Professional Documents
Culture Documents
POLITICAL:
The government policy is much favored too local manufactures as said by the managing director
of Goodyear India in 2005 that the tire market in India was almost exclusively dominated by
local players and 90% of all tires on the Indian market were made and sold by the local Indian
companies so Big companies like Good year, Michelin etc are hardly visible in India
Under the Bangkok agreement, car and two wheelers tires were imported from china and
South Korea at 10 percent custom duty. These imported tires had an average price 30
percent lower than tires sold by Indian companies. Some Indian companies like Apollo
and JK tires tried to collaborate with Chinese companies in order to jointly produce cross
ply tires.
In 1984, there was a agreement between the Indian and Japanese companies to get the
ECONOMICAL:
Growth of tire industry:
The tire industry is growing in India day by day. In 1926, first tires were made by British
company Dunlop. This gave rise to flourish of tire industry in India. When Cross ply tires were
first introduced than 65 % of tire sales in India were covered by cross ply tires. But with the
introduction of radial tire, radial tires represented 85% of car tire sales by volume. All the tire
manufacturing companies are increasing their shares because tire industry in India is grooming
with every year. In 2005, MRF, Apollo and JK tires had a tough competition and had a tough
competition between them.
TECHNOLOGY:
SOCIAL: