Amidst the rising competition in the Indian compact car market, the days have surely changed a lot when compared to the days when Sanjay Gandhi thought of opening Maruti Udyog.

However, experts are supporting the fact that as the size of the Indian market is getting bigger by the day, the phase of consolidation will soon hit the industry. As many players like Maruti Suzuki, Hyundai Motors India are now facing a situation where it can sell almost what it can produce, experts say that contract manufacturing could also be one of the options that auto majors could look at.

In fact, it was reported a few days back that Maruti is in talks with Volkswagen in order to share its Chakan facility for production.

Moreover, the global mantra is also being considered as one of the most important pillars in the strategy of several auto majors. Some experts even support the strategy where it is not just about being large and huge, even though that helps sometimes, but players in the Indian automobile arena could also be small and sensible.