Industry Analysis & Industry Trends
The Car and Automobile Manufacturing industry endured weak sales during the recession but has since recovered during the current five years due to rising consumer confidence and low interest rates. In addition, more Americans returned to work and consumer sentiment began to recover, making customers more likely to purchase big-ticket items, such as new vehicles. Over the next five years, strengthening economic conditions and returning consumer confidence will continue to fuel the industry, albeit at a slower rate. Automakers will also seek growth potential in the hybrid and fuel-efficient car market as they focus on developing gas-electric hybrid vehicles to increase fuel efficiency and cut exhaust emissions... purchase to read more
Industry Report - Starting a New Business Chapter
With moderate concentration, a high level of capital requirements and rapid technological change, this industry is extremely difficult for new entrants to break into. Generally, manufacturing cars is a capital-intensive enterprise requiring sophisticated manufacturing facilities and robust supply chains. Production facilities use specialized equipment and substantial floor space. In addition, prospective automakers need proprietary or licensed vehicle designs and an experienced workforce. Vehicles are made from thousands of separate parts, so sufficient volumes of reliable supplies typically require long-term contracts with several parts supply firms.
New industry entrants must comply with strict regulatory standards for safety and environmental concerns... purchase to read more