Chapter 11, Problem 14CSQ

Explanation of Solution

Self-driving cars:

Self-driving cars are considered by major companies as a good investment because of the rapid growth in necessary technology and development of a favourable market.

• Autonomous industry market size is expected to grow to $7 trillion in the next few decades, thus, it is an important strategy to invest in for automakers.
• Therefore, major manufacturers like Ford, Toyota, GM have invested a lot in its development.
• Although a big initial investment, a good product developed can result in high profitability
• Also, the growth of autonomous vehicles will affect the traditional car market and car makers must move towards these services to adapt themselves...