New Delhi, Feb. 20 -- The auto sector now eyes the upcoming marriage season and revival in government infrastructure projects, for boost in sales, especially for the two-wheelers and entry-level cars, says a report by InCred Research.

The report also noted that the demand for automobiles has faced some challenges after the festive season, with discounts being withdrawn at a slow pace. The industry is now closely watching two key factors--price hikes and overall demand trends--to assess the future outlook.

It said "Rural demand growth was better than urban growth by 200-300bp for the quarter. All hopes are on the marriage season demand and a revival in government infrastructure projects".

This indicates that people in rural areas are sh...