTURN
AFFECTING THE MOTORCYCLE INDUSTRY, THE TWO MARQUES BENELLI
AND MOTOBI MERGED.
An epic set of years followed with Benelli clinching race after race, first with Grassetti, then
with Provini and Pasolini on the 250cc four-cylinders, until claiming the second world title in
1969 with Australian rider Kelvin Carruthers. In the 1960s a wide range of models
characterised the Benelli-Motobi production: from mopeds to the Tornado, a maxi 650cc
twin-cylinder that was Benellis last original creation.

1970 IN 1972,BENELLI WAS ACQUIRED BY THE ARGENTINE

ENTREPRENEUR ALEJANDRO DE TOMASO.

The new owner resurrected and expanded the range of models, presenting a series of multicylinder motorcycles with varying displacements, right through to the prestigious 750cc sixcylinder the first series production motorcycle with six cylinders available on the market
in addition to building a new and modern production plant

1980 COMPETITION FROM JAPANESE MAKERS WAS FIERCE AND THEIR

PRODUCTS MORE TECHNICALLY ADVANCED. DECLINE SET IN, SLOWLY
BUT INESCAPABLY.
By 1988, Benelli was on its knees. Coming to the rescue of the celebrated marque was Pesaro
manufacturer Giancarlo Selci, owner of the Biesse Group, who took over Benelli on October
23rd 1989. With a fresh start, production focused on the moped market with models Cos,
Devil and Scooty. For Benelli, the skies seemed to have cleared, but after the initial euphoria,
the future once again looked uncertain

1990 JUMPING ON THE BENELLI SADDLE IN 1995 WAS THE MERLONI

GROUP BASED IN FABRIANO, WHICH ACQUIRED THE MAJORITY STAKE OF
THE HISTORIC MARQUE.
Andrea Merloni, son of Vittorio, was tapped to take the reins of the new company and its
revival started with an aggressively styled scooter, the 491. Ambitious projects were put on
the drawing board, and after several models of scooters, the maxi-sized motorcycles hit the
market, including the Tornado, a 900 cc three-cylinder that even entered the track to race in
the Superbike championship, and the TnT, a 1130cc three-cylinder. Yet again, however, the
good times faded and Benelli found itself in a crisis.

2002-2014 IN DECEMBER 2005, BENELLI BECAME THE PROPERTY OF

THE Q.J. GROUP.
Winner of the motorcycling industry award as exporter of the year, Quianjiang is a
corporation headquartered in Wenling, where 14,000 workers annually produce over 1.2
million two-wheeled vehicles a year, and over 2 million engines, in an ultra modern factory

the size of a city. 670,000 sq. m of covered surface are utilised for production, which is
supplied with sophisticated numeric control machines for machining of components imported
from Germany, Italy and the U.S. Besides the main production of motorcycles and scooters,
the company, which possesses a capital of over $750 million and is listed on the Chinese
Stock Exchange, has also produced quads, electric bicycles, lawn mowers, golf carts,
generators, pumps and other lawn and garden equipment since 1999. Approximately 20% of
production is designated for export, the U.S. and Europe included. Quianjiang also prioritises
quality and in 1997 received the international certification ISO 9001.With new capital
flowing in and a synergy established between Italy and China, Benelli Q.J. is now working on
numerous projects that should give a boost to the Pesaro producer on the Italian and
international markets.

After successfully establishing the brand 'DSK Hyosung' in India, In 2014, DSK Motowheels
tied up with the legendary Italian brand 'Benelli', which was established in 1911, backed up
by 104 years of racing heritage and lineage.
DSK Motowheels tied up with this legendary brand in August 2014, after which DSK Benelli
launched five legendary Italian superbikes on 19th March 2015 that encompass the TNT 300
In- line two cylinder 300cc engine, TNT 600i - In-line four cylinder 600cc engine, TNT 600
GT - In-line four cylinder 600cc engine, TNT 899 - In-line, three cylinder 898cc engine and
TNT R - In-line, three cylinder 1131cc engine.
The Indo-Italian tie-up between DSK Motowheels and Benelli, now paves the way for a highend biking experience through Benellis extensive bike range, giving Indian bikers their ticket
to the club of thoroughbred motorcycling aristocracy. DSK Motowheels plays a pivotal role
in assembling and selling Benelli bikes across the country and supporting them with a backup
of service and spares.
Today DSK Benelli has a strong footprint across India, with dealership setups in Pune,
Mumbai, Bengaluru, Chennai, Ahmedabad, Delhi, Hyderabad, Kolkata and Goa. These will
be followed by other Tier 2 and Tier 3 cities
http://dskgroup.co.in/dsk_benelli.php

LITERATURE REVIEW
The report of (FICCI-2007) specified the overview of automotive industry of India and
explained the added advantages of automobile industry in India. According to this article
India has high potential of automobile industry, which contributes 4%GDP in Indian
economy. Indian automobile industry offers different types of automobiles such as cars,
scooters, bikes, busses, trucks, jeeps, tractors and all types of two wheelers, three wheelers as
well as four wheelers. Indian automobile industry includes nearly 500 huge firms as well as
1000 small scare registered firms that are offering automobile services to the customers. India
is having huge benefits because of managing automobile industries as its major sector and it
is getting many technological benefits, cost and manpower advantages etc.
The Auto Ancillary Industry is the world famous R&D test center in India for automobile
verifications that can be considered as one of the competitive advantage to Indian automobile
industry. According to the World automobile statistics, India is the fast growing market sector
for cars in the year 2004 and it is the second largest two wheeler market sector in the world
and third largest three wheeler dealer in the world. According to this statistics India is the
fourth largest market, which is having high tractor sales in the world.Research work is
required in order to specify the detailed statistics on these aspects that reveals the standard of
Indian automobile industry in the world.
According to the report of KPM (2010) Indian automobile industry is a developed industry
that is having high opportunities when we compare among the others industries. Indian
market is an open door for many opportunities and it is having wide range of employment
opportunities. Because of presence of a higher population the work prospects are also high
which is allowing Indian customers to depend on vehicles to manage their daily activities.
These reasons lead to huge demand for automobile vehicles in India and for this reason many
automobile companies are offering wide range of vehicles according to customer preferences.
This article even explained the significant information on automobile sector of India and even
specified the information on growth and development of Indian automobile industry. The
information on short term and long term sectors of Indian automobile industries are explained

clearly.The future work is required in order to give a clear idea on developmental factors that
lead to development of Indian auto industry.The significant information on Indian automobile
industry is described in this article, which is significant aspect for research process.
http://1000projects.org/literature-review-on-automotive-industry.html
MIT International Journal of Mechanical Engineering, Vol. 5, No. 1,
January 2015, pp. 30-36 30 ISSN 2230-7680 MIT Publications

The automotive industry is at the core of Indias manufacturing economy. India is positioned
to become one of the worlds most attractive automotive markets for both manufacturers and
consumers. The resulting benefits to societyin economic growth, increased jobs, and
stability for families employed by the automotive industryare considerable. All in all, India
is set to become one of the biggest automobile industry in coming time
Biswajit Mahanty and Virupaxi Bagodi (2007) More than 55 million two-wheelers are
moving on Indian roads. Accordingly, two-wheeler service sector should have generated
revenue amounting to INR 100,000 million per year, but in reality, this has not been realised
in the organised service sector, the Indian two-wheeler service industry has not considered
servicing as a line of business and providing conveniently reliable services is most important
in two-wheeler services in India to capture the market.
Biswajit Mahanty and Virupaxi Bagodi (2008) It is an era of customer delight for the two
wheeler industry and the conventional measures implemented by the service organizations
tend to be inadequate to attract customers persistently.
Gordon Fullerton (2006), Putting relationship in CRM, that JEEP, a division of Daimler
Chrysler Automobile Company, has served a classic example of CRM program that provides
a considerable value to both the customers and the firm by developing a program exclusively
for jeep owners and fostered a community that is highly effectively committed to the product,
the brand and the customers. Kevin Keller(2012) Caterpillar has become a leading firm by
maximizing the total customer value with the help of effective CRM , best after sales service
in the industry and better trained dealer. This allows the firm to command a premium price of
10% to 20% higher than competitors such as Volvo, Komatsu etc.

Michael Cusumano, Steve Kahl and Fernaando Suarez (2008) in their research paper A
theory of services in product industries, has concluded that in many product oriented
industries, services have become increasingly important. In case of automobiles, many
automakers generate the vast majority of their profits from a service activity closely tied to
their product activity. The automobile industry overall generates a large portion of its profits
from other product-related service activities such as insurance and repairs. The authors
argued that despite the seeming importance of services, there is not much theory to help
researchers or practitioners explain the conditions under which services matter in product
industries. The general view that emergesfrom the services literature is that services tend to
become important for manufacturing firms once their industries reach a mature stage.
Mona J Fitzsimmons (2010) has concluded that the profitability of automobile
manufacturers depends on exploiting value added services for instance automobile
manufacturers have discovered that financing and after sales service can achieve significant
profits.
R K Garg (2011) CRM requires a seamless, single view of the customer with consistent
cross-channel interaction models and it is recommend that companies bundle all internal
CRM strategies into one comprehensive multi-channel strategy. More over if the two wheeler
manufacturer integrate CRM with SCM, then product design and production planning can be
aligned with the customer information available, to increase customer loyalty.
S.Saravan, N Panchanathan and S Pragadeeswaran (2009) concluded in their research
paper Markets and Consumers- Consumer Behavior Towards Showroom Services of
TwoWheeler with reference to Cuddalore District that students and employees are more
satisfied about showroom service and age of consumer is an important factor while choosing
the brand of bike and all the consumers give importance all factors relating to buying a
vehicle.
V.G. Ramakrishnan (2003) The two-wheeler market that has seen an explosive rise in sales
over the last few years which created an opportunity for various companies to enter the after
sales business of two wheeler, Castrol, a company well known for its lubricants, has entered
into the motorcycle servicing business with the roll out of its first workshop 'Castrol
PrimaZona' and have plans to have pan India presence.

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