Environmental Challenges Facing The Auto Industry

1148 words - 5 pages

People all around the world use cars and trucks to transport themselves and their goods from place to place, so analyzing the auto industry gives insight into hundreds of millions consumers worldwide. Since there are cars in nearly every country, the supply and demand of automobiles greatly increases each year, as people want a faster, more convenient way of travelling. At the same time, emissions from automobiles add to the growing pollution in the environment, which also affects people around the world. Since environmental change and automobile use are directly linked, the environment and climate change, as well as ideas to pursue new regulations, have a strong impact on the auto industry.
Based on the case analysis of the auto industry (Highfill, David, et al., 2004), there are many ways in which the auto industry has changed in recent years. Regulations are not just a recent development: since 1960, according to Highfill, regulations from the government affected the industry. Many of these changes are for safety and environmental reasons, and these new regulations still occur today. Since so many people want to buy large vehicles in order to travel, and the population of the world keeps increasing, every country has its own demand for vehicles. Some places require different types of cars than others: smaller cars are popular in South Korea, while big vehicles are common in the USA. In order to combat this trend of buying large cars, some cities have started banning types of cars: according to Highfill, the city of Paris wants to ban SUVs from inside the city limits, because they take up too much space and use too much fuel. This is a great way for cities to take action to reduce the negative impact on the environment that most automobiles have.
There is significant global competition in the industry, but only between a handful of groups that dominate the markets. In the USA, the auto industry is the biggest consumer of computer chips, certain metals, textiles, plastics, vinyl, and rubber (Highfill, 2004). Because of all the jobs necessary to create these cars, sales of automobiles are almost four percent of the GPD in the USA, which is a huge percentage for one industry! Other companies around the world are Volvo, Toyota, Saab, Aston Martin, BMW, etc. Since different countries want different types and brands of cars, certain car companies tend to be popular in one place or another. Kia trucks are common in South Korea, since they’re small enough to get through narrow alleyways that SUVs could never pass through. In contrast, large semi-trucks are typical in the USA, because they need to carry large amounts of goods long distances on highways. This requirement in different countries helps the consumers choose to support certain auto companies over others, but since there is such a variety in choice, all the companies stay relatively stable.
New technology plays a major role in the auto industry. The push for alternative fuel vehicles and...

Find Another Essay On Environmental Challenges Facing the Auto Industry

The challenges facing governments to preserve the enviroment

5545 words - 22 pages mining waste are left behind and these waste often contain many poisonous substances that will contaminate the soil.Agricultural WastesBesides domestic waste, pesticides and herbicides used by farmers to increase crop yields also pollute the land when they are washed into the soil.WATER POLLUTIONIntroductionWater pollution is one of the most serious environmental challenges. It occurs when water is contaminated by such substances as human and

The Recent Challenges That UAE Health Care System Facing

984 words - 4 pages The Recent Challenges That UAE Health Care System Facing The UAE health care system is one of the important organizations in the country with a high standard, goals and programs. Since 1990, UAE had a new modern healthcare system with more facilities and a lot of professional physicians. The modern system is able to solve many challenges that were in the past such as the small number of hospitals, doctors and hospital beds. However, the

The Effect of a Struggling Economy on the Auto Industry

1399 words - 6 pages Introduction When the “Sub-Prime Mortgage Crisis” began in 2008, it triggered a global recession. Demand decreased across all industries, but the auto industry was hit especially hard due to vehicles being big ticket items. Even prior to the recession, the high prices of raw materials and fuels, as well as increased pressure from the government and consumers for automakers to build “greener” cars meant trouble for automakers. Within the

Globalization of the Auto Industry: Competition and Cooperation

2319 words - 9 pages try to solve the problem of carbon emissions. The negative sides of the automobiles cannot only be collective, but the collection of the positive sides should also be appreciated with a global perspective. Can the feeling of success and safety of owning a car be directed to environmental sustainability? Both competition and cooperation should be mutually pursed. Despite competition between U.S. auto industry and European Industry, the need to

A Comprehensive Review of Economic Indicators and the Auto Industry

5498 words - 22 pages The goal of this paper is to provide a comprehensive discussion of six economic indicators and their impact on the automobile industry. The indicators to be reviewed are personal income, unemployment, retail sales, auto sales, the inflation rate, and Gross Domestic Product. A brief history of the auto industry, an industry overview, and a SWOTT analysis will be presented. In addition, each indicator will be defined along with the current status

Challenges of the Automobile Industry of USA

1161 words - 5 pages As we all know, automobile industry plays an important part in the economy of USA; however, this industry is facing some environmental challenges. In this assignment, I would like to discuss about the challenges that the automobile industry of USA is struggling with. Specifically, there are four main challenges that will be looked into details which are global competition, new technology, emission’s effect on the environment and the government’s

New Challenges faced by the Music Industry

2725 words - 11 pages New Challenges faced by the Music Industry David Brine The music industry faces new challenges, both technological and legal, and must learn to embrace, or work with these, while protecting their rights as producers. The new phenomenon of the MPEG Layer 3 encoding (MP3) and the peer-to-peer networks present a challenge to the traditional recording and distribution methods. Before now, there has never been a large-scale piracy network such as

The Environmental Effects of The Oil Industry

3591 words - 14 pages The Environmental Effects of The Oil Industry The worst imaginable environmental catastrophe that could occur in Maryland has just become a reality. The lifeblood of Southern Maryland's Watermen has been forever affected. The ecosystems of the Patuxtent River and Chesapeake Bay have been irreversibly contaminated. The Three Mile Island and Chernobyl Nuclear Accidents have affected the world ecosystems; but the Chalk Point oil spill has

Opportunities and Threats facing the U.S Airline Industry

1560 words - 6 pages Opportunities and Threats facing the U.S Airline Industry The health of the overall U.S airline industry is still tenuous in-spite of the passenger traffic volumes returning to pre-9/11 levels. A survey estimated that from 2001 through 2003, the US airline industry reported to have lost $23.2 billion dollars, compounded by an additional $1.6 billion in the first quarter of 2004. This $24.8 billion shortfall exceeds the total profits earned

Assess the challenges and opportunities facing foreign investors seeking to invest in China

2519 words - 10 pages Assess the challenges and opportunities facing foreign investors seeking to invest in ChinaIntroductionChina has become one of the most fast growing countries in the world since economic reform and market reform in 1979. The impressively booming economy and good investment environment attracts more and more world's capitals seeking to invest in China, however not only opportunities but also challenges are facing to foreign direct investment (FDI

The Vermont Teddy Bear Co., Inc.: Challenges Facing a New CEO

1252 words - 5 pages The Vermont Teddy Bear Co., Inc.: Challenges Facing a New CEOIntroductionVermont Teddy Bear Company was founded in 1981 by John Sorinto selling handsewn bears out of a pushcart in the streets of Burlington, Vermont. Since this time, the company[s focus has been to design, manufacture, and direct market the best teddy bears made in America using quality American materials and labor.Until 1994, Vermont Teddy Bear experienced a great deal of

Similar Essays

Environmental Challenges Facing The American Auto Industry

1414 words - 6 pages percent have become the number one volume producer in the world OICA (2014). The United States at 6.9 percent has dropped in position to the second highest volume auto producer in the world. The focus of this paper will be about the environmental challenges facing the American auto industry. In this title the word environment, speaks of the general elements (e.g. political, technological, economic, social, legal and environmental) that affects the

Environmental Challenges Facing The American Auto Industry

976 words - 4 pages Industry: Consumer opinions about the Auto Industry Analysts forecast a V shaped growth routine for the automotive sector worldwide. While the U.S. automobile sales prognosis is supporting, health care and pension prices jeopardize gross profit for U.S. automakers. In 2013, the U.S. vehicle sales recovery has been driven by fleet revenue sales of a multitude of vehicles to firms such as rental-car services and industrial truck operators. This

The Auto Industry Essay

814 words - 3 pages In the automobile industry, a great proportion of income comes from selling automobiles. Globalization is the inclination of world investment and business to move from a country and local markets to a worldwide environment, is a major factor that affects the auto market. More than ever, it has been easy for foreign auto dealers to enter the American market creating competition. Competition is a major factor that takes a toll on the auto industry

The Many Challenges Facing World History Teachers

1150 words - 5 pages tests in my U.S. History assessments and take a more non-traditional approach such as incorporating group discussions, projects, and student presentations. I feel that U.S. History provides many more opportunities for active instruction as a means of assessment instead of unit tests. On the other hand, one of the many challenges facing World History teachers is the development of classroom assessments that are on the right scale. This is because
Fantasista 2 Counter Attack | IMDb: 7 S3E2 Berlin Station - Season 3 | Hahaha (Movie)