In reality, Honda faces many critical issues in India. And the biggest of them is its lack of presence across segments. According to SIAM, the compact segment (A2) registered a growth rate of 15%, the mid-size segment (A3) grew by 8.14%, the executive segment (A4) declined by a negative 9% and the premium segment (A5) grew by 7%. Honda is currently present only in the least growing segments (A3 & A5), and thus is losing out on volumes. Worse, Honda is now launching the Civic in the A4 segment, the only negative growing segment.
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