In recent times, Indian industrial sector underwent number of regulatory changes which is a result of the economic reforms that took place from 1988 to 1991. These reforms mostly influenced consumer durable industry, automobile sector and financial services.
Automobile sector plays a very important role in Indian economy. It is vital to the economy because it is connected with various other sectors and generates employment opportunities on a larger scale. Infrastructure development is nothing but development of urban areas, development of rural areas and industrial development. But indirectly this infrastructure is required to connect various regions and this requirement can be fulfilled by the automobile industry. Automobile segment plays a vital role in shaping the economy of the nation and in its development. A rise to new era in the Indian history has been given by production of heavy commercial vehicle in the country. Gradually many small manufacturing units have been set up by many firms in the country. Hence, the first few passenger vehicles like Fiat, Premiere, Padmini, Lemhrata scooters came into production in India