Glenn Smith
May 7, 2009

Sector Insight... Small cars drive India's motor industry growth

With one of the lowest car-ownership rates in the developing world, the market is there for the taking.

India is a land of automotive portent. Last year, Tata Motors bought glamour icons Jaguar and Land Rover. Now, in a coup de grace allowing it to span the extreme high and low ends of the market, the company has delivered the Nano, which, priced at Rs123,000 US$2,400, is the world’s cheapest car.

On 9 April, the day that Indians lined up to fill out applications for the first batch of Nanos, due for...

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