Chevrolet Cars Will Be More Expensive Starting 2011
General Motors in India just announced that the company will be setting an increase in the prices of their cars by 2.5% starting the year 2011. The price hike will come into action by the first week of January and car buyers will expect that about 1.5 to 2.5 per cent increase will be made. This statement was announced to the public by P. Balendran, the Vice-President of General Motors India. This increase in cost of the Cars is attributed to the rising cost of inputs. Balendran also expressed his concern towards the problem. The price of the cars have been pushed over all by the increased prices of commodities such as aluminum, rubber and still which are main materials used in building cars. The company officials also said that the prices of a few commodities have increased by around 10 percent which is the biggest concern of the company as of now. Balendran added that the company wants to open up a few more of dealerships in Tier-II and Tier-III cities of Indian with its latest models of Chevrolet Beat and Chevrolet Cruze because these models are receiving very high demands. Because of that, the company plans to increase the total dealerships of Chevrolet Beat and Chevrolet Cruze to 300 in India around March 11 and at the end of December, they will increase to 240 from the existing 219. Aside from that, General Motors India is also in the process of penning down six new models for the expanding Indian car market. A total investment of US$ 500 Million in view was made to enhance the manufacturing capacity and expand the company's operations for the set launches that will be made around 2012. As of now, the company is holding successful cars under its belt some of them include: Chevrolet Spark, Chevrolet Aveo, Chevrolet Optra Magnum, Chevrolet Beat, Chevrolet Tavera and Chevrolet Cruze. All of the products are magically giving great turn overs in their market segments and are attracting high demands. The increase in the prices of the cars is seen to affect the product in the market.
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