Are Asians seperated into sub divisions to meet a certain quota?

I am an Indian American (Indian heritage but born in the US). In the common app it asked us our race and then further asks us to specify. Does this mean my application will be compared with other Indians or Asians in general. From what I understand, the reason is it so hard for Asians to get into top colleges is because many have similar applications and stats and there is only a certain number of Asians colleges can take in order to have a diverse body. So will my application be looked at in comparison to other Indian applicants or just Asians in general? Sorry if this is not how it works. I’m relatively new to the whole process and am a little confused

Colleges vary. Some do not consider race or ethnicity at all. Those that do generally not say how.

A college’s common data set section C7 will tell you whether race or ethnicity is considered.

They also consider geographics and a lot of other characteristics. A student from Wyoming has a much better chance of getting in to a college…almost any selective college than students from most other places.

You’re reviewed as an individual first, your own record/choices, your app and supp, etc. Then, compared with other applicants in your area. Later, the fuller pool.

The hurdle is often geo diversity, as lostaccount notes. That kid from WY needs to be just as highly qualified. But there are plenty of strong candidates in other areas. Depending on hs rigor and more, there can be other great candidates from NC. So rather than worry about this aspect, make the best app you can. That means understanding what your targets look for.