Jugaad to Smart: A Conceptual Roadmap for India's Unorganized Automotive Aftersales Ecosystem to Survive the Technological Disruption

Abstract

This study examines a critical challenge facing India's unorganized automotive aftersales sector, which comprises millions of local garages and roadside mechanics serving price-sensitive customers through affordable, accessible services. The sector faces existential threats from technological disruptions including electric vehicles that require fewer mechanical repairs, advanced driver-assistance systems demanding specialized calibration equipment, and software-defined vehicles necessitating diagnostic expertise beyond traditional mechanical skills. The study aims to develop a comprehensive theoretical framework guiding sector adaptation and survival strategies. The authors integrate five theoretical perspectives—Resource-Based View, Dynamic Capabilities Theory, Ecosystem Theory, Diffusion of Innovations Theory, and Human Capital Theory—to create a five-pillar framework addressing skill development, technology access, digital integration, policy support, and collaborative ecosystems. The proposed framework identifies interconnected adaptation strategies emphasizing coordinated action among stakeholders, including government bodies, original equipment manufacturers, and industry associations. Key recommendations include modular training programs for mechanics, subsidized access to diagnostic tools, simplified digital platforms for customer engagement, supportive regulatory frameworks, and strategic partnerships between organized and unorganized sector players. The research addresses a significant knowledge gap by providing strategic guidance for a sector employing millions while serving substantial portions of India's automotive service market. However, the framework remains purely conceptual without empirical validation with limited practical market inputs, limiting its immediate practical applicability, which needs to be done subsequently in future research work. The study contributes with theoretical foundations, while systematic methodology for integrating these five theoretical perspectives and their implementation effectiveness needs to be studied through empirical testing.