Category — Automobile
Reuters reports that Ford Motor Company has inaugurated a heavily automated auto manufacturing plant at a cost of $1 billion in the western state of Gujarat to triple its exports from India. At the inauguration, Ford chief executive Mark Fields said, “India is very cost competitive, which is important particularly for small vehicles.”
The 460 acre factory, will nearly double Ford’s production capacity in India to 610,000 engines and 440,000 vehicles a year. It will make engines and compact cars such as the EcoSport, a small SUV, and the Figo Aspire sedan.
The Indian auto market, already the world’s sixth largest, is expected to grow rapidly. While sales rose just over 2% last year, industry experts project a 6 to 8% in the fiscal year beginning April 1. Ford expects Indian auto sales to more than double by 2020.
“India is going to be attractive as an export hub because of the low cost base, and also the expectation that when the dollar strengthens it will be favorable for exporters,” said an automotive industry expert quoted in the story
March 30, 2015 No Comments
The Wall Street Journal’s and the Dow Jones VentureSource’s Billion Dollar Club includes startups that venture-capital investors believe are worth at least $1 billion and have raised money in the past three years, and four Indian startups make the list.
Ranked 5th of 73 companies listed is Flipkart Internet Private Ltd., India’s largest e-commerce company by sales valued at $11 billion. Snapdeal, a rival online marketplace, ranks 30th with a value of $2 billion. Online-ad company InMobi, valued at $2.5 billion, and Ola Cabs valued at $1 billion are also included in the club.
India is expected to become home to the world’s second-largest number of startups, after the U.S., in the next couple of years as investors pipe in cash to new companies.
February 27, 2015 No Comments
Here are three stories of entrepreneurs that went east to India, survived, and succeeded:
Valerie Wagoner started her company ZipDial, which was acquired last month by Twitter, based on her insight of the potential of missed calls in the bandwidth deprived Indian mobile market.
In 2013, Greg Moran and David Back left the U.S. to work in India, but ended up starting their own company ZoomCar, a self-driving (ie no chaffeur provided) car rental start-up. What started with just seven vehicles is now a business of 250 cars in the cities of Bangalore and Pune. They have plans to expand to 10 more cities this year with the recent funding they received from Sequoia. “I like the energy levels of the people here. Besides, starting business in India is becoming an easy process,” says Moran.
Eleven years ago, in 2004, Sean Blagsvedt came to India to head Program Management and Advanced Prototyping for Microsoft Research. He had no plans of settling down in India, but within months he quit his high-paying job, married an Indian woman, and set up a company to solve the problems of unskilled and blue-collar jobs in India. Blagsvedt has no regrets. He considers the move to become an entrepreneur in India one of his best decisions. “India is largely an under-served market, but has huge potential when it comes to adoption of technology. We are trying to solve some socioeconomic problems with the help of digital technology,” he says. His venture, Babajob, connects job seekers such as security guards, drivers, maids and cooks with potential employers.
With the start-up ecosystem maturing in India, the numbers of expat entrepreneurs are so significant that it has led to the formation of an Expat Entrepreneurs Circle, an exclusive organization of foreign entrepreneurs and non-resident Indians doing business in India.
February 12, 2015 No Comments
Minnesota-based Polaris, maker of all-terrain vehicles, has entered into a joint venture with Eicher Motors India, to build a personal vehicle with a 600cc diesel engine. The double cabin micro pickup and multipurpose van is targeted for sale to small farmers and small business owners.
To make the vehicle affordable, the cost of production will be kept low by using composite materials which will make the vehicle light and therefore more fuel efficient, as well as by building it on tubular platform, an architecture that can be modified for making multiple products. The manufacturers expect that the car will get 58mpg. (25 km to a litre.)
Production is expected to begin in May this year in a new facility in Jaipur, a city in the state of Rajasthan.
January 6, 2015 No Comments
Mercedes-Benz, the German automobile manufacturer opened its second research and development in Bangalore to expand R&D and IT activities in India for its parent firm Daimler AG.
“The India R&D center plays a crucial role in our global R&D organization, with 200 patents filed for innovation in automotive development since our entry into India 18 years ago,” Mercedes-Benz R&D India officiating chairman Thomas Merker said in a statement. “As India is a high potential market for us, the center will ensure that development initiatives are in accordance to customer needs,” he added.
Daimler’s chief information officer Michael Gorriz said that the new R&D center was in line with the company’s IT strategy to further expand and have diverse skills, know-how and foreign cultures.
December 12, 2014 No Comments