Navigating Regulatory and Operational Dynamics in Emerging Markets: Analysing Automotive Localisation to India and Mexico in Times of Disruption

This thesis presents a comparative analysis of the automotive industry in India and Mexico, emphasizing their divergent trajectories within the broad category of emerging markets. India is modernising its automotive sector from the ground level, leveraging government incentives and localization strategies to foster industrial growth. In contrast, Mexico, with its more mature automotive industry, benefits from established trade agreements, a well-integrated supply chain, and nearshoring advantages. By synthesizing literature reviews and expert interviews, this study identifies the regulatory complexities, trade policies, operational challenges, and strategic adaptations that shape competitiveness in these markets. The findings highlight the necessity for MNEs to tailor their approaches to these distinct environments, balancing compliance adaptation, workforce development, and sustainability efforts. This research offers actionable insights for international automotive manufacturers aiming to navigate the complexities of industrialization in India and the evolving trade landscape in Mexico.