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Due to the development of new automobile markets, the automakers are forced to increase their operations worldwide. The traditional one plant manufacturing is considered to be extinct. Flexible manufacturing near the customer is the need of the hour. India is one of the biggest and promising markets for the Automobile Industry and is considered to become the second biggest automobile hub after China in the coming years. And thus many original equipment manufacturers (OEM) are developing new strategies towards India to capture such a huge market potential. Here in this term paper strategies will be developed in concern with AUDI AG towards India. It will focus on the existing situation of Audi and its competitors in India keeping the market potential in focus. Due to sudden increase in the demand of luxury cars and also due to inefficient capacity, Audi has to develop new production concept which can be implemented in India. This production concept begins with locating a suitable location for developing a factory and then other concepts like manufacturing activities, models, etc. are a point of discussion.