Overview
The United States has one of the largest automotive markets in the world, and the American auto industry has had a huge impact on the economy. According to Commerce.gov, an average of 8 million passenger cars were produced annually between 2008 and 2012. “In 2012, the United States exported approximately 2.6 million vehicles valued at $63 billion to more than 200 countries around the world.” (The Automotive Industry).
Political
Laws and regulations affect the way every automobile producer designs, builds, and sells their vehicles. Regulations are usually centered around consumer safety, but policies also effect emission standards, alternative fuel vehicles, taxes, and trade (Political Environment).
In 2008, the American automobile industry was on the brink of collapse and vehicle sales had dropped nearly 40 percent. The collapse threatened the overall economy and would have resulted in the loss of over one million
…show more content…
The government’s actions not only saved GM and Chrysler but they saved many businesses up and down the supply chain.” (Auto Industry).
Social
Social media has impacted every business in American, and the automobile industry is no exception. Digital Air Strike is the top automotive customer management company in the United States. In a recent report, they revealed that “Online reviews for dealerships have become the single biggest factor for consumers in deciding which dealership to buy from.” (Social Media). Their report brought social media marketing to the top of many automotive dealer’s priority list.
Technology
Although gas prices are falling automobile producers are experimenting with new technology to increase fuel economy including hybrids, alternative fuel vehicles, and even fuel cell concept