Things have moved on and with car manufacturing nowadays being capital intensive (robotisation/AI) the issue is economy of scale where the gap between economic inputs of medium cars and small car is closing.
Perhaps India is the only market where small cars are produced in large numbers where the economy of scale clicks in. IMO this is why Suzuki owns 40% of this market?
At a dealer level, there are set overheads which apply equally to all sales big, small or in-between.
