FINANCING OF AUTOMOBILES

sunandaC

Sunanda K. Chavan
FINANCING OF AUTOMOBILES

A common factor that has fuelled demand in all segments over the past few years has been the availability of easy credit facilities from

• Banks

• NBFCs and

• In-house finance from manufacturers.

Reduction in interest rates has fuelled the demand growth in this segment especially for the passenger car segment.

Increased competition has forced companies to focus on cutting costs and improve technology and R&D.

Many of them are trying to manufacture their components and parts indigenously and are reducing their dependence on imports, and appreciation in the rupee has affected their bottom line as export earnings would be affected.

The recent emission norms have put pressure on the profitability of many of the automobile companies, as they have not been able to pass on cost increases to consumers.

The hike in sales tax to a uniform level across the country has affected demand in the West and North substantially, resulting in lower revenue growth.
 
FINANCING OF AUTOMOBILES

A common factor that has fuelled demand in all segments over the past few years has been the availability of easy credit facilities from

• Banks

• NBFCs and

• In-house finance from manufacturers.

Reduction in interest rates has fuelled the demand growth in this segment especially for the passenger car segment.

Increased competition has forced companies to focus on cutting costs and improve technology and R&D.

Many of them are trying to manufacture their components and parts indigenously and are reducing their dependence on imports, and appreciation in the rupee has affected their bottom line as export earnings would be affected.

The recent emission norms have put pressure on the profitability of many of the automobile companies, as they have not been able to pass on cost increases to consumers.

The hike in sales tax to a uniform level across the country has affected demand in the West and North substantially, resulting in lower revenue growth.

Hey sunanda, thanks for sharing the information on financing of automobiles and i am sure it would help many people. Well, i have also got a document related to the financing of automobiles and would like to share it with you.
 

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