Introduction to Automobile Industry

Topics: Automotive industry, Renault, Opel Pages: 7 (2474 words) Published: December 9, 2012
The automotive industry designs, develops, manufactures, markets, and sells motor vehicles, towed vehicles, motorcycles and mopeds as defined in ISO 3833, and is one of the world's most important economic sectors by revenue. Automobiles changed the world during the 20thcentury, particularly in the United States and other industrialized nations. From the growth of suburb to the development of elaborate road and highway systems, the so called horseless carriage has forever altered the modern landscape. Themanufacture, sale, and servicing of automobiles have become key elements of industrial economies. But along with greater mobility and job creation, theautomobile has brought noise and air pollution and automobile accidents rank among the leading causes of death and injury throughout the world. But for better or worse, the 1900s can be called the Age of the Automobile and cars will no doubt continue to shape our culture and economy well into the 21st century INTRODUCTION TO PHUKET INDUSTRY

Phuket Automobile is an Asian Car manufacturing company established in Malaysia with it headquarter in Phuket. Phuket wants to enter in Swiss market as a test market. It was established in 1995 in Malaysia by a joint venture between Matusiti and Government of Malaysia, where in Govt. Of Malaysia has 75% stake in it and Matusiti has 25% stake in it. Phuket is entering into a new market in Switzerland where Swiss market is famous for manufacturing the parts of the car. The company is expanding its geographical reach and is now planning to enter into the European market for selling its car. In Europe the company has selected Switzerland as a test market for selling its car. The company will be selling two models in Switzerland by the name of Phuket Saloon and Phuket Persona. For this purpose company is planning to open a wholly owned subsidiary company in Switzerland to import the cars. The company has done a market research about the Switzerland automobile market and the leading brands and company has also done a segment analysis to find out its target market in Switzerland. There are few advantages which Phuket automobile poses which are its competitive advantage over other car manufacturing companies.

Switzerland has the highest rate of car ownership in Europe. In the seventies and eighties the market was volatile, with Japanese producers challenging their European and American competitors with lower prices and more standard features. Today it is the ambitious South Koreans, like Hyundai, who are driving competition in the market.

To become world leading automobile company
To be the premier provider of automobile products and related services in European and other selected markets. SEGMENT ANALYSIS
In Switzerland the automobile industry is segmented into three categories - 1) High End segment – BMW, Porches, Audi, Mercedes
2) Mid Segment – Volkswagen, Skoda, Toyota
3) Low Segment – Ford, Renault, Opel

First and foremost, the auto industry must engage and adopt sustainable practices, whether it is the wages and benefits it pays its labour force or maintaining a dealer network that is optimized to meet the size of organic demand. Makers must abandon the mistaken belief that "any sale" is a "good sale". For automobile industry there are certain critical success factors which should be taken care by all companies in that sector. Quality and Compelling product:

Automakers must also ensure the quality and compliance of the vehicles they are selling in various federal and local regulations. Including their emissions standards, fuel efficiency and safety industry. Few examples can be more clear than Ford's homespun renaissance it undertook in 2006. It's no longer in the business of promising customers great products to come; the products are in showrooms and driveways today, and Ford's certainly not...
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