Will increase in petrol price affect Automobile Manufactures in India?

Cars are mostly brought by the people as necessity. The increase in petrol price is not going to affect the sales of automobiles as most of the organisations reimburse the expenses of petrol to their employees. There are so many financial institutions aggressively financing purchase of cars.

Nateeraja Iif petrol prices  would have affected the sales of the cars there would have been a declining  trend earlier hence the prices will not affect the sales of the cars. One should understand that the first time buyers really dont look in to the price of the petrol while buying the car it is sheer thrill to buy some thing long being cherished. 

Ms.Isha your logic is correct, but I don't think it will affect the automobile manufacturers in India.

Now a days buying a small cars is not a luxury and it becomes a necessary.That is why we can a see a lot of small cars hitting our roads in the price band between 3 lakh to 4.5/5.0 lakh. These cars are introduced to target the middle income groups, upper middle class and why not even the rich people prefers these cars.

Whatever the petrol prices, the people have to use their cars and naturally they don't mind spending for petrol but may reduce other expenses.

The gold price is increasing, but whether the people have stopped buying gold? No.. The sale of gold is going very steadily and similarly the cars despite the price increase in petrol.