Fiat engine sales sailing in Europe

Fiat India, reputed car manufacturer is facing an all time low in the sales of its engines in Europe. Fiat exported around 35000 units in Europe in 2009-10. But now the export figure has come down to 9,000 units. In European Markets, Fiat was following the incentive scheme, but now is facing a downfall in sales of the engines supplied.

If the sources are to be believed, Fiat, took away the incentive scheme from the European markets, and after that Fiat India had a deep impact in exports of its engine. The second reason which can be seen is the, European engineers disapproving of such deals. Now, Fiat is looking for other options to sell its engine in Europe.

With this hardship, Fiat has joined the club of Maruti Suzuki and Hyundai, who faced a similar blow in the European market by taking incentives on fuel efficient small cars from its buyers. In India Fiat has a tie up with Tata Motors and together manufacture 3.33 lacs engine units. Ranjangaon facility can produce 1.6 units every year. Tata Indica Vista comes with power train Fiat engines.

Fiat India market is also not growing despite good market conditions. Last year Fiat launched two models Fiat Linea and Fiat Punto which was expected to give them growth but looking at the current sales graph it is highly meek. The way the two Italian company products emerged in the European Market, they could not follow the same momentum in the Indian market as other do.

Fiat is a century old auto manufacturer and have won the “European Car Of the Year” award nine times. But is not able to show up in the Indian markets. To turn the fortune in its favour, Fiat is coming with new strategy in the market. The Italian car manufacturer could not show its magic on Indian consumers, so they are planning to take a step ahead. Fiat India is also consulting professionals as how to establish themselves in the Indian terrain. The company also wishes to start its brand stores in India. The company wishes to exhibit its accessories. In a true Italian style, they also wish to give its customers a taste of the Italian Coffee.

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