Global Auto makers eye BRIC nations as attractive markets
Global Auto makers eye BRIC nations as attractive markets
Now a days, the auto makers from all over the world are agreeing upon the fact that the BRIC nations which include Brazil, Russia, India and China are undoubtedly emerging as the best possible markets for them. Various automakers from the Japanese, European, American and Korean auto market are trying their luck in these BRIC markets through various tie-ups and agreements with the local auto players of BRIC nations. Apart from these tie-ups, the automakers from around the world are also trying to fix their independent set up in these emerging markets. Whereas the Russian and Chinese auto markets are observing a lot of local partnerships, tie-ups and joint ventures, the Indian auto market is witnessing the setting up of independent brand set ups by these foreign auto majors. In the auto market of China, things are a little different. It is a strict rule that the auto makers should compulsorily have a Chinese partner for the purpose of setting up a shop. According to the new norms of the Chinese auto market, any auto player which intends to manufacture eco-Cars, for example, electric vehicles, hybrid models, etc. should share their technical knowledge of how, when, what etc-with their local partners in order to sell their brands in the Chinese market. This is an apparently free choice for each car player because Chinese auto market cannot be ignored as it is the largest car market of the entire world. GAZ, the Russian automaker which is controlled by the industrial tycoon Oleg Deripaska still remains the single biggest player in the country. GAZ operates in an independent manner and sells its products under the brand "Gazel". Autovaz, another reputed Russian auto player has stepped into a strategic alliance with Renault, the French auto maker. This alliance between the duo aims at developing better powerful strategy. Now GAZ is also looking for some international partners for affirming its presence because Russian automakers saw the worst recession during the last fifteen years. This will definitely prove as a beneficial situation for both because the global automakers want to start assembly lines for the big potential profit and tax breaks on the vehicles that are manufactured locally.