Chinese Automotive Industry Case Study

In this paper, we analyze the factors for acquisitions, business environment during the deal and intercultural aspects in detail. COMPANY BRIEF Tata Motors: TATA Motors is the largest manufacturer of automobiles in India with revenues over US$ 38.9 billion. TATA Motors is a subsidiary of TATA Group, India’s biggest industrial conglomerate. Before the deal, TATA Motors was the leading manufacturer of commercial vehicles and small cars in India. The company was established in 1945 as a family business and also owns the world’s cheapest car Nano .

Looking at the impact of external environment on select companies, we’ll look at both Ford Motor and General Motor companies. The Ford Motors company approximately had 14 percent market share in the U.S. automobile industry (David, 2011). The company had recovered a lot after the impact of recession in the year 2008. The company has been investing in developing vehicles which use alternate energy sources, and is having global presence and brand reputation for its automobiles. The company has received government support during the recession period, and had to cut down thousands of jobs and adopted latest machinery for enhancing the productivity of the company.

The disadvantage that China will face with this mixed market system is that many hundreds of millions of people still remain poor because most of whom live in more isolated interior regions of country away from prosperous coast; therefore creating a gap between rich and poor. Besides that, the taxation money that the government takes from the citizen which is used for development of the country is only done in the prosperous coast leaving out the other regions of the country. Furthermore, the employees the works for foreign company has to pay high tax rate compare to the government employees (Jerry w; 2011), (Nation Master;

with 15.6% of pieces of the overall industry as indicated by Zacks (2012). Toyota 's net benefit for financial year 2011-2012 consummation Mar 31, 2012 dove by 30.5% and added up to 283.56 billion Yen (3.54 billion dollars) contrasted with 408.18 billion yen from a year prior (Zacks, 2012). The organization was established in 1937 and it contains 317,716 combined workforces starting much 31, 2011 (Toyota, n.d). Toyota was heading in units of auto generation which is its fundamental business in 2010 (OICA, 2010) took after by GM and Volkswagen The first factor that impacts the organization is economic conditions. Price and demand of an item is significant viewpoint which must be considered by Toyota in promoting economy as price and demand impact purchaser what to purchase.

The majority of these were Cars and a sizable minority in cases like General Motors (2.89 million or nearly a third of their vehicles) and Ford (2.67 million nearly half of their vehicles) were Light Commercial Vehicles (SUVs, pickup trucks, etc.). The luxury of being in the U.S. allows these two to tap in to the U.S. citizen’s taste for the LCV and exploit it to their advantage. The rest of the competition quickly slide in to the category of 2 million or more vehicles manufactured per year (Honda, Renault, Suzuki, BMW, Nissan, etc.). Here Fiat Chrysler Automobiles again demonstrates the manufacturers targeting the U.S. market for LCVs derive nearly half of their units produced from them (2.35 million units manufactured). Likewise, Toyota, Hyundai, Honda, Nissan and Suzuki all make the majority of their sales out of cars, not LCVs as their main markets are in Asia where the majority of customers do not care for SUVs or pick-up

Air pollution, essentially, is an environmental problem. But the issue could be explained from three different levels. From the global level, economic globalization is the cause. Economic globalization allowed many foreign companies to build their factories in China. For example, Apple has its iphones and ipads produced in China.

When GM analyses their competition, they need to ensure they are comparing alike vehicles so they can correctly gain the exact data and price their goods in order to make the most of profits. General Motors has demonstrated increase in demand during the past three years. This can be valeted by total sales and records of profit. The Market for Chevrolet crossovers, Cadillac’s and Buick’s percentage of sale went up significant. The Data obtain from the Wholesale vehicle is representing sale made directly to dealerships and others like Fleets to Corporations.

Research Analysis for Business It is my responsibility as a Business Consultant officer for General Motors Corp. monitoring all activities of the company and then review them thoroughly to be able to device more cost-effective and profitable business plans for the organization. General Motors is one of the principal auto makers in the United States and across the globe marketing their automobiles and innovative style. According to “General Motors” (2014). During the earlier years General Motors only held Buick Motor Company, several years later the automaker obtains more than 20 companies including Oldsmobile, Cadillac and Oakland, today known as Pontiac.” (History & Heritage). This Research Analysis will examine

This case study is presenting Enterprise-rent-a car; while the main concern of the topic is motivation. Enterprise-rent-a car is an enterprise providing service which is renting cars. In 1957, Jack Taylor started the enterprise in ST. Louis U.S. in a car dealership’s basement. Nowadays, the company owns over 750,000 cars in service all over the globe. The international operations of the enterprise main concern are providing a well suited and trustable service at an acceptable price; moreover, customers will use the service over and over again.

After reading this passage, I had learned how marketing management plays a major role in any organization. It's very important to know who your audience and to know what your audience expects your companies' product to meet their satisfaction. In this passage, this company called Smart fortwo were created by two ventures Mercedes and Swatch. Their product is an automobile and is designed as mini-SUV with 2 seats, it's nine feet short than their competitor, and have a great value of $14,000. Their main target audiences are baby boomers and retirees.