Effect of Tata Nano on Indian Car industry
Finally, Tata’s ambitious people’s small car “Nano” is going to launch on 23rd March and there are good chances that this car will definitely change our thinking towards cars. Today, in India car are still believed as an object of luxury and a small portion of our population have access to them. However, this small car from Tata can really change our thinking and perception about ownership of cars. So far, there exist a big price difference between a two wheeler and a car in India. People can easily buy a good two wheeler in India by paying between Rs 25000- 50000 ($ 500- 1000), however, for buying a car they are required to pay at least 2 lakh Rupees ($ 4000). Now, this big price difference can be easily filled by Tata’s small car “Nano” which will cost around Rs 1 Lakh ($2000).Moreover, with the availability of cheap car loans, it will further become easy for people to buy this car. This car can easily provide a good option to large number of lower middle class of India, who is looki...