Key Success Factors Affecting The Car And Automobile Manufacturing Industry

1600 Words7 Pages
Key Success Factors The following factors are critical to the success of a firm competing in the car and automobile manufacturing industry. Positive Company Brand Public image and brand identity are crucial to car manufacturers as cars are status symbols that project its driver’s desired image to the public. Additionally, an automobile is a significant personal investment, which often leads potential customers to conduct thorough research on potential vehicles. Brand perception, therefore, is imperative for a company’s placement in a buyer’s consideration set. (Consumer Reports, 2012) Customer’s form such perceptions from a compilation of attributes such as safety, quality, value, performance, and innovation. Additional factors…show more content…
The key components to increasing market share in EMs is to emphasize on ‘localization’ and ‘flexibility in operations’. Another key differentiating factor in attracting new customers in EMs is the use of innovative financial schemes.(Checknomics) Operational efficiencies The time from design to vehicle roll-out has decreased considerably from the 1980s dropping from 18-24 months to 12. Car manufacturers achieved this by increasing the reusability of components across models and enhancing their manufacturing processes. However, the increasing competition and surge of new technologies will require automakers to remain nimble and agile in order to retain their market position. On a similar note, managing throughput is essential to avoid overproduction or underutilization of capacity. In addition to improved efficiencies in design and manufacturing processes, it is essential for car manufacturers to maintain a motivated workforce. Sustaining good industrial relations not only avoids costly work stoppages, such as strikes, but also reduces defects, improving product quality reliability Access to Latest and Most Efficient Technology and Techniques In today’s world, customer expectations of safety norms has made it a necessity for automakers to incorporate the latest technological features into their latest models. Such safety features include the recent integration of intelligent cruise control systems, blind spot monitoring, lane departure warning
Open Document