Each student team will select one of the G20 nations to complete the final project. The team that you sign up for will be the same one that you complete the case analysis with during the semester....

Running Head: INTERNATIONAL BUSINESS    1
INTERNATIONAL BUSINESS        6
    
FIAT CHRYSLER AUTOMOBILES EXPANSION IN INDIA
Table of Contents
Introduction and Situation Synopsis    3
a)    3
b)    4
c)    5
References    7
Introduction and Situation Synopsis
a)
Among the G 20 nations one of the fastest growing nation is India. The project is about the expansion of the Fiat Chrysler Automobiles in different nations of G 20. The project team had selected India for this project. Khaire and Singh have discussed that India is a growing market and there is a huge investment opportunity available.With the growing industrialization and development, the economic scenario of this country is also developing and is moving steadily towards the superpower nations in coming years. Thus, with this growing aspect of the country, the economic development of this place is also taking place and that is resulting into more increased income in the Indians. This growth as suggested by Sanghvi and Rachchh is that the growth had impacted the automobile industry growth as well. It has been estimated that the $118 billion automobile industry will reach around $300 billion by the year 2026. There is significant growth in production of the vehicles from 30.91 million in 2019 against 29.08 million vehicles production in 2018, which is a significantly a healthy growth of 6026 percent. Going by this growth pattern it is also predicted that by the year 2021, India is expected to become world’s third largest passenger vehicle market. This can certainly show the potential Indian market has for the passenger vehicle industry.
Any growth has certain growth drivers which are supported by many factors. Subramanian (2019) have further added that India has a growing income which is three times in average household income from $ 6393 in 2010 to $ 18,448 in 2020 which is a significant growth. India will become the youngest nation by 2025 with an average age of 25 years. It is also estimated that a greater vehicle penetration will be done by 2025 where for every 1000 people there will be 72 vehicles. Because of this huge demand growth there is a surge for expanding the research and development hub. India accounts for the 40 percent of the total $ 31 billion of the global engineering and research and development spend. The 8 percent of the country’s research and development expenditure is done in the automobile sector. Hence there is a huge potential way of investment in the automobile sector in the research and development sector. The government of India is focusing more on the Atmanirbhar Bharat Abhiyaan which mean Self Reliant India. This is a comprehensive economic...