A Study and Analysis on Sustainable Business Models for Indian Automotive Industry

Abstract

Automotive Industry is facing huge challenges in transforming their business to digital in a sustainable way. Indian Automotive Industry is going through lot of changes when it comes to adoption of new emerging technologies and they believe in investing on digital technologies is the only way to sustain in the competitive environment. Companies implementing Industry 4.0 based solutions to improve productivity, quality, operational efficiency and effectiveness, digital supply chain, etc. Automotive companies caught between conventional product manufacturing and revolutionary value added services that built on the products.  For example, producing cars and providing car-sharing service, this requires major disruption in the business model and most of the automotive manufacturers are convinced that only the data will empower the new sustainable business models in the automotive sector. Digital ecosystem and the new business models support automotive industry in generating new revenue streams. Automotive industries focusing on building new age services for autonomous driving, car-sharing, connected-vehicles, digital supply chain, electric vehicles, location based services, etc., All these new age services requires new innovative business models and that requires strong history data to support and this is by creating digital services and eco-system. Digital technologies is going to be dictate the automotive industry in every phase of the product life cycle and emerging technologies going to rule the market and competition. In spite of small, medium, or large enterprise, the original equipment manufacturer or component manufacturer, every single organization is needs to transform digitally to build their sustainable growth. This sustainable growth of automotive industry realized only with power of data and innovative business models. 

Keyword:. Sustainability; Business models; Indian Automotive Sector