Mahindra and Mahindra is in the bid of starting a new project at Rs1500 crore. The unit for manufacture of car will be located in Cheyyar near Chennai and this follows its pull out from the tie-up with Nissan and Renault. Given the result of this investment, if becomes fruitful, it will be the second boom after Nike’s unit which is in the field since August. M&M initiates this to spur its automotive investments duly aided by the government of Tamilnadu which allocates 400 acres of land under an MoU.
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I think Mahindra should concentrate on manufacturing a low cost mini SUV.