Business Daily from THE HINDU group of publications
Thursday, Mar 06, 2008
ePaper | Mobile/PDA Version
Business Daily from THE HINDU group of publications Thursday, Mar 06, 2008 ePaper | Mobile/PDA Version |
|
|
|
|
|
|
|
Corporate
-
Performance BMW India sales, growth exceed expectations Our Bureau Hyderabad, March 5 German luxury carmaker BMW is firing all cylinders in India with its sales far outpacing its expectations and February 2008 creating a new high in its overall sales volumes. The company also believes that the market for luxury cars in India is set to cross the projection of 10,000 cars by 2012 and is now likely to be achieved by 2010 itself. The President of BMW India, Mr Peter Kronschnabl, said that the luxury market is witnessing significant volumes. February has been a great achievement for BMW India, with the company recording sales of 241 cars. The presence of other luxury cars such as the Mercedes and Audi has helped expand the Indian market. With a manufacturing base in India, BMW is now able to offer cars at lower price due to difference in duty structure. However, for those who want a totally customised car other than the 3 and 5 series, they have them delivered in about two months, he said. Addressing a press conference here today after inaugurating a new dealership of Delta Motors in Hyderabad, Mr Kronschnabl said that the company has initially projected sales of about 1,000 cars for 2007, but sold 1,387 cars. With a new manufacturing base set up with an investment of $30 million, the company has the capacity to produce 3,000 cars per annum in one shift. Outsourcing“The company’s financial services arm too is doing well with about 45 per cent of the cars sold last year having been financed through this arm. We expect this to grow much higher as the volumes grow in India,” he said. Referring to the overall outsourcing plan, Mr Kronschnabl said the company has set up an office in India and was in the process of evaluating various aspects of outsourcing and potential. A report has been prepared and is under evaluation at the company’s base in Germany. Decision on what to outsource is likely by summer. The company currently manufactures BMW 3 and 5 series cars both petrol and diesel variants at the Chennai facility. The BMW Group, which has Rolls Royce and Mini as its co-brands, is also evaluating the introduction of the Mini in India, though no decision has been taken on this as yet. Asked about BMW bikes, he said: “We first need an adequate market for such bikes before considering this option. For the time being, there is no plan to have its facility in India.” The company has planned to set up 12 dealers in the country by 2010, but this is likely to be achieved by this year itself with the addition of other centres at Kochi, Ahmedabad and Kolkata. More Stories on : Performance | Cars
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
 |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | The Hindu ePaper | Business Line | Business Line ePaper | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2008, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|