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INDUSTRY OVERVIEW

The auto components sector in India attracts its fair share of foreign direct investments given its growing nature. The industry is based on the strong foundation of stable government policies and accounts for almost 7 percent of the country’s total Gross Domestic Product (GDP).

The sector has experienced a stable growth over the years and is expected to reach USD 300 billion by 2026.

ABOUT THE COMPANY

Our client is an Automotive Component Manufacturer who came to us with plans of extending their existing small business. They had big plans of venturing out on a bigger scale and exploring the scope of inventory management and subcontracting.

SPECIFICATIONS
  • The company dealt in precision machined components.
  • They were willing to explore the scope in Finance, Sales, Purchasing, Production, Stores, Inventory Management and Subcontracting.
  • The company was struggling with a lack of visibility in inventory.
  • Manual processes were leading to delays and mistakes.
  • They wanted to set up an office and a factory in West India.
  • The total cost of extending their business on a large was subject to change and they just outlined a ballpark figure.
OUR INVOLVEMENT

The company, already having expertise and experience in the field of auto components, came to us with a polished business idea. However, they were lacking the biggest factor in setting up a successful business- investment.

They came to us looking for foreign investments. As is first with every project we accept, we thoroughly researched the plan to deduce the foreign direct investment availability. We mapped the entry routes and any complications the project may face in the future. The challenge for us was to guide the entire project through the lengthy process of foreign direct investment without incurring major difficulties.

We connected the company with interested foreign investors, and hereafter, the project commenced.

CURRENT SCENARIO
  • The project is currently in its development stages.
  • The foundation for the factory has been laid and the office is 1/4th completed.
  • Business plans seem concrete as per our foreign investor and client.
  • The project is expected to nearly cost their ballpark figure.