Even as competition has built up to unprecedented levels in the car market, one segment has remained untouched - that of entry-level small cars. But that's all set to change from next year, with a slew of cars priced around Rs 1 lakh revving to get off the blocks.
Urban planners might be appalled at what this could mean for traffic congestion and parking, but companies - and consumers - are raring to go. The first launch will be that of Tata Motors' much-talked-about Rs 1 lakh car. But in just a couple of years, you might have half-a-dozen such vehicles to choose from. Nissan Renault on Thursday joined the bandwagon, unveiling plans for a $3,000 (around Rs 1.25 lakh) car for Indian roads.
Nissan Renault is expected to team up with Indian manufacturer Mahindra & Mahindra to enter the sub-Rs 1.5 lakh segment in which the likes of Hero Group, Bajaj Auto and Maruti Suzuki, the original aam admi car manufacturer, have already evinced interest. Even Xenetis, a low-cost PC maker, intends to be in this segment.
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"Big boom coming soon in small car segment"