Car market is expanding, the sales is increasing. To meet the needs of customers around the globe, manufacturers are always oriented to the development and continuous innovation for their products. Profitability of the industry is very large, but it will pull additional challenges that manufacturers face to, particularly the uneven distribution of the global market.
These leaders, manufacturers in this field always has had the strategic mission is clear plan in the context of economic turmoil today. Increased demand and attract more customers use will lead to increased profitability and expanded market share. Therefore, the emphasis on navigation will help the businesses achieve their certain success.
The obvious change of the automotive industry
After going through the development process in many recent decades, the industry has towards and focus on directly to the needs of consumers on the factors like safety thanks to the support from the smart devices, save fuel and protect the environment clean and strengthen the necessary resources.
On the user side, they always trust to the brand of the famous brands and the budget to pay for the cars to express their own class than are the features that manufacturers focus on.
To reconcile the two factors of supply and demand is not easy. The new model adds costs and bring about certain effects. Consumers can search the information luxuriant as specifications, quality and evaluation, prices across the media as well as direct sales agents, showroom …
Impacts on automotive sector
Manufacturer brought new trends to the market but can not avoid the challenges of the risks may be encountered. These changes bring both positive and negative, and need solutions to balance between the two elements.
- The cost of having to pay more for the establishment of software and new electronic equipment higher, but in return, the contribution of this feature brings greater efficiency in advance.
- Outstanding quality and safety assurance are the characteristic elements of each product. The support functions in the driver's who seeks to use to help them feel more secure and confident, thereby contributing to increased profitability for the business. For example reminder function to time maintenance is preferred.
- The collection of consumer information to ensure providing good customer service, maintain and increase customer loyalty is one of the issues that need attention.
- Not just innovation in hardware, software interacts with the investment should also be enhanced to accelerate the change of this product line.
- The costs incurred in the process of setting up the equipment alert danger, ensure the safety of consumers as well as a difficult challenge. Due to pressure from consumers as well as competitors, the construction of a new model is needed in an appropriate price to be competitive.
The investment makes a positive innovation in the automotive industry globally has opened up a new era. Learning from competitors, create breakthrough differentiation of production, the producers gradually expand the market with a new approach, focusing primarily on product quality, service and still meet customers’ expectations about the utility and safety while maintaining the prices of vehicle.