BUSINESS

The UK Motor Car Market

The UK Motor Car Market

Introduction

Steeple analysis considers a number of exterior factors that could influence corporation operation of a firm. This instrument is typically accustomedaccustomed to establishing individual factors that could influence corporation or business. Thereby, Steeple analysis discounts with political, financial, social, environmental, legal, moral and technological factors that have equally optimistic and damaging impression within the organization or thriving market. Steeple Analysis is an excellent means of evaluate and exterior environment through which the company is working. Furthermore, Steeple analysis also can offer recommendations on how to respond to challenges and address challenges, if any. Among crucial advantages of Steeple evaluation is the concentration on external variables that influence corporation operation and capability to reply to certain issues (Sum, 2010, pp. 45).

Discussion

The automotive industry is a vital part of the UK economy. The UK produces over one million cars and commercial vehicles and over two million engines annually. The automotive sector contributes over 10% of total UK exports, delivering an average annual export value of more than £25bn over the last five years. The automotive sector exports to over 100 markets worldwide. It has the fourth highest R&D spend in Europe and represented a fifth of core global R&D activity in 2010. The automotive industry employs over 700,000 people from manufacturing to retailing and contributes £8.5bn added value to the economy. In 2010, the UK exported 75% of the vehicles it manufactured (Cadle and Turner, 2010, pp. 15).

The UK is home to seven volume car manufacturers and eight car vehicle manufacturers. It has the largest number of specialist sports car manufacturers in the world and 19 of the world's top 20 suppliers. The motor car industry in the United Kingdom has very bright future and is focusing on the agenda of low carbon emission. It is investing in research and development, which will ensure safer, cleaner and fuel efficient motor cars.

Steeple Analysis

There are different variables that operate within the environment of an industry; one tool that can help analyse the environment or an industry is the PEST analysis. This is a simple examination of an industry's Political, Economical, Social and Technological environment. This analysis can be extended to a STEEPLE analysis, which covers additional dimensions like ethical, legal, and environmental. To help assess the environmental factors (socio-cultural, technological, economic, ecological, political, legal and ethical STEEPLE) that influence your target audience(s) and the way they behave. The following section will offer an analysis of the market environment for the UK motor car market (Ward's Reports, 2006, pp. 45).

Socio-Cultural

As a comprehensive motor car produce, UK motor car manufacturer tries to consider the social aspects, religions, ethical issues and different cultures, when they are producing or selling cars. With high index of education people are well aware about the problem of toxic gases produced by cars, which help the eco-car cause. People of UK are very particular about protecting their environment as they have learnt the lesson from the Great Smog, which killed around 4000 ...