Here are the factors that affect the performance of auto companies
The fundamental valuation methods used to analyse automobile makers are essentially the same as those applied to any manufacturing company. The auto industry can be classified into different segments: commercial vehicles; tractors; and two-wheelers. The performance of each segment is usually influenced by different factors, though there are some common attributes.
Commercial vehicles
Economic growth: Economic growth is a crucial determinant of performance. Higher the level of economic activity, higher the freight movement and consequently, greater the demand for commercial vehicles.
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