General Motors to raise prices by mid January
General Motors (India) is planning to revise the price of the company's range of cars accross all models by 2011 mid of January. P Balendran, the VP of corporate Affairs, GM India said in the Auto Show East organized by SIAM (Society of Indian Automobile Manufacturers) and CII that, the company is reviewing on the cost pressure but it will increase in the prices of all the models from January first week. When asked about the quantitative hike in the price, he said, the company will increase the prices between 1.5 per cent to 3 per cent which is standardized. Ushering on the price hike Mr Balendran said that, the company is having maximum cost pressure from the inputs. The price of the components have seen a hike between 5 to 15 per cent in its cost. General Motors India last revised the price of its cars in June-July. The Company has planned to invest USD 500 million in the next two years to launch new cars spreading its operations and also expanding its dealership network across country. Karl Sylm, the President and Managing Director of General Motors India said that, the company has invested more than USD 1 billion till now and also plans to expand by investing USD 500 million in future plans. General Motors, the US based auto mobile maker is planning to launch six new cars in India in next two years time which will include hatchback, small cars, van and SUVs. The company is planning to launch these new vehicles to cater to the needs of growing domestic market. General Motors is also planning to enhance in its dealership network in India. At present, the company has 211 dealerships in India which will increase up to 240 by next year end. General Motors currently has eight cars running on the Indian roads. These include Chevrolet Spark, Chevrolet Beat, Chevrolet Aveo, Chevrolet Aveo U-VA, Chevrolet Optra Magnum, Chevrolet Tavera Neo 2, Chevrolet Captiva and Chevrolet Cruze. Indian auto market is a booming auto market and a lot of foreign brands are consistently investing in the country such as General Motors, Toyota, Honda, Ford and Volkswagen with array of products. General Motors, the US based auto maker was started in 1908 and since then has been providing range of products. General Motors entered the Indian auto market in 1994 as a joint venture with Birla group but now GM is a wholly owned subsidiary of its parent company. The company has productions facility in over 30 countries.
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