Business Competitiveness: Strategies for Automobile Industry

Abstract

Peter Drucker has called the automobile industry as "the industry of industries". During the last few years, the production and management systems have been revolutionized worldwide in the automobile industry. One of the major changes in the industry has been the opening up and growth of several emerging markets. The automotive industry is now facing new and pressing challenges. Globalization, individualizations, digitalization and increasing competition are changing the face of the industry. In addition, increasing safety requirements and voluntary environmental commitments have also contributed to the changes ahead. Size of the organization is no longer a guarantee of success. Only those companies that find new ways to create value may prosper in the future. The purpose of this paper is to present a short overview of the automotive industry today and highlight challenges facing the industry. Based on this perspective, some strategic methodology which enabling them to transform into c...