Analyze a Global Trend and Explain the Driving Forces and/or Contributing Factors Affecting the Competition Within a Specific Industry.

1487 WordsJun 2, 20126 Pages
Analyze a global trend and explain the driving forces and/or contributing factors affecting the competition within a specific industry. The world population will increase another 3 billion to 9 billion in 2044 (Figure 1), with the imbalance growing between population numbers and vital life sustaining resources, humans must actively conserve cropland, freshwater, energy, and biological resources. Humans need to develop renewable energy resources to reduce the damages of earth resources and diminishes of human being. The World Health Organization says that about 2 million people die prematurely every year due to air pollution globally. There were estimated that over 600,000,000 passenger cars in the world today…show more content…
A change in the price of a complementary product (e.g., gasoline, batteries, and tires) could have a significant impact on the demand for automobiles. Recently, manufacturers are building interior components using recycle products (Example). As the gas price are increasing, consumer main concern when choosing the car is the vehicle composition. Recently, all car manufacturers are building electric car which is generated by batteries. Even with sufficient of lithium-ion batteries in the market (Eric Loveday) (Figure 2), the price of the batteries will increase when everyone are replacing gas with battery. In UK, some car rental company offer short-term rentals of car within communities and between neighbours. In this way, it allows the consumer to be both Eco-aware as well as budget savvy (collaborative-consumption-car-sharing) With high technology and recession, people tend to travel less. Most meeting, discussions or lesson are held online, this will decrease the demand of car and traveling. The bargaining power of customers (buyers) - Consumers will have the bargaining power over the dealer as the price is very competitive over different brands and models with close range of specification. Consumer can easily switch dealers within the market, depends on their preference of models and budgets. In additional, all consumers can access via internet for the product details comparison (e.g. specifications and price). Overall, consumer

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