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The Social Responsibility Of The Automobile Industry

Decent Essays

Demographic
Rising wealth is a big trend going on in demographics. This means that more people are going to be buying cars when maybe before they couldn’t afford one. We are seeing an increase in the number of vehicles on the road worldwide along with the geographical trend of more people moving to urban areas. This might create a challenge with mobility issues with so much congestion.
Sociocultural
Today’s society now has a greater concern for the environment which can affect the automobile industry. More people want hybrid or fuel efficient cars to decrease their carbon footprint. People also want to see businesses take on more corporate social responsibility as well as continuing advances in technology.

Political/legal
Legal issues come up when doing business in foreign countries that can be sometimes very costly. Ford of South America suffered an estimated loss of $300 million due to trade restrictions, which resulted in a weaker South American market.
Technological
There has been greater focus on sustainability, nanotechnology, and wireless communications improvements. The automobile industry has made advances with fuel efficiency and driver accessories. Ford CEO Mulally saw the automobile as the all-time mobile device and has headlined many Consumer Electronics Shows. The new technology involved serves as a link between the car and the consumer requiring more built-in communications and voice control.
Economic
Knowing the state of the economy is always necessary

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