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ARTICLE · 29 SEPTEMBER 2021

Inter-Brand Vs Intra-Brand Competition In The Automotive Sector

Direct sales in the automobile sector have gained significant recognition in the B2C segment of sales, this year.

IndiaAntitrust/Competition Law

Direct sales in the automobile sector have gained significant recognition in the B2C segment of sales, this year. Automobile manufacturers have announced their intent to do away with the conventional form of distribution of new cars through dealerships, and are now exploring the prospect of entering into the market of direct sales. The key notion behind the overhaul is to facilitate the Original Equipment Manufacturers (OEMs) to autonomously make decisions about how to design their distribution systems based on their business considerations and consumer demand. Accordingly, this move could pave the way for OEMs to unilaterally and unconventionally navigate the competitive pressure in the Indian market.

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