The Expansion Of The Automotive Industry Essay

The Expansion Of The Automotive Industry Essay

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Auto executives must pay attention and constantly review market patterns in order to position themselves to take advantage of them. The expansion of the automotive industry in the past few years was attributed to strong sales in the U.S and market changes within the BRIC nations, consisting of Brazil, Russia, India, and China. Most of us already know what BRIC nations are The United States which is one of the largest contributing players of the auto industry experienced severe economic market changes in 2009, which was attributed to a spiraling economic downward slope. Times were at their toughest and some companies weathered the economic storm better than others. Auto executives had to quickly readjust their strategies on how to stay afloat during these times. With government assistance, improved product quality and service the U.S. auto industry successfully recovered. China’s new car sales have been on an upward trend since 2013 experiencing double-digit growth. China’s growth is due in part to the re-entry of Japanese brands in their market after a territorial dispute in addition to continual growth of China’s working middle class. Japan’s car sales and production declined due to a higher motorization density accompanied by an aging population. One in every four Japanese consumers is over 65 and the baby boomers are about to retire resulting in fewer consumers requiring the purchase of a new car to commute to work. The strength of the Yen in 2013 resulted in expensive Japanese exports, causing auto manufacturers to shift their production to overseas markets where vehicles were sold. The auto industry continues to experience a global increase in sales from younger populations. India has one of the fastest growing younger po...

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... build their brands. Products, services and brands all need to work together to support purchase decisions.

Change a little and get better production. Even companies that have been successful should keep changing their business as standing still means falling behind. That means moving into the markets that are growing, like China and South East Asia, Brazil, Russia, India will be more and more important. The industry 's footprint should change a lot the process that 's already begun. Automotive companies should be able to successfully deal with complex difficulty. For executives, that means fully understanding the true, direct and indirect costs of complex difficulty, but also its benefits so they can make better decisions. Set the right things that are the most important. The automotive industry is changing, and so is the relationship with its consumers.

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