Bajaj - 100% Indian Shit
Micro - 100% Chinese Shit
Result
- Very small FDI inflow as it doesn't cost much to setup assembly plant
- few employment opportunities
- massive outflow of money to other countries
- As vehicles are of low quality another useless cash outflow when importing spare parts
- usable life time much less than 10 years
No real benefit for the country if they sell them locally
In Thailand and Malaysia they have built a large scale local OEM industry, engine and drive trains are Japanese rest is locally sourced and they are mostly export oriented
result
- great employment opportunities (factories, OEM manufacturers)
-Large scale FDI (OEM)
- More foreign brands strat investing as there's a OEM industry so more FDI and employment
-Full technology transfer
-more net cash inflo than cash outflow as majority of vehicles manufactured are exported