Automobile Case Study

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Automotive industry began in the 1890s in the United States. As a result of the domestic market size and the use of mass-production, the industry grew so quick into the largest in the world. The United states is the second largest automobile manufacture in the world by volume with over eleven million manufactured in 2014 according to a survey conducted by Organisation Internationale des Constructeurs d 'Automobiles (OICA). Though the industry began with hundreds of manufacturers, but by the end of 1920s it was dominated by three large companies namely General motors, Ford and Chrysler. By 1950 The U.S produced almost three quarters of all automobiles in the world. From 1970s, high oil prices and increased competition from other foreign auto manufactures affected the companies in the U.S, later the United …show more content…

Foreign automakers are coming into the U.S with more brands, while the U.S automakers are going abroad to compete with other companies in the industry and improve its sales domestically and internationally. One example is Toyota, the company first came into America in 1957 when they opened a dealership in Hollywood California, and that year about 287 customers bought the “Toyopet crown” from the company. Toyota now produce a million and a quarter vehicle in a year with ten plants in the U.S. The company also provide about 39.000 jobs and are engaged with other charity works that amounts to over $700 million to support safety, education and environment. On the contrary, the global competition made the U.S auto industry to expand more to other foreign countries too and thereby increasing their sales. Example is GM motors, the highest car sale automobile company in 2014, it has more than 212,000 workers in 396 facilities within six continents. The company is more innovative with more partners around the world to outperform other competitors in the

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