The Challenges Of The American Auto Industry

Improved Essays
The American auto industry is dealing with a lot of challenges in order to manufacture their products as the years go by. Many of these challenges that these industries faces can be main factor that interacted with one another but are individually can be main issues that the industry is facing. There are a lot of factors that the auto industry is facing but I am only going to focus on a few which are big main factors which could be part of other factors. First would be consumer’s demands, making sure that products are fuel efficient to improve environment and safety, and competitive market. Consumer’s demands have changed over the years. In today’s world innovation is the future. Many companies are striving to be more innovated and …show more content…
Gas prices were rising due to the limit of imported gas overseas. Consumers would have to pay almost double on what they use to pay in order to fill up a tank. Before fuel efficient cars were more common Auto industries were in the hurt when gas prices were rising. The sales for cars during that time were falling. Auto industries determined to make more fuel efficient cars to satisfy customer’s needs. Industries face on finding ways to have more fuel efficient cars to get consumers to buy. The demand of new fuel efficient cars sky rocketed. This was actually bringing in the customers. In each year a lot of industries find new innovated ways to improve the gas mileages in cars, like the Toyota Prius or like doing electrical cars like the Tesla brand or doing hybrids, part electrical and gas operated like the Ford Fusion hybrid. Fuel efficient cars have been a big priority for most consumers when buying a car then it was 20 years ago. Another reason for fuel efficient cars was that there was complaints that gas from cars were polluting the environment which can cause global warming; which I am not too sure on that, but I do know that the fumes from a car are toxic and it can harm human and animals. An article from carenvironment.net stated, “No other machine in history has had a greater impact on our environment then the car. This is because we create the environment we live in and we have remade our environment for the car. It is this landscape of the automobile which is the real challenge to sustainability. Our quality of life depends largely on the quality of our environment.” Due to the causes of toxic fumes from the gas it was harming humans, animals and the ozone layer. This was another issue the auto industry had to face which they did by making fuel efficient cars which is helping the environment a little, but until we can convert to not using gas as a main source to power the car we have a long way to

Related Documents

  • Improved Essays

    Law 1176

    • 2703 Words
    • 11 Pages

    “As the tiny gasoline engines began powering corn shellers and other farm equipment, washing machines, and soon horseless carriages, store keepers began selling gasoline. ”(Stilgoe, 2003) The lack of bulk depots and stores forced the same range anxiety faced by EV owners today. The idea of the automobile and its conveniences caught on, and by 1908 Henry Ford released the Model T. At $850 dollars the automobile was now affordable to the middle class forcing a boom in the automotive industry. The development of the assembly line allowed the number of automobiles produced and sold to sky rocket and sold over 19,000 Ford Model T’s after the first…

    • 2703 Words
    • 11 Pages
    Improved Essays
  • Improved Essays

    Gas prices in the United States are one of the most important things that affect how we as a people live. From daily transportation, all the way to peoples careers and vacations, the price of gas has been instrumentally important to American life, especially in the last 65 years or so. At first, prices were low and everyone used as much gas as needed. Steadily, prices increased and sometimes got so high people were unable to get as much as they needed to due to how expensive it was to obtain. Although there are alternatives to gasoline, it is and will remain to be the primary fuel our society uses for quite some time because of its ease of access and convenience as compared to the alternatives forms of energy.…

    • 915 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Detroit City History

    • 1212 Words
    • 5 Pages

    On Thursday, July 28, 2013, Detroit, Michigan became the largest city in America ever to file for bankruptcy. Established in 1701, detroit was founded by the french explorer Antoine de la Mothe Cadillac and a party of settlers. Not one of these men had any idea that Detroit would evolve into the thriving hub of the car industry in centuries to come. In 1756, the smallpox virus and a famine threaten the many lives of the settlers in Detroit, but did not decimate the population enough to cause the city to die off. Later on, Detroit officially became a chartered city in 1802.…

    • 1212 Words
    • 5 Pages
    Improved Essays
  • Great Essays

    End Of Detroit Summary

    • 1578 Words
    • 7 Pages

    The overall purpose of the book End of Detroit by Micheline Maynard is to describe the impact on three major auto industries in the 1990s. The auto industry caused a detrimental fall to occur within America. Detroit at one point in America had three significant benefactors when it comes to producing automobiles which were the companies General Motors, Ford, and Chrysler. For many years being dominant in car market had lead to more competition and challenges these companies would face in the future. The author Micheline Maynard logic for writing a book on this economic history and theory during this period showcases how the Big Three impacted the American producers and consumers.…

    • 1578 Words
    • 7 Pages
    Great Essays
  • Improved Essays

    The future of car engines In October 1973 the oil crisis began "when the members of the Organization of Arab Petroleum Exporting Countries (OPEC) proclaimed an oil embargo" (Wikipedia, n.d.). This action was in response to the United States supplying weapons to Israel in their war against Syria and Egypt, which was called the Yom Kippur war. As a result of this embargo, the United States passed a law called the "Corporate Average Fuel Economy (CAFE)", the purpose of which was to "reduce energy consumption by increasing the fuel economy of cars and light trucks" (NHTSA, n.d.). This legislation remains impactful to the future of automakers.…

    • 930 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    “That automobiles are environmentally harmful is unarguable” (Brown 1). Brown uses the argument of automobile emissions polluting the air and then resulting in acid rain. He says with the combination of cheap gas prices and high gas mileage cars, there is no wonder the drivers society has continued to…

    • 780 Words
    • 2 Pages
    Improved Essays
  • Great Essays

    It was the 1960s, gas was cheap, 37 cents a gallon on average, and people were finding their way back to normal life after World War 2. Racial tensions and tension with the USSR were coming to turning points, art and music were growing as an outlet for personal expression. The economy was circulating as the decade was run by democratic presidents between 1961 and 1969.The 1960s were a decade of change, and the auto industry was no exception. In the 1960s the automobile industry was shaped by a new generation of baby boomers, the emerging counter culture, the cold war which evoked americans to experiment with new technology, a market aimed towards the people,and the public's growing unrest about safety.…

    • 1347 Words
    • 6 Pages
    Great Essays
  • Decent Essays

    Opportunities for UK automobile industry • Government has come up with stringent standards on environment protection such as standardizing level of carbon content in vehicle emissions. Therefore, manufacturing of eco-friendly and fuel efficient cars can be considered as an opportunity in future • Countries like India and China have a vast market potential due to their large population and continuously developing economy. This can be an opportunity for UK automobile industry 3.4. Threats for UK automobile industry • Due to continuous hike in cost of raw materials such as aluminium and steel, automobile makers will have to shell out more money on procurement of raw materials. This leads to production of costly cars.…

    • 1097 Words
    • 5 Pages
    Decent Essays
  • Improved Essays

    Introduction Strategic assessment is needed to evaluate the quality of a firm’s strategy. There are many different approaches to evaluating a firm’s strategy. The purpose of this paper is to perform a strategic assessment of American Automobile Association (AAA) and the Auto Club Group, one of AAA clubs, growth in the banking sector. The process includes introducing the firm and its industry, the firm’s interesting action and/or change, comparison to a firm within the same industry and the industry itself, and the final assessment of the company’s strategy. AAA & ACG Overview & New Venture American Automobile Association (AAA) is pronounced “triple A” and it is known as the largest motor club and travel organization.…

    • 875 Words
    • 4 Pages
    Improved Essays
  • Great Essays

    Global Feasibility Analysis: Ford The automotive industry has been producing new models and introducing new car styles year after year. As one of the leading manufacturers in the industry, Ford Motor Company has had to confront issues of capacity utilization in each market where it operates. Capacity utilization occurs when production exceeds the number of products than can be sold in a given market. To further exacerbate the problem, a new automotive manufacturer enters the market every few years.…

    • 1475 Words
    • 6 Pages
    Great Essays
  • Superior Essays

    Essay On Oil Embargo

    • 1612 Words
    • 7 Pages

    Over the one year that Americans experienced the Oil Crisis, they began worrying more about how many miles per gallon of gasoline that their cars were getting. This severely hurt the car companies that produced “gas guzzling” cars in America and allowed for Japanese cars to become more popular because of their greater fuel efficiency. American car manufactures as a result had to change the styles of their cars to be more fuel efficient. The auto industry in America today still hasn’t fully recovered from this devastating blow (Horton). When I interviewed Don he told me that during this time, he drove a 1973 Chevy Van which got around 18 to 20 miles per gallon.…

    • 1612 Words
    • 7 Pages
    Superior Essays
  • Improved Essays

    The Global Automobile Industry: Opportunity and Challenges for 2020 and beyond 1. How is the global automobile industry evolving? Ans. The global automotive industry is in better shape than it was five years ago, especially the US, where profits and sales have recovered following the recent economic crisis, and in China, where growth remains strong. The industry has been able to recover from the economic crises.…

    • 1216 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    Electric Cars Essay

    • 755 Words
    • 4 Pages

    This means that for the same price, you can buy a nice gasoline-powered car. It’s about cost performance. At the same price people always choose gasoline-powered car, but nobody really cares about the environment. Battery Issue The car battery is not like the ordinary battery, it’s totally different type with high technology.…

    • 755 Words
    • 4 Pages
    Improved Essays
  • Great Essays

    Also, many electric vehicles have a higher chance to reduce carbon dioxide (CO2) and different greenhouse gases in the environment. Therefore, fuels that are harmful to the environment such as gasoline make…

    • 2572 Words
    • 11 Pages
    Great Essays
  • Improved Essays

    Jco Doughnut Case Study

    • 1006 Words
    • 5 Pages

    Many companies are competing in two things, service and goods. They need to manage innovation, quality, service, speed, and cost competitiveness. The important things make for satisfaction their customer, so they will come back again to buy their product. In this era, many businesses are competing strictly, especially in food and beverage, so that make people need to find a creative and innovative business. Jco doughnut is an international product that serve as simple as another doughnut.…

    • 1006 Words
    • 5 Pages
    Improved Essays