The first two have not moved much to the system concept. The last does not have volumes in India yet. So, a change in India will be gradual. Indian vehicle manufacturers may adopt strategies depending on their growth in terms of volumes. Multinational vehicle manufacturers who have set up base in India are trying to attract existing suppliers to put up facilities here.
Competition is a natural corollary of an open market.
Vendor development is very important. Both skill requirement and mindset of trust and long-term partnership become critical. The extreme fragmentation of the auto ancillary industry implies that few players have capacities to match world standards. Besides, OEM manufacturers prefer to spread orders for the same component across several producers. Since components can be vehicle-specific, it means extra investments in plant and machinery which can strain the resources of the manufacturer.