The automobile industry is one of the most significant sectors in the United States economy given the role cars and other automobiles play in the nations public transportation system. An important aspect of the U.S. automobile industry is the car services sector, which is crucial in the nation's public transportation. Apart from the role of cars in public transportation, they also act as status symbols for many Americans. The car services sector is affected by some internal and external market factors that affect the profitability and success of the different players in the industry. These factors can be effectively demonstrated through a SWOT analysis of the internal car services market.
Strengths
The U.S. car services sector is characterized by several strengths that have played a major role in the overall growth and profitability of the overall American automobile industry. One of the strengths of this sector is increased demand for vehicles, especially…...
Ford orld Automobile Industry 2009
hich companies are likely to be most successful over the next five years?
The companies likely to experience the greatest market success in the coming years are those that find a way to simultaneously innovate and, in the case of the Detroit Big 3 especially, find intuitive ways to reduce their capacity. Something that the case study published in the text by Grant (2009) makes quite clear is the notion that the American automotive market's crisis was essentially predicated by a series of assumptions that haven't evolved in several decades and by an oversaturated marketplace.
The text reports that, in fact, in the face of the growing financial crisis, "by the time President Obama took office in January 2009, U.S. auto sales were half of those a year previously. This fall in demand was unprecedented in the industry's history." (Grant, p. 534) The article goes on to surmise…...
mlaWorks Cited:
CNN. (2011). Global Fortune 500. CNNMoney.
Grant, R.M. (2009). Contemporary Strategy Analysis, 7th Edition. John Wiley & Sons.
Market for Cars
Understanding Consumer Needs In The Automobile Industry
Understanding and Satisfying Consumer Needs in the Automobile Industry
The automobile industry is rather different from other aspects of the economy. Car companies focus on establishing respective and individual brand images while building their personalities up among consumers. The focus of targeting the various audiences allows car manufacturers to market alternative products through strategic ways that cater to emotions, needs, and desires of typical consumers (Best, 2006).
The major factors that contribute towards consumer purchases of vehicles include the levels of fuel costs and scope of environmental impacts. The issues also include opportunities for using new technologies. However, the approach of the factors also reduces through improvements in engine efficiency and changes in consumer sentiments (Klier, 2011). The commercialization of newer technologies in vehicles explains why car sales do not meet the set projections. The market has gender segmentation used in differentiating needs and…...
mlaReferences
Best, A.L. (2006). Fast Cars, Cool Rides: The Accelerating World of Youth and Their Cars. New York: NYU Press.
Klier, T. (2011). Corporate Average Fuel Economy and the Market for New Vehicles. New York: DIANE Publishing.
Reidenbach, R.E. (2009). Listening to the Voice of the Market: How to Increase Market Share and Satisfy Current Customers. New York: CRC Press.
Unlike with Korea or Japan, China's auto industry is not a home-grown enterprise but rather relies on foreign direct investment (Tang, 2009). Volkswagen, GM, Japanese and Korean companies have all entered the Chinese market through JVs with local concerns (Ibid). The trend towards consolidation is driven by the increasing dominance of the world's largest automakers. Smaller national automakers are becoming obsolete, and some nations have seen their automobile production decline to almost nothing (Finland, Serbia and Egypt for example, OICA, 2011).
Foreign automakers typically make use of joint ventures for a couple of main reasons. As the Chinese example illustrates, market access is a key factor. Many nations have highly protected auto industries or auto markets that make it difficult to set up greenfield subsidiaries. As a result, joint ventures with local firms are necessary to get around foreign ownership laws. In addition, joint ventures give the company better access…...
mlaWorks Cited:
Brower, K. & Johnston, N. (2010). Obama makes sales pitch for auto bailouts to skeptical voters. Bloomberg. Retrieved May 3, 2011 from http://www.bloomberg.com/news/2010-07-30/obama-trumpeting-success-of-automaker-bailouts-to-skeptical-u-s-voters.html
Chrysler, M. (2007). ASEAN FTA seen as political, positional play by Japan. Wards Auto.com. Retrieved May 3, 2011 from http://wardsauto.com/ar/asean_fta_japan/
Egelko, B. (2007). Auto industry asks court to slam brakes on state's tough emissions standards. SF Gate. Retrieved May 3, 2011 from http://articles.sfgate.com/2007-11-20/bay-area/17271253_1_greenhouse-gases-fuel-economy-auto-industry
Human, D. (2011). Gasoline prices leave hazy future for U.S. auto industry. Indiana Economic Digest. Retrieved May 3, 2011 from http://www.indianaeconomicdigest.net/main.asp?SectionID=31&SubSectionID=120&ArticleID=58284
Japanisation in the United Kingdom:
Experiences From the Car Industry
This report aims to analyze and compare the systems of power and control in the Japanese and western automobile manufacturing industries. The method was to use a wide range of theory and to support the analysis. The world has become an extremely competitive global economic battle ground. Automobile manufactures from both the east and the west continue to search for opportunities that will allow them to strategically reduce overhead but not affect market share or profitability. Consider that In the 1990's the solution was to literally cut or reduce the labor force and therefore reduce inherent costs of labor. The buzz words of the time were 'they just laid off X amount ... ', or 'they are downsizing ... ' These terms were regulars on the media circuit or on the front page of the morning's business section. These phrases were really…...
mlaReferences
Corbett, Brian (2002). Southern hospitality. Ward's Auto World, August.
Industry Specific
My industry of choice is the auto industry, and I will analyze it using the PESTEL framework. The political environment is critical to the auto industry for a couple of reasons. In most countries, the auto industry is significant, and therefore becomes politicized. The bailouts of GM and Chrysler are just two examples -- albeit extreme ones -- of the intense government involvement in the shape and size of the automotive industry. Another good example is NAFTA, which has resulted in production shifts to Canada and Mexico, but also the opening of the Mexican market. The current climate holds that the governments of the U.S. And Canada are divesting some of their control over GM and Chrysler, but will remain heavily involved in the industry, with the objective of supporting the Big Three, as well as major foreign automakers. The political environment also shapes demand conditions. For example, high…...
General Motors was founded in 1908 and has been the largest manufacturer, designer, building and marketer of cars and trucks throughout the world since 1921. It sells vehicles in more than 200 countries worldwide and maintains assembly, manufacturing, distribution or warehousing operations in 53 of these countries. In 2000, it sold 8.6 million cars and trucks - constituting 15.1% of the entire world vehicle market (the world's biggest share) at $4.5 billion net sales and $184.6 billion in revenues. (General Motors). It envisions itself as the enduring world leader in transportation products and related services, whose goal is "to maintain this position through enlightened customer enthusiasm and continuous improvement, driven by the integrity, team work and innovation" of its employees. (General Motors)
The organization operates in four regions. The first, which has the largest market at 27%, is the GM North America. This region designs, manufactures and markets vehicles for the…...
mlaBibliography
Business Wire. Raytheon Chosen by General Motors to Provide Dealership
Technical Training, 1999
2. Insider. XV8 Power: Another Intriguing Concept Engine from the General.
McMullen Argus Publishing, Inc., 2002
Automative Industry and Computers
Management Information
How computers (over the years) have affected and changed automotive industry and auto sales.
How computers (over the years) have affected and changed automotive industry and auto sales.
History of Automotive Industry
Time Line of Developing Technologies
Emergence of Flexible Manufacturing Systems (FMS)
Kaizen
The ole of Computers in Sale and Marketing
How computers (over the years) have affected and changed automotive industry and auto sales.
Current essay is a discussion of the role and impact of computer on manufacturing and sales of autos. To better understand how and why the automotive industry is where it is today, a brief historical background of the automotive industry is offered. The development of the automobile can be tracked back to 1769 when Nicolas Joseph Cugnot of France built the first vehicle, (Olsen 2002). Cugnot is recognized by the British Automobile Club and the Automobile Club de France as being the first producer of a car. The…...
mlaReferences
Banham, R.(2002). The Ford century, Ford motor company and the innovations that shaped the world. New York: Artisan.
Erjavec, J. (2005) automotive technology, a systems approach (4th Ed.). New York, NY: Thomas Delmar Learning.
Kalpakjian, S. (1995). Manufacturing engineering and technology. Reading, MA:
Addison-Wesley Publishing Company Inc.
Internet Strategies Adopted by Automobile Companies in a Changing Business Market
This is an article on the Internet strategies adopted by automobile companies in the changing business scenario.
hat is the most recent fad that is tempting, informative and dangerous? The author would have loved to hear the responses from an audience, because none would have mentioned the Internet as the answer, and that is exactly what it is. Tempting because companies fall for the hype that the Internet has the potential to increase their profits by huge unrealistic percentages. Informative because the company is soon informed by its event managers that the virtual world is not what it was originally thought of, and dangerous because even after burning their fingers, they keep coming back for more! The reason why the come back is plain simple: the Internet is not directly responsible for the drubbing they received, It is their strategy that…...
mlaWorks Cited
Author Not Known1, Global Vehicle Sales To Fall 11% In 2001-02 New Report Concludes.(Brief Article), Accessed on July 11, 2002http://www.findarticles.com/cf_0/m0UDO/14_13/84740455/p1/article.jhtml?term=Global+Vehicle+Sales
Dallan Greg, 2000, Automakers Rev Up Web Strategies
Accessedon July 11, 2002http://www.thestandard.com/article/display/0,1151,8969,00.html ,
Conlin, Rob, 2000, Ford and Trilogy Forge E-Commerce Alliance, accessedon July 11, 2002http://www.ecommercetimes.com/perl/story/2563.html ,
According to Leuilette the only way of accomplishing this is if the, "auto industry flexes its lobbying muscle and pushes Congress to enact a gas tax to pay for research and development. Otherwise, according to Leuliette, the United States will become even more dependent on shrinking foreign oil supplies. Toyota is the second-largest carmaker worldwide and reported that it intends to increase its' lead over Ford. Toyota is expected to remain the worlds most profitable carmaker after making a net profit last year of double its' nearest competitor. Further stated is that, "Japanese manufacturers have been able to steal market share from the American producers in their home market, recently starting to compete against U.S. pick-up trucks and large offroaders, the most profitable vehicles.
Toyota is also rapidly gaining share in Europe and is building new factories there as well as in China and the U.S. On Tuesday the scale…...
mlaReferences
CEO to Metaldyne Corporation Calls for Fuel Cells in Cars during Automotive News World Congress (2005) May 3 NewsTarget.com Commentary http://www.newstarget.com/003938.html .
Toyota takes load in global car sales, putting Ford in second place Tuesday, May 03, 2005 Commentary | http://www.newstarget.com/001433.html .
Toyotas West Virginia Plant Expands Again, Bringing 150 New Jobs
Automaker to Manufacture Additional Automatic Transmissions
2007 Economic Crisis on American Car market
Effect of the 2008 global economic crisis on automotive industries
Crisis in the United States
Crisis in Canada
Crisis in ussia
Crisis in European markets
Crisis in Asian markets
Effects by other related crisis events
In this paper, we will review the effects of 2008 global automotive crisis. Our main focus will be on the American car manufacturers and the negative impact they suffered due to the crisis. We will also have a look at how this crisis had affected car manufacturers in other major markets around the world notably Europe, Canada and the prominent Asian markets such as China and India. Finally, we will look at some of the other factors which were important to this event namely the energy crisis since the cost of fuel is directly related to the car industry.
Introduction
The automobile industry is a very important part of the global economic structure, in many of the…...
mlaReferences
Lee, C. (2003). Financial Liberalization and Economic Crisis in Asia. New York: Routledge.
Pempel, T.J. (1999). The Politics of Asian Economic Crisis. New York: Cornell University Press.
Arestis, P. (2001). What Global Economic Crisis? New York: Palgrave.
Liou, K.T. (2002). Managing Economic Development in Asia. Westport, CT: Praeger.
Lotus ental Car's CFO feasibility adding alternative fuel vehicles fleet
The problem of switching to a more fuel efficient car, especially ones that are considered non-polluting will arise for all tourist and individual car owners. The reason is the rising cost of fossil fuels and the actions of environmentalists and other powers that try and curb the use of fossil fuels and cars in many places. While the operators have some more breathing time, it can be predicted that in the near future there will be a forced shift to hybrid cars, electric vehicles and non-fuel-based vehicles in all sectors of the world. The automotive industry is itself gearing up for the change. One factor that has made the automobile producers take to producing hybrid vehicles and electric and other fuel vehicles is primarily the costs of fuel as is obtained now. The rising cost in fuel has made automobile…...
mlaReferences
Baker, Linda. (2006) "The Service Economy: Car Sharing Is the New Consumer Model." E
Magazine, vol. 17, no. 2, pp: 16-18.
Becker, Helmut. (2006) "High noon in the automotive industry"
Springer.
New Car Rental Property Proposal
Despite the proliferation of ride-sharing services such as Lyft and Uber, the rental car industry continues to thrive, with average fleet sizes and revenues experiencing significant increases since 2015 (2016 U.S. car rental market, 2017). One market location that is well positioned for a new non-franchise car rental enterprise is Oklahoma City, Oklahoma (OKC) which hosts a world-class international airport, the Will Rogers World Airport, located just 6 miles from the city's downtown. This paper provides an overview of the U.S. car rental market and a description of the basic business model that will be used by the new car rental enterprise which will be known as Stardust Car Rentals. In addition, a description of four performance measures, data collection methods and how the data will be used is followed by an outline and analysis of two cost-benefit decisions that will have to be considered. A…...
Significance of the Study
This study is significant because it sheds light on a very important contributor to local and international trade. Trade fairs have a long history in providing a meeting place for buyers and sellers. They are an important channel of communication for B2B buyers and sellers. This is a significant area for study because there are limited channels of communication between B2B buyers and sellers. The previous sections have diversified the importance of communication to trade. B2B buyers and sellers cannot use mass channels of communication such as television advertising or newspaper advertising. In this market usage of personal visits and demonstrations are the common channels of marketing and communication. The B2B selling and marketing activities are less highlighted in research than B2C activities. Therefore, this study is significant because it explores a very important channel of marketing and communication in the B2B market.
The study is important for…...
mlaUFI.(2009). The Trade Fair Industry in Asia, 5th edition: A UFI report researched and compiled by Business Strategies Group Executive Summary -- for UFI members only." Business Strategies Group Ltd. [online] Available at [Accessed 10 May, 2012].http://www.ufi.org/media/membersarea/studies_reports/2009_bsg_report_summary_andorder_form.pdf
Viardot, E. (2004). Successful Marketing Strategy for High-Tech Firms. Volume 5. NY: Artech House
Yeshin, T. (2006). Sales Promotion. NY:Cengage Learning
IX. Plan of implementation
The implementation plan should have several different parts. The first part is the analysis. The decision has been made to relocate some of the plants from locations with high labor and production costs to countries where these costs are lower. The analysis will need to show which each of these countries are. The idea is that the new countries will need to have some of the characteristics that serve company interest. These would include being close to markets where the products are sod or, if it is the same country, a sufficient purchasing power for the customers in the new locations.
The action plan or actual implementation plan should follow. The implementation plan will include dates and times when things are being moved, prices, for goods that are being auctioned and no longer retained in the new locations, personnel that will need to move to the new locations…...
1. The Evolution of the Automobile Industry: From Horseless Carriages to Electric Vehicles
2. The Impact of Automobiles on Modern Society: Transportation Revolution or Environmental Hazard?
3. Automotive Safety: Innovations and Challenges in Creating Safer Cars
4. The Role of Autonomous Vehicles in Shaping the Future of Transportation
5. The Economics of Owning a Car: Calculating Costs and Benefits
6. Car Culture and Identity: Exploring the Symbolism of Automobiles in Popular Culture
7. The Environmental Consequences of Automobile Emissions: Can Electric Cars Save the Planet?
8. The Psychology of Car Preferences: Exploring the Factors that Influence Car Buying Decisions
9.....
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