American Automotive Industry Environmental Scanning

The American automotive industry has been under a lot of pressure over recent years due to increased concern for the environment and increased global competition. An environmental scan on the American automotive industry shows that the global competition is a great cause for concern, new technology is providing an edge, emissions and laws regulating them are as tight as ever, and consumer opinion is reflecting concern for this.

Environmental scanning involves an organization to look at any trend, opportunity or threat that could create issues for their company. Once any of these issues are identified, the organization should consider new strategies that react to these external factors. Issues should be examined that involve not only direct customers and suppliers, but also competitors, any changes in regulations and possible political involvement. External factors will be constantly changing so environmental scanning should occur frequently and regularly to ensure the current issues have been captured. Research and data analysis can help drive decisions regarding overall marketing changes that might be necessary.

Introduction Automobile usage has increased in America and elsewhere in the world. In a research done by Sutherland, J., et al. (2004) “The US has a contributed to 200 million passengers in cars and light truck over the past few years. Further in 1990, studies showed that US cars increased six times faster than human population. The leaders in the automotive industry must adopt some key elements to ensure success in this fast-moving environment. They must invest in knowing their markets, building brands, adapting product strategies and taking long-term view on their goals and objectives. This paper outlines some of the key factors which should be considered. Environmental factors automotive designers and engineers have always said the main threats in the American Automotive industry are the environmental factors such as fuel economy and the clean air regulations. Automotive Emission posed different problems than manufacturing discharges such as coal smoke. Increased fossil-fuel emission has resulted from the million car increase. Irritation smog, which is comprised of carbon monoxide, hydrocarbons, sulfur oxide and other various chemical mixtures are cited in major cities such as Los Angeles. These auto emissions are also said to cause headaches, visual pollutions, contribute to lung cancers and other respiratory disease. In the end, the engineers have designed cars that are better environmental performers, cost effective and fuel efficient to reduce the environmental

During environmental scanning of a company, there is a thorough assessment into a complete global analysis. This involves companies, markets, clients, industries, and businesses in the same market. For this study will consider the trends, technological events, successes, and expectations in business.

With the upcoming Presidential election, there is a very real possibility of big political challenges; as well as, major changes to international trade policies facing the American Automotive Companies. Political changes, locally and abroad, are having an effect on the automotive industry. Britain recently voted to exit the European Union; this event, which is being called Brexit, is having a ripple effect across the world. The full result of Brexit won’t be known for two years or more, but with the automotive industry having such a large presence in the U.K, an anticipated change is in full effect. In general, for the next two years, global automakers will need to pay attention to the market; be prepared for unanticipated changes; and ready for the possible need of contingency plans. This is especially crucial as negotiations take place between Britain and the EU. Ian

In regards to the social changes the automobile industry is receiving from heavy feedback from their consumers. There is a need for automobile manufactures and engineers to create vehicles that environmentally friendly and conscious of their carbon footprint. The days of making huge gas guzzlers and air pollutant vehicles are long gone. In response to this social change outcry manufactures have stepped up to the plate, creating more hybrid and electric vehicles. For Autozone this could possible be unsettling, due to the fact that the technology that goes into creating and maintaining vehicles such as these parts will not be so easily accessed.

Environmental concerns have been raised from time to time because of the dependency on the gasoline-fueled engine as the chief auto powertrain technology. This has resulted in exposing many automobile users to unpredictable prices of fuel. These issues were, however, the reason for

The automotive industry is a large industry and a significant economic sector; as it is with all large industries, it has faced many challenges to become the economic giant it is today and will continue to face more challenges in the future. There are not only domestic rivals for U.S. automotive companies to compete with, but strong foreign ones as well. To remain competitive, companies must utilize the latest technology in such a way that their products become more efficient and therefore more competitive. Unfortunately, this harsh competitiveness may make leaders in the industry negligent of the negative impacts their industry has on the environment.

The Automobile industry volume of growth has tremendously escalated in the United States. Years ago there were about 700 million vehicles registered in the world back in 1999, within the USA it contributed over 200 million passenger cars and trucks. In the 1990s, the number of vehicles in the United States had tripled six times faster than the human population back from 1969 to a global perspective on the environmental challenges. This is unbelievable, how industry multiplied and monopolized from years ago. All these issues point to the importance environmental concerns as they relate to the automotive industry. Recently the auto industry and its suppliers were addressed the

Environmental change is an outside variable that makes open doors for Ford to develop through products that assist in environmental conservation. A similar exertion could exploit the low-carbon incline. Additionally, Ford can offer new products that utilize elective fills or power to address the effect of the declining oil holds on the macro environment of auto firms. Hence, in view of the environmental part of the PESTLE analysis, Ford must accentuate item development to enhance its business execution.

The environmental scan of the industry is based on the internal and external sections of the environment. The internal is what a business has influence over and controls that section of the environment. The external part is the opposite of the internal. The business does not have the influence over the section of that environment, nor does it have the ability to control it. “The surveying of a variety of indicators in order to gauge the overall business, economic, social, political, or financial conditions that could affect a project’s development”, Moschetti, T, 2015. This part of the outline I will go over issues that can affect the movement within the industry and at the same time decide the fate of any business.

This need to create ecofriendly cars has meant that many American automobile companies have had to overhaul their processes; not only in investing money to find cleaner sources of energy and ways to fuel cars, but also because they have established protocol and procedures already that will also need to be overhauled. This is clearly a difficult demand for long established companies, many of which are American, because in order to keep up not only with the law but also with

Although the first steam powered automobile dates back to the 1760s, it was not until 1789 when

According to the Environmental Protection article at www.eponline.com, it states that the environmental issues top the list of challenges in the automotive industry, outranking the cost reduction for the first time in 14 years. The survey was conducted by DuPont and the Society of the Automotive Industry. The survey results included the following results and statistics:

This essay will analyze the current environmental challenges faced by the auto industry in the