Major Trends in the Car Industry Research Paper Example | Topics and Well Written Essays - 750 words

Major Trends in the Car Industry - Research Paper Example There are many major trends that will be impacting the automobile industry in the next five years. Fuel prices are not constant and this is something that will change the whole outlook of the automobile sector. The reliance on conventional fuel will decrease over time and new methods of energy will revolutionize the car industry. China has already announced incentives to companies in return for new energy vehicles (RNCOS, 2009). This will have a huge impact on the rest of the world. A shift in the energy is almost inevitable in future because the rising prices of oil has made it necessary for the world to look for new energy sources. This trend will revolutionize the automobile sector forever. The harmful effects on environment by the use of conventional fuel are also one reason for this future trend. Global warming is a significant issue and it is identified by all countries now. Automobile companies are already being criticized for not using eco friendly methods in order to preserve the environment. This trend has started to affect the marketing of cars already with Toyota brining its Hybrid car in the market. This trend will continue to grow and in the next five years eco friendliness will be very important for the automobile industry. Cars will be made in future with special consideration for the environment. An important trend that is imminent is the establishment of new markets for automobiles. The developing countries in future will be the new markets for cars (Audet, 1998). These countries will have a whole new social structure and the companies will have to shape their strategies according to the local environment. The establishment if plants will also be done according to the geographical location. There will also be an increases emphasis on safety in the coming years. This trend will definitely hit the automobile sector.