Industry Analysis & Industry Trends
The Car and Automobile Manufacturing industry endured weak sales during the recession but has since recovered in the five years to 2014, 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 five years to 2019, the strengthening economic conditions and returning consumer confidence will continue to fuel the industry. 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 succeed in. 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 entrants must comply with strict regulatory standards for safety and environmental concerns... purchase to read more