Sales incentives, introduction of new models as well as variants coupled with easy availability of low cost finance with comfortable repayment options continues to drive demand and sales of automobiles. The risk of an increase in the interest rates, the impact of delayed monsoons on rural demand, and increase in the costs of inputs such as steel are the key concerns for the players in the industry. As the players continue to introduce new models and variants, the competition is expected to intensify further. The ability of the players to contain costs, focus on exports and reliable after sales service will be critical for the performance of automobile companies.