The Impact Of Global Industry On The Us Automobile Industry Essays

The Impact Of Global Industry On The Us Automobile Industry Essays

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he American auto industry has seen many changes since its first car was built. From steam powered vehicles to electrical automobiles, the industry has literally paved the way for some of the most innovative ideas the world has ever seen. However, to remain in the forefront, the industry has had many obstacles stand in its way.

Global competition in the industry

There are many trends that can affect the US automobile industry. Today, the biggest impact globally for US automakers comes from East Asia, China specifically. In 2014, China produced 23,722,890 vehicles (Organisation Internationale des Constructeurs d’Automobiles), with car makers in Europe coming in second with 16,976,883. This put the US in third place, with over 11 million vehicles produced in 2014. For many years, the US was the industry and world leader in automobile production. The US has slowly declined from making over 90% of the worlds vehicles after The Great Depression to its current ranking, (Aichner, T.; Coletti, P (2013). "Customers ' online shopping preferences in mass customization". Journal of Direct, Data and Digital Marketing Practice 15 (1): 20–35).

New technology for powering the product that this industry produces

In order to stay ahead of the consumer curve and remain profitable, car makers must look to advancing technology to stand out from the crowd. Today, car makers have made Bluetooth connectivity “indispensable,” (Jeremy Laukkonon, 10 Must Have new car Technologies). This technology enables the driver to pair their personal cell phone to the stereo for hands free and safer driving. GPS navigation is not only for separate devices any longer. Cars now come equipped with GPS capabilities. Most even come equipped with “live traffic info...


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...idsize vehicle. Consumers feel the reliability of this car has improved substantially. (10 top American cars you can buy, March 5, 2015, http://www.consumerreports.org/cro/news/2015/03/10-best-american-cars-you-can-buy/index.htm). Consumers did not feel this reliability was across the board for Ford, however. Ford Focus did not qualify as ranking in the compact car division for dependability. There are many car options to choose from in the US. Consumer opinions and reviews are quite varied in this regard. When many American auto companies moved their facilities out of the US to other countries, this was seen as an end of an era. Consumer opinions were low and quite shaken. However, when Chrysler and General Motors were able to make their comeback from bankruptcy, there was a sense of relief that the American auto industry was finally on its way to former glory.

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