Social Science (087) — AI-generated practice question

After liberalisation, foreign companies were allowed to enter the Indian market, bringing new and contemporary vehicle models. These new models stimulated demand because consumers were attracted to modern designs and features they had not seen before — creating fresh desire to purchase. This is demand-pull growth: it is not enough to simply produce more vehicles; consumers must want to buy them. New models generated that want, leading to healthy growth in passenger cars, two-wheelers, and three-wheelers.

Source: Automobile Industry, Chapter 6

• The textbook specifically says "coming in of new and contemporary models stimulated the demand" — this is the key phrase examiners expect.
• The distinction between supply and demand is the analytical part of the question (worth the extra marks): new models create desire/aspiration, not just availability.
• Keep the answer focused; don't drift into general benefits of liberalisation.