Strategy

Pages: 3 (537 mots) Publié le: 13 février 2011
What factors have contributed to the growth of the automotive industry and probably to competition?

The automotive industry designs, develops, manufactures, markets, and sells motor vehicles. Thefirst automobile was created in 1885 by Karl Benz and the automotive industry was born in 1902 with the large-scale, production-line manufacturing of automobiles.

In the last century many factorshave contributed to the growth and competition of the sector.
- Revolution of production method Ford Taylorism
- Technologic changes
- The First World War
- Development ofinfrastructures and safety
- Change of the society
- Energy sources
- Rise of new markets

The first factor of the growth and the competition is the large-scale production and the search forimproving production methods. The best illustration is Ford and the Ford T. The car constructor was searching for productivity and he imagined his method named “Fordism” a combination of assemblylines, high wages and efficiency. His method was so efficient that during the first decades he dominated the market with Ford France and Ford Britain in 1911, Ford Denmark 1923 and Ford Germany 1925. In1921, Citro
en was the first native European manufacturer to adopt this production method.

The second factor of competition and growth was the technologic changes and invention. Electric ignitionand the electric self-starter by Charles Kettring , independent suspension, four-wheel brakes, pneumatic which was created in 1895 by Michelin. All these changes were very important in the history ofthe automotive industry.

The First World War was also a key factor. Automobiles were essentials for the transportation of troups, munitions and food. We can quote the example of the “taxis de laMarne” to underline how important cars were.

Over the years another very important point was the development of safety through facilities and security equipements. For example safer roads, highways,...
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