Free «Automotive Industry» Essay Sample

Dear Mr. Ryan McDonald,

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Thank you very much for your invitation. I am grateful for this opportunity, as it will give me a chance to meet with my former classmates. Since I joined the automotive industry, after my graduation, a lot has changed. For a number of years, the industry had observed a number of perils. However, over time, the growing economy in the world has translated into increase in car sales in most markets. For instance, the levels of quality and productivity have increased without increase in price (Kennedy, 2005). The automotive industry is producing cars that are safer, more fuel efficient and technologically advanced than ever. In addition, the industry has grown from an image that was associated with dirt and dangers, to an environment of quality skills, new technology, and dynamic trend.

When the motor industry faced a global financial crisis, companies found the going very tough. This was a big threat to the motor industry as many consumers avoided buying vehicles, which have even low fuel consumption. However, on seeing this, a number of companies managed to device a way out by creating marketing strategies to encourage adamant customers to buy cars. One of the methods included, offering discounts to customers. This idea was not received well by critics who argued that it was wrong at a time when the prices of fuel had gone up. However, automotive industry did not succumb to pressure from critics and many customers turned to quality and fuel-efficient cars from a number of companies that offered this service. This was a major boost to the automotive industry. Eventually, motor vehicle companies based in Japan and United States realized a good profit.

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In the next two decades, automotive industry has expectations on the transformation of its structure and technology in order to be competitive and meet the needs of consumers. This complex shift will see many motor vehicle companies emerge as key player in the automotive industry. By 2035, the companies will have increased sales in major markets, which comprise Japan, parts of Europe, Korea, and America. In a bid to ensure that the companies remain competitive, they will rely on big volume worldwide platforms backed up by networked system in major emerging markets. It is anticipated that it will be a new era, where consumers globally will be cost conscious than it has ever been witnessed. This will be evident in developing nations where many people will buy their first ever car.

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By 2035, environmental issues will also count a lot on the automotive industry. Many, if not all motor vehicle companies will join in the race of developing and manufacturing electric cars. This will emanate from demands by consumers and the government, with that in mind, it will mean that not all vehicles bought in developed nations, would be using internal combustion system. This specific technology will spark war for talent by 2030 (Welding Institute, 2000). Putting all this into consideration, it means that the future workforce will not only require advanced skills but will also require being flexible so that big motor vehicle companies can hire them. At every level, it will demand an advanced proactive approach for training as part of more complicated and comprehensive approach to management. With all this happening, it will mean that, the challenge to get highly skilled employees will hit developed nations.

Finally, it must be remembered that, for all this to come true, the government must come on board and play an active role in the automotive industry. The investment from the government will through loans and incentives will have a very big effect on the industry's direction. Their continued support to international automotive companies, besides putting in place energy, and environment related policies will help a lot in shaping automotive industry globally over the next twenty-five years (Wells & Nieuwenhuis, 2003).

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