Question

how the macro economic environment affect the decision making of two wheeler industry​

Answer 1

Answer:

The Indian automobile industry is growing remarkably after 1991 following India's growing openness, income of the people, the arrival of new and existing models, easy availability of fi nance at relatively low rate of interest, and price discounts offered by the dealers and manufacturers. Although the automobile demand depends on number factors, but this study attempts to explore the interactions between India's automobile sales and the hike in fuel prices, lending rate, and GDP per capita in the automobile industry in India. Hence, this study has applied the cointegration and the vector error correction models to analyse the possible causal relations between the variables