The first motorcar on the streets of India was seen in 1898. Mumbai had its first taxicabs in the early 1900. After fifty years, cars were imported to satisfy the domestic demands. From 1910 to 1920, the automobile industry made a humble beginning by setting-up assembly plants in Mumbai, Kolkatta and Chennai. The imported/assembly of vehicles grew consistently after 1920's, crossing 30,000 marks in 1930. In 1954, the decision of the Government marked a turning point in the history of the Indian Car Industry. The Govt. of India instructed what type of vehicle each manufacturer should make. Therefore, each product was safety cocooned in its own segment with no fears of any impending competition. In 1985, after the entry of Maruti Udyog, the Car makers were given a free hand to fix the prices of Cars, thus, effectively abolishing all controls relating to the pricing of the end product. The importance of the small car segment emerges from the fact that it serves the common man, middle class of India. The small car has become the most common and become popular. The main objective of the survey is to evaluate users opinion, and also to identify the overall capability of small cars. A note of caution when interpreting these findings, which are based on perception of and opinion of small car owners.

Key words: User’s Opinion, Overall Capability, Pricing Controls, Domestic Demands