According to SK Munjal, Chairman of Hero Enterprises, Growth of electric mobility will be disruptive for the automotive industry and companies will have to transform or perish.
“We are going through a structural change and the automotive industry is transforming to meet the new challenges and norms,” he said.
“Just like in the past where we have witnessed disruptive developments, and industry had to quickly change and adjust, the automotive industry will have to buck up. Companies are aware of the unfolding situation and gearing up,” he said.
“I had the opportunity to witness the demo of Google's car. It is like a computer without a combustion engine. Any company will perish if they don’t accept the changes and transforms,” he said.
“The challenges that global warming pose is quite alarming. While we are still seeking to address concerns about pollution and air quality, there is also threat to another major resource, water,” he said.
In order to ensure the growth of electric mobility, the Government will have to provide rebates and subsidy to encourage the acceptance, he said.
India is growing much faster than most economies in the world. However, this growth may not be adequate for its size and requirement he said.
Munjal further added, “India is a significant economic player and has the potential for a double-digit growth, once various elements of the reform process begin to impact. It takes few quarters and sometimes a couple of years for major reform to show their results.”
He also said job creation can happen with the emergence of new entrepreneurs in the services and other sectors.
The construction and infrastructure industry is the second largest job creator in the country which can accommodate semi-skilled and other workers. If this sector grows, it would play a much larger role in stimulating the economy, he said.