Project One: Executive Summary Southern New Hampshire University BUS 225: Critical Business Skills for Success 09:05:56 GMT -05:00 Project One: Executive Summary Problem Since the COVID Pandemic hit the U.S. in 2020, the automotive industry was seeing a decline in the amount of cars sold. B...
Problem
Since the COVID Pandemic hit the U.S. in 2020, the automotive industry was seeing a decline in
the amount of cars sold. Before the pandemic hit the U.S vehicle sales since 2015 were over 17
million. For this executive summary I will discuss the trends and data of the U.S. automotive
manufacturing industry. When a company diversifies it helps expand into new markets and
industries. Throughout my presentation, I will be using both qualitative and quantitative date to
explain why I think the company should consider exploring into the electric motor industry.
Automotive Manufacturing Industry
After researching the automotive industry's status, the 2022 measured revenue of the U.S. car
and automotive manufacturing industry was $ 41 billion. In the previous years, such as 2021 at
42 billion, 2020 at 39.8 billion. Since 2020 it looks like the automotive manufacturing industry
revenue continues to climb slowly. The automotive industry seems to be very well established
in the California region, which consist of 78 establishments. the most successful industry
operator is Ford Motor Company with 34.43% market shares and 5.7% in annual growth. Other
companies are doing well also like Toyota and General Motor Company. According the NADA in
3rd quarte of 2022, the market share for automotive industry according to fuel type is gasoline
54.3%, battery electric 11.9%, Plug in Hybrid 8.5%, Hybrid electric 22.6%.
As the automotive industry continue to become more environmentally sound the market for
electric vehicles are growing at a rapid pace. They are expecting the choices for an electric
vehicle to double in 2023. With buying an electric vehicle there are subsidies and tax rebates
available. SUV's or sports utility vehicles seem to be the most produced vehicle in the U.S today.
With gasoline prices rising this has shifted consumers away from large trucks and other vehicles
that use more gasoline.
New Industry
With the tax incentives that is offered, the technology advancements, and the fuel cost rising,
the industry revenue is expanding over the years. The oil prices are staying elevated. The
annual global electric vehicles sales has increased by 54% by the 3rd quarter in 2022. The
sales of Electric Vehicles vary by state with California having 100,549 sales in 2019. Sales for
fully electric vehicles doubled almost in 2022. With Tesla still having a lead in the electric
vehicles their are plenty of vehicles to choose from.
The top competitors in the Hybrid and Electric Vehicle Manufacturing according to Shahool Al
Bari
Honda Motor Co. revenue of $3,571.1 million and at 12.48% of the market
09:05:56 GMT -05:00
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