CAR BRAND INDUSTRY

Car Brand Industry

Car Brand Industry

Introduction

The automotive industry is a vital part of the UK economy. The UK produces over one million cars brand 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 car brand 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. 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 (Great Britain, 2009, 78).

Background

United Kingdom is one of the most dynamic industries in the car brand world. Large, middle class population, improving income levels and strong technological capabilities have stimulated the demand for cars in the country for years. The industry, in fact, continued positive growth momentum, even amid the economic downturn on the back of strong domestic demand for compact cars. Based on the demand for passenger cars growing in the country, multiple domestic and foreign auto giants are developing strategies to expand capacity and billions of dollars of investment are already in preparation. It has been expected that these investments result in the rapid development of the automotive industry of tourism in the country for years to come (Johnson, 2002, 212).

Furthermore, developments in passenger cars in the industry are strongly influenced by the performance of the compact segment. The increase in disposable income, changing lifestyle and preference for luxury transportation, but profitable in urban and peri-urban moved the pointer to the growing small car market, despite strong pressure from the increase in fuel prices and interest rates. Almost similar trend is expected to prevail during our forecast period, which will ultimately raise the prospects of the industry of cars in the country.

Discussion

As a comprehensive motor car produces, 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 people. Nowadays society judges people on the category of car you drive. Manufacturers recognize this and target their markets by these ...