Introduction

Authorized car dealer

The one who has the contract to sell the new cars as well as the approved used cars by the manufacturer. They do maintain all the manufacturer's standards.

Goods and services. The automobile dealer industry sells most of the automobiles, light cars,SUV and vans that operate on the road today. Sales of these vehicles are subject to changing consumer tastes, the popularity of the manufacturer's vehicle models, and the intensity of competition with other dealers. Along with the sale of the car, most dealers also sell additional automobile-related services to potential buyers. These services include extended warranties, undercoating, insurance, and financing. Aftermarket sales departments sell these services and other merchandise after vehicle salespersons have closed a deal. Sales of these packages greatly increase the revenue generated for each vehicle sold. Because sales of automobiles fluctuate significantly, automotive dealers offer generous incentives, rebates, and financing deals during slow periods to maintain high sales volumes and to reduce inventories.

Performing repair work on vehicles is another profitable service provided in this industry. Service departments at motor vehicle dealers provide repair services and sell accessories and replacement parts. Although most service departments perform repairs only, some dealers also have body shops to do refinishing, and painting. The work of the service department has a major influence on customers' satisfaction and willingness to purchase future vehicles from the dealer.

Industry organization. The automobile dealer industry is comprised of two segments. New car dealers, often called franchised dealers, primarily sell new cars, sport utility vehicles (SUVs), and passenger and cargo vans. These franchised dealers sell and lease vehicles manufactured by a particular company—which may include several brands. Used car dealers comprise the other segment of the industry, and are sometimes referred to as independent dealers. These dealers sell a variety of vehicles that have been previously owned or formerly rented and leased. Improvements in technology have increased the durability and longevity of new cars, raising the number of high-quality used cars that are available for sale. Used car dealers by definition do not sell new cars, but most new car dealers do sell some used cars.

According to the National Automobile Dealers Association, new vehicle sales account for more than half of total sales revenue at franchised new car and new truck dealers. These sales also generate additional revenue in other departments of new car dealers, which are more profitable to the dealer. By putting new vehicles on the road, dealers can count on new repair and service customers and future trade-ins of used vehicles.

Independent used car dealers usually have smaller staffs than their franchised counterparts. Most are stand-alone dealers, but increasingly nationwide companies are opening large superstores across the country. These large used car and truck dealers typically contract out warranty and other service-related work to other dealers or to satellite service facilities.

Recent developments. In recent years, the sale of used cars has become a major source of profits for many new car dealers in the wake of shrinking margins on new cars. To make them acceptable to more customers, some dealers promote "certified pre-owned" vehicles to customers who want a warranty on their used vehicle. This often raises the price, but in return provides customers with peace of mind. In economic downturns, the relative demand for these and other used cars often increases as sales of new cars decline.

In an effort to achieve greater financial and operational efficiency and flexibility, greater emphasis is being placed on aftermarket services, such as financing and vehicle maintenance and repair, at both new and used car dealers. These services typically provide large profit margins for dealers, and remain less susceptible to economic downturns. They are also part of an effort to enhance customer loyalty and overall customer service.

Starting A Car Dealer Business

New Car Dealer Business owners often have the same concerns as new parents.

Will I be successful?

Who has done this before and can advise me?

Where will I get the financing? What help is available, and how much will it cost?

All those concerns seem to hit at once.

Most of those who succeed in starting a Car Dealer Business have planned for every phase of their success. T homas Edison said, "Genius is 1 percent inspiration and 99 percent perspiration."

That same philosophy also applies to success in any Car Dealer Business.

To enhance your chances for success, first generate a little bit of that perspiration to eliminate the most common mistakes new business owners make. According to the experts, most novices should spend a great deal of time researching their potential businesses and the marketplace.

Before starting a Car Dealer Business Plan you must be able to answer these basic questions

What void will my business fill?

What services or products will I sell in my Car Dealer Business?

Is my idea practical, and will it fill a need?

Who is my competiter?

What is my business’s advantage over existing Car Dealer Businesses?

Can I deliver a better quality service?

Can I create a demand for my business?

And once you have answered these then consider:

What skills and experience do I bring to the Car Dealer Business?

What will be my legal structure?

How will my company’s business records be maintained?

What insurance coverage will I need?

What equipment or supplies will I need?

How will I compensate myself?

What are my resources?

What financing will I need?

How will I pay it back?

Where will my business be located?

What will I name my business?

Research Resources

Some questions you will be able to answer on your own. Others will require careful research. There are many sources available to help you find the answers and make informed decisions.

trade association studies,

journal articles and

trade shows;

regional planning organization studies on growth trends;

banks,

realtors and insurance companies; and

customer surveys in your market area, which you can conduct on your own or which may already exist.

The Business Plan

Your Car Dealer Business Plan should cover the business basics from goals to management, from marketing to operations. A business plan is a blueprint for success, so don't scrimp on the details. A good business plan covers the following areas:

Executive Summary

Describe in detail the business and its goals.

Identify the business ownership and the legal structure.

Discuss skills and experience you and your partners bring to the business.

Identify advantages you and your business have over your competitors.

Operations

Explain how the business will be managed on a day-to-day basis.

Discuss hiring and personnel procedures.

Discuss insurance, lease or rent agreements, and issues pertinent to your business.

Account for the equipment necessary to produce your products or services.

Account for production and delivery of products and services.

Marketing

Describe your product or service.

Identify the customer demand for your product or service.

Identify your market, including its size, location and demographics.

Explain how your product or service will be advertised and marketed.

Explain your pricing strategy.

Financial Management

Explain the source and amount of initial equity capital.

Estimate start-up costs.

Project operating expenses.

Develop a monthly operating budget for the first year.

Develop an expected return on investment and monthly cash flow for the first year.

Provide projected income statements and balance sheets for a two-year period.

Discuss your break-even point.

Explain your personal balance sheet and method of compensation.

Discuss who will maintain your accounting records and how the records will be kept.

Provide "what if" statements that address alternative approaches to problems that may develop.

Understanding Your Market

Market evaluation is critical and provides the basic data that will determine if and where you can successfully sell your product or service. This process involves defining your goals, scrutinizing your competition and your customer base, and interviewing potential suppliers. The information collected can help you, if necessary, adapt your product or service to better meet customer needs. Market research can help you:

create primary and alternative sales approaches to a given market,

make profit projections from a more accurate database,

organize marketing activities,

develop critical short- and mid-term sales goals and establish the market’s profit boundaries, and

identify what makes your business different from similar businesses with similar products.

Questions To Ask

Your research should answer these basic questions:

Who are your customers?

Where are they located?

What are their needs and resources?

Is the service or product essential in their operations or activities?

Can the customer afford the service or product?

Where can you create a demand for the service or product?

Can you compete effectively in price, quality and delivery?

How many competitors provide the same service or product?

What is the general economy of your service or product area?

What areas within your market are declining or growing?

Things you need to workout when starting a business

Below are the points that you need to workout when you start a business.

Before you start

* Considering starting up?
* Finding and managing the money.

Forming and naming your business

* Business names & structures.
* Buying a business.

Your workplace

* Choosing and setting up premises.
* Keeping the workplace safe and your employees healthy.
Taxes, payroll & returns
* Taxes, records and returns - getting started.
* VAT.
* Income, Corporation and other business taxes.

Employing people

* Becoming an employer for the first time.
Managing your business
* Sales and marketing.
* Financial control .
* Contracts and suppliers.
* Protecting your business & ideas.

* Healthy services.

Things to Know Before Going to a Car Dealership

Before going to a car dealership, it is important to do your auto research first. There are many auto scams and bad deals out there that dealers may try to pass off on you. You should be aware of these things, as well as other ways to save money, and not get sucked into potential salesperson fluff.

First thing, you should know the invoice price of the car. This is the price that the dealer pays for the car. There is then a huge markup on the item that accounts for the dealer's profits. Knowing this will be advantageous when trying to negotiate with the salesperson.

Car dealers want to be in and out of a car fast, meaning they want to get a quick profit in as short a period as possible. This is not how it used to be, so now you can work with the salesperson and negotiate a lower price. Usually you could only get a couple hundred off, but now you can work thousands off the price.

You should always check the Internet for rebates. Call up the manufacturer or look on their website to find out if there are any rebates available. They may not be advertised on the television or in print ads, but there are often hidden rebates only available if you ask.

You should secure financing before going into a car dealer. If you show that you can pay for your car, you may be able to get a better deal. The more likely you are to pay, the more likely you are to get a few bucks off of the car's price. Coupled with this, you should know your credit rating as well.

You should check for reviews of the dealers you plan on going to. Many online sites post customer reviews of dealerships. It is good to know which dealers have kind salespeople, if they go down on some prices, if they are good with repairs, etc.

You should make an appointment before going in to speak with the manager (sales manager). This way, you can talk with their most knowledgable person, and he possibly isn't working off his commission. There is more room to negotiate as salespeople want to get as much as they can so they can make a good commission.

Don't be afraid to negotiate. Know a price you want to pay. Don't give in to their demands as they need your sale more than you need that exact car in most cases. Start a little low and then work your ways up to your price. You can possibly get some benefits and extra features added in and you still can pay the price you wanted to.

Even though they are likely to negotiate more now, still shop around. Never buy at the first place you go to. Take those numbers to another dealer and see if they will match or do a little better.

Suitable companies for dealership in malappuram

Volkswagen

Skoda
Mitsubhishi

Nissan

Honda

Volkswagen company history

When in 1937 the company known as "Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH" was founded, no one could have guessed that it would one day be Europe's largest carmaker. The history of the company - with all its trials and tribulations - is first and foremost a story of impressive success.
1937-1945

On May 28th, 1937 the "Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH" company is founded, and on September 16th, 1938 it is renamed "Volkswagenwerk GmbH". In early 1938, in what is today Wolfsburg, work begins on construction of the Volkswagenwerk plant which is to house production of the new vehicle designed by Ferdinand Porsche.

During the Second World War Volkswagenwerk's production is switched to armaments. Some 20,000 forced labourers, prisoners of war, and later also concentration camp prisoners, work at the plant.

In September 1998, in recognition of the events of that time, VOLKSWAGEN AG established a humanitarian fund on behalf of the forced labourers compelled to work at Volkswagen during the Second World War. By the end of 2001 more than 2,050 people in 26 countries had received humanitarian aid from the fund. Furthermore, a Memorial in remembrance of the forced labour employed at the Volkswagenwerk plant is currently being established at Wolfsburg, involving contributions from present-day Volkswagen apprentices.

1945-1949

After the end of the Second World War, in mid June 1945, responsibility for Volkswagenwerk is placed in the hands of the British Military Government. Under the management of Major Ivan Hirst, mass production of the Volkswagen Beetle is started.

1949-1960

On March 8th, 1950 the Type 2 goes into production, expanding the company's product range. The Volkswagen Bus, still today known to many as the "VW Bully", soon creates rising demand thanks to its multifunctional capabilities. In 1956 a separate manufacturing base for the Transporter is established in Hanover, at the same time setting down the roots of today's Volkswagen Commercial Vehicles brand.

In 1955 employees and dealers from Germany and abroad celebrate the production of the one millionth Volkswagen Beetle in Wolfsburg.

1960-1980

On February 17th, 1972 Volkswagen breaks the world car production record: with 15,007,034 units assembled, the Beetle surpasses the legendary mark achieved by the Ford Motor Company's Model T, popularly known as the "Tin Lizzy", between 1908 and 1927.

In 1973 the Passat is the first model of the new generation of Volkswagen vehicles to go into production - with front-wheel drive, a water-cooled four-cylinder engine and a range of engines up to 110 bhp. The Passat is built in line with the modular strategy, by which standardised components usable in a range of different models provide significant rationalisation. In January 1974 the first Golf is built at the Wolfsburg plant. The compact saloon quickly becomes a hit, and advances to become the legitimate heir to the legendary Beetle. The same year also sees the launch of the sporty Scirocco, which was to continue in production until 1981.

In 1976 the first Golf GTI rolls off the production line. The car, with its110 bhp engine, creates a real furore on the roads - and lays the foundations for the birth of a legend.

1980-1990

In June 1983 production of the second-generation Golf begins. The car is designed for a largely automated assembly process, and in the specially erected final assembly hall, designated Hall 54, robots are deployed for the first time in vehicle manufacture.

1990-2000

With the production launch of the Lupo 3L TDI, the first production car to offer fuel consumption of just three litres per 100 kilometres, in July 1999, Volkswagen once again makes automotive history.

2000-2003

In August 2002, at Volkswagen Slovakia, a.s. in Bratislava, mass production of the Touareg, a luxury-class off-road vehicle, is started, marking the Volkswagen brand's move into an entirely new market segment.

In December 2002 the "Auto 5000 GmbH" company, operating a plant at the Group's site in Wolfsburg, starts production of the Touran compact van. A special collective pay model has been developed, aimed at implementing lean production and involving flat hierarchies, team working, flexible working hours and the deployment of more process expertise by the workforce.

In 2003 production of the fifth-generation Golf is started, embodying a new dynamism in its design and engineering.

Sales growth in India(Volkswagen )

The Volkswagen Group comprising of the three brands- Audi, Skoda and Volkswagen achieved an extraordinary growth in deliveries to customers of 131.9% in the period January to September 2010. The three brands together delivered a total of 32,359 vehicles to customers in the first nine months of 2010 as compared to 13,956 cars sold from January to September 2009.

The Volkswagen brand has emerged as the largest selling brand of the Group in the period with impressive sales figures of 15,957 vehicles in the period as against 2,201 cars sold in the corresponding period in 2009, a big leap of 625.0 per cent. Skoda sold 14,224 cars from January to September 2010 as against 10,415 cars sold between in the corresponding period in 2009, a growth of 36.6 per cent. Audi reported a growth of 63.4 per cent percent with 2,178 vehicles sold in nine month period in 2010 as against 1,333 vehicles sold last year.

2.Skoda ( company history).

At the beginning of December 1895 the mechanic Václav Laurin and the book-seller Václav Klement, both bicycle enthusiasts, started manufacturing bicycles of thein own design, patriotically named Slavia in the nationalist atmosphere of the end of the 19th century. A few years later, in 1899, the Laurin & Klement Co. began producing motorcycles, which were soon successful and gained several racing victories. After initial experiments at the turn of century, producing of motorcycles was gradually replaced by automobiles form 1905 onward. Like the motor cycles, the 1st Laurin & Klement automobile, the Voiturette A was a full success, later becoming the archetype of Czech automobile classic. It soon formed a stable position for Company in the developing international automobile market, so that the Company could soon start operating on a wide scale. The volume of the production increased and soon exceeded the potential of a private enterprise, and in 1907 the founders of the Company initiated conversion to a joint-stock company. The international character of Škoda’s operations became increasingly important. The production facilities were extended constantly and after 1914, Škoda took part in the production for the armed force.
Due to the country’s economic development, the joint venture with a strong industrial partner became essential in the nineteen twenties in order to strengthen and modernize the Company, which was at that time producing numerous types of passenger cars, trucks, busses, airplane engines and agricultural machinery. In 1925, fusion with the Pilsen Škoda Co. was accomplished, marking the end of the Laurin & Klement trademark. In early 1930s, the automotive business was again organized as a separate joint-stock company within the Škoda Group (Automobile Industry Co., ASAP). After the crisis, the Company achieved a break-through with the Type Škoda Popular. The German occupation in 1939 to 1945 caused a considerable disruption in the history of the company, which was integrated into the industrial structure of the German Empire. The civilian production programme was immediately limited and production was turned to its needs.
In the course of a large-scale nationalisation which began immediately after the end of the war, the Company became a national enterprise named AZNP in 1946. Within the political and economic changes of that time, it acquired the monopoly of passenger car production.

Based on the traditional production processes and past success, the Czechoslovak economy managed to maintain a relatively good standard in the post/socialist period for several decades, in spite of the changes brought about by planned economy and efforts at unduly rapid growth. This standard only became questionable towards the end of the nineteen sixties due to development of new technology in the western world. The permanent stagnation of the economy started after the seventies, also affecting the Mladá Boleslav automobile manufacturer in spite of the company’s leading position in the East Europe marker. Production grew again only when the model range Škoda Favorit went into production in 1987.

After the political changes of 1989, under the new market economy conditions the Government of the Czechoslovak Republic and the management of Škoda began to search for a strong foreign partner whose experience and investments would be capable of securing long-range international competitiveness of the company. In December 1990, the Government decided on cooperation with the German Volkswagen Group. The Škoda – Volkswagen joint venture began to operate on 16 April 1991 under the name Škoda, automobilová a.s., becoming the fourth brand of the Volkswagen Group alongside VW, AUDI a SEAT.

Sales growth in India(Skoda)

Year 2010 has been really good for Skoda

India

with its refreshed models of Skoda Superb, skoda Fabia and Skoda Yeti SUV. Skoda has sold over 20000 units in the year 2010 which is 38% more compared to the year 2009. As per the official press release :

SkodaAuto India, a fully owned subsidiary of SkodaAuto a.s., Czech Republic and one of the most promising automobile companies in

India

today announced that its sales grew by 38% in the year 2010 vis-à-vis year 2009. SkodaAuto India’s total sales for year 2010 stood at an impressive 20,166 units. The company’s sales performance was encouraging in2 the last month of the year as well with total sales of 2617 units and a growth of 135% over the same period last year. The introduction of the new Skoda Fabia and Skoda Yeti were the main highlights of the year 2010 for Skoda Auto India.

3.Mitsibhushi (company history).

Automotive Innovation since 1917

Mitsubishi Motors automotive tradition goes back to 1917 when the Mitsubishi Model A, Japans first series-production automobile, was introduced. Over the next two decades the company established themselves as an innovator, developing, amongst others, Japans first diesel engine, its first large-sized bus (the start of the world famous Fuso commercial vehicle series), its first four-wheel drive passenger car prototype, and its first diesel-powered truck.

Post Second World War

At the end of the Second World War Japans large industrial groups were dismantled by order of the Allied powers and Mitsubishi Heavy Industries was split into three regional companies, each with an involvement in motor vehicle development. The country’s major need at this time was for commercial vehicles, the situation being further complicated during the first few years by a severe fuel shortage. In consequence 1946 saw the introduction of a bus which could be run on either petrol or alternative fuels, and, in 1947, an electric bus; in the truck field the innovations continued with Japans first truck to be equipped with an air suspension system, as well as the first tilt-cab truck. Passenger vehicle production was confined primarily to Mitsubishis first scooter.

The 1960's - Family Motoring

By the beginning of the 1960s, however, Japans economy was gearing up: wages were rising and the idea of family motoring was taking off. The Mitsubishi 500, a mass market saloon, fulfilled this need; followed, in 1962, by a four-seater micro-compact with a two-stroke air-cooled 359cc engine, the Minica - a name which still lives today. The first Colt -a larger, more comfortable family car, not a predecessor of the modern Colt - was also introduced in the same year, and the first Galant in 1969. This was a genuine pacesetter in the Japanese market, representing the best and latest in automotive technology and was to sire a long and illustrious line with a string of motor sports honours and consumer awards to its name.

The 1970's & 1980's - International Rallying Success

With similar growth in its commercial vehicle production it was decided that the company should create a single operation to focus on the automotive industry and, in 1970, the Mitsubishi Motors Corporation (MMC) was formed.

The 1970s saw the beginning of Mitsubishis considerable international rallying success with Galants and Lancers, demonstrating the qualities of performance and reliability for which they are known today. As part of a global expansion programme in 1974 UK distribution was ensured with the formation of The Colt Car Company, a joint venture between the Mitsubishi Corporation and Colt Automotive Limited.

By the end of the decade Mitsubishi vehicles were picking up honours both at home and abroad, including South Africas 1977 Car of the Year (the Galant) and 1979 USAs Pick-up of the Year (the L200). But this was just the start. In 1982 the Shogun (named Pajero or Montero in other parts of the world) was launched, a 4x4 which was quite different from anything that had been seen before. Quite incredibly, just a few months later in the Paris-Dakar rally, it took honours in the Production Class and the Marathon Class, as well as the Best Team award. Two years later it won outright and a legend was born. The Shogun became a global best-seller, winning 4x4 of the Year awards in Britain, France, Australia, Spain and West Germany. And it was not alone on the honours list - Galants, Colts, Lancers and L200s were all being honoured worldwide.

The 1990's - Incredible Advances

Throughout the 1990s the Shogun continued to dominate rally events like the Dakar, and Mitsubishi vehicles also began to make their mark on the World Rally Championships. By the end of the century Tommi Makinen in a Lancer had won the Championship an historic four consecutive times whilst Lancers totally dominated the Group N Championships - for vehicles which are basically showroom standard.

Technologically this decade saw incredible advances. In 1990 MMC introduced the worlds first Traction Control System, followed by Super Select 4WD and Multi-mode ABS in 1991 and INVECS in 1992. Commercial production of the Libero electric car began in 1994 whilst 1996 saw the development of the GDI engine.

Overseas production expansion was attained with the first Carismas rolling off the line at NedCar, Holland in 1995 - a joint venture between MMC, Volvo and the Dutch government - as well as the opening of production lines in Australia and Thailand. NedCar became a wholly owned MMC facility within a year.

Mitsubishi in the New Millenium

In 2000, MMC and DaimlerChrysler (DC) developed a business partnership that involved design, development and production co-operation. DC purchased a 37% stake in MMC and at NedCar Volvo production was replaced by Smart Four-Fours. In 2004 DCs stake in MMC was sold to the Mitsubishi Family (comprising of Mitsubishi Corporation, Mitsubishi Heavy Industries and the Bank of Tokyo Mitsubishi). However, MMC and Daimler Chrysler have maintained a successful business relationship and continue to share B & C segment platforms and engines.
In terms of motor-sport, the strength of Mitsubishis 4x4 heritage was yet again demonstrated by a record breaking 12th victory in the 2007 Dakar rally - the seventh successive victory for the Japanese manufacturer.

Today, MMC has manufacturing facilities in over 30 countries and its sales and after-sales organisation is present in more than 170 countries.

Mitsubishi Motors Europe

In 2002, Mitsubishi Motors Europe was established in order to coordinate sales and after-sales specifically for the European market. European product revival started with the Colt in 2004 and subsequently the Grandis, Lancer Evolution IX, new L200 and most recently the Colt CZC Cabriolet joined the range. In 2007 the full product line-up transformation was further developed with the introduction of the all new Outlander and revised Shogun. 2008 saw the introduction of the all new Lancer, Lancer Sportback and facelifted Colt.

The Colt Car Company

The Colt Car Company (CCC) was established as the sole UK distributor in 1974. Other subsidiary companies are: Mitsubishi Contract Motoring (contract hire), Shogun Finance (retail finance company) and Colt Mid West (dealerships - currently there are 11). At present the company has a network of 120 dealerships.

Prior to the end of import quotas in 1996 average annual sales were around 10,000 units, with a high mix of 4x4s. The introduction of European-built models at NedCar, together with the relaxation of import quotas on Japanese-built vehicles resulted in sales expectations increasing dramatically.

In 2000 a new management team headed by Jim Tyrrell took over. A new strategy was implemented for fleet business, product and pricing and new terms for dealers. Mitsubishi soon became the fastest growing Japanese marque in the UK and annual sales more than doubled between the years 2000 - 2005 from 18,000 to 38,000 units.

The number one selling Mitsubishi vehicle in the UK in recent years has been the L200 pick-up (79,608 units sold between 1998 and 2007). The new L200 drive forward the success of Mitsubishis dominance of the pick-up segment in the UK, sustaining the retail share of the outgoing L200, at an impressive 35.6% in 2007.

2007 and 2008 saw a spate of new model introductions, with the launch of the new Outlander, revised Shogun, i city car, new Lancer and Lancer Sportback, and the flagship Lancer Evolution X.

Also in 2008, the retirement of majority shareholder David Blackburn led to his stake in the company being sold to MC Automobile (Europe) NV (MCAE), a wholly-owned subsidiary of Mitsubishi Corporation. As a result of this acquisition, CCC is now a wholly-owned subsidiary of MCAE. Mitsubishi Corporation is Japans largest general trading company, with over 200 operational bases and 500 group companies in approximately 80 countries worldwide, giving CCC an excellent foundation to continue its success in an increasingly challenging marketplace

Sales growth .(Mitsubhishi)

Production: total and in Japan
Total global production for June came in at 92,324 units, 59.8 percent up over June 2009 and the eighth consecutive monthly increase since November 2009. Production volume in Japan at 54,667 units was 66.1 percent up year-on-year, the seventh consecutive monthly year-on-year increase. Passenger car output at 47,547 units was 84.2 percent up over the same period last year. Commercial vehicle output at 7,120 units was 0.4 percent up year-on-year.

4.Nissan(company history).

Established in 1933, Nissan Motor Co., Ltd. was a pioneer in the manufacturing of automobiles. Nearly 70 years later, Nissan has become one of the world's leading automakers, with annual production of 2.4 million units, which represented 4.9 percent of the global market. Domestically, the company sells 774,000 vehicles on an annual basis, placing it second behind Toyota Motor Corporation. About 35 percent of Nissan's vehicles are sold in Japan, 25 percent in the United States, and 20 percent in Europe. In the North American market, the company's top models include the Infiniti, Maxima, Altima, and Sentra passenger cars, the Quest minivan, the Frontier pickup truck, and the Pathfinder sport utility vehicle. After losing money for most of the 1990s, Nissan entered into a global alliance with Renault S.A. in March 1999, with the French company taking a 37 percent stake in Nissan. A massive restructuring was then launched

Nissan Sales growth in India.

Nissan Motor India, the Japanese major auto manufacturer recorded a fine increase in its car sales of over 40% for the April month, 2011. The Nissan Micra outshone all the other models after being introduced in the Indian market last year in 2010.

According to the statement released by the company, Nissan Motors sold 1,198 units of its Micra – the made-in India hatchback model in April 2011 as against to 2,060 units sold in March 2011. Whereas the company posted total sales of 1,207 units, out of which Nissan Micra leads the sales charts with 1,198 units, Nissan Teana, the luxury sedan (CBU) posted 7 units and Nissan X-trail – the stylish SUV (CBU) recorded sales of 2 units.

So a drop in sales is witnessed in all the segments where Teana files just seven units last month as against to 24 units sold in April 2010 and taking a look at Nissan X-Trail, which stood at just two units in April 2011 in comparison to 23 units in April 2010.

It’s noticed, that in April month the sales of cars is sluggish due to rising interest rates and high base effect and many good brands registered moderate sales growth as compared to last year during the same month.

5. Honda (history).

By 2008, Honda Motor Company was the sixth largest auto manufacturer. While its beginnings were in motorcycles, it also has a long and distinguished history in auto manufacturing.

Japanese mechanic Soichiro Honda started Honda Motor Company in 1948. World War II had restricted Japan's gas supplies and so, unable to drive a car, Honda attached a small engine to his bicycleHonda established the Honda Technical Research Institute to produce two-stroke motorcycle engines, then raised capital and created the Honda Cub. By 1963 the Honda Motor Company was the world's largest motorcycle manufacturer.

In 1955, Japan's government announced a project to produce a car for the people. Between 1957 and 1958 Honda motor tor Company hired additional engineers and created the sporty S360 and S500 and the T360 pickup. Honda unveiled all three in June 1962 but the S360 was never produced. Honda released the T360 in June 1963 and the S500 four months later.

Honda realized early on that it could design different cars for different countries and their needs. In 1970 it exported its first car to the United States, the N600. However, it was the Civic that established Honda as a serious car manufacturer.

The first Civics were produced in 1973. They were compact, fuel-efficient (40 mpg) and still had room for four passengers. Over the years Honda refined and reinvented the Civic numerous times, even creating versions that used alternative fuels. In 1998, the Honda Civic GX became the only natural gas vehicle available in the USA, and in 2003, the first hybrid Civic launched.

Honda's reputation for reliability and innovation grew. Starting in 1981, Honda began manufacturing the subcompact Honda City for Asia. It is still in production as of 2009. The Accord was first sold in the USA in 1982 and by 1989 was named America's most popular car. Honda also created the Prelude and the Acura for the luxury market.

In 1995, the Honda S2000 was first shown and was launched four years later to celebrate Honda's 50th birthday. In 1994 Honda released the Passport SUV and its first minivan, the Odyssey. Two years later the Honda CR-V, a small SUV based on the Honda Civic, came out.

In 2000, Honda introduced the Insight, the first hybrid car in the United States (it beat the Toyota Prius by a month). It boasted 70 mpg. In 2003 Honda released the Pilot, a full-size SUV to replace the Passport, the compact SUV Honda Element and the Ridgeline, Honda's first American-market pickup. The subcompact Honda Fit was introduced to the Asian market in 2001, along with the Mobilio, Mobilio Spike and Airwave. In 2009, Honda produced the first mass-market hydrogen fuel cell hybrid, the FCX Clarity, for Japan.As the Honda Motor Company grows, it continues to innovate and make progress in engineering and fuel efficiency. Honda has claimed that by 2013 it may be mass-producing fuel-cell vehicles.

Sales growth in India.(Honda)

Honda Siel Cars India (HSCI), the Indian subsidiary of the Japanese giant Honda Motor Co, today said that its sales will register double digit growth in the current financial year. The company expects its total sales to be around 60,000-65,000 units during the current year, up from 55,250 cars sold in 2008-09.
Tatsuya Natsume, director-marketing, HSCI said the growth in India sales will happen mainly due to the introduction of its new global car, Honda Jazz. The company has already received bookings for more than 1,000 cars of Jazz in the last few days.

"The Indian economy is showing signs of recovery and we expect automobile industry will bounce back shortly. For Honda, the market is looking up due to our portfolio enhancements and we will register double digit growth this year," he said.

The company, he said, will most probably resume its investment programme at Tapukara plant in Rajasthan, in the next financial year to expand its production capacity. The company, which currently has a capacity to produce 1,00,000 cars per annum at Greater Noida, is planning to add an additional 60,000 units at Tapukara.
"We intend to launch our new small car in India in the next two years and by then also increase our installed capacity. Actually, our capacity expansion is not linked to new car launch. It depends on the capacity utilisation at Greater Noida plant. Once we utilise that capacity fully, we will go for expansion of capacity in our second plant in Rajasthan," Natsume told reporters after launching its new global car, Honda Jazz, here today.
HSCI has already invested Rs 600 crore at its Rajasthan plant and the remaining Rs 400 crore will be invested to add another 60,000 units per annum.
Natsume said, Honda has commenced work at its India R&D centre earlier this month at Noida with three engineers deputed from

Japan

. It plans to recruit 10 R&D engineers to begin with in India and increase the headcount over the years. He, however, did not divulge the amount spent on R&D in India. Globally, Honda spends around $50 billion, which is 5 per cent of its annual sales turnover, on research and development.
Already, Honda has R&D centers in Japan, US, UK, Brazil, Germany and Thailand. The Indian R&D Centre will work towards increasing local contents in its cars produced in India.

Advantages.

Cost of the infrastructure(building) ll be less.

Our location is suitable automobile related business.

Reputation ll be high

As a investor This business can be controlled from anywhere (not like retail trade)

Availability of the staffs ll be easy.

No credit sales and no cash purchase.

Returns are comparatively high (in the service and spare parts sector)

Companies reputatation(brand) ll cover up the market.

Disadvantages.

it is not suitable for all place.

It must be near by city or town.

It must be easy to access the customers.

Car dealership (Basic information) (Suggested business for 1 Acre at malappuram)