Each student is to prepare a three page (double-spaced) paper on the subject of the environmental challenges facing the American auto industry. This assignment ties in with the discussion that will be held this week. Some environmental issues you may wish to research are:
• Global competition in the industry
• New technology for powering the product that this industry produces
• The effect of emissions on the environment and government reactions to this
• Consumer opinions about the product your industry produces
Global competition in the industry
There are many automobile companies in the world. The competition in this industry is ferocious. The approaches of automobile firms in the industrial rivalry take include …show more content…
The association was established to share industrial information and set consistent regulatory standards (Gale, 2004 as cited in Highfill, Baki, Copus, Green, Smith, & Whineland, n.d.). A few buy-over occurred in late twentieth century, such as the merging of Daimler-Benz A.G. with Chrysler Cooperation to form Daimler Chryler A.G in 1998, Ford with Volvo, and General Motors and Saab (Gale, 2004 as cited in Highfill, Baki, Copus, Green, Smith, & Whineland, n.d.). The buy-over can reduce competitiveness and create a more resilient and robust firm by the consolidation of …show more content…
However, the result is not satisfactory as Mitsubishi cannot satisfy its high expectations. To have more Asian market share, they cooperate with Hyundai, which specialise in small car manufacturing. It is hope that the latter can fulfil their anticipation in sharing Asian market.
New technology for powering the product that this industry produces
Vehicles that consumes alternate fuels such as hydrogen, water and electricity are gaining popularity, notably hybrid cars that use electricity when driven over a long distance at a stable speed. The invention of these kinds of vehicles is in line with the ever increasing petroleum cost and pro-green activities by many consumers. Both these two issues have given ways to automobile industry to embark on new technology and exploit a new market.
New acts passed by United States Congress has steered the research and development of the new means of transport as mentioned above. They are ‘The Vehicle Air Pollution and Control
Act’ in 1965 and ‘Clean Air Act’ in 1970s (Gale, 2004 as cited in Highfill, Baki, Copus, Green,
Smith, & Whineland, n.d.). The first act is the pioneer in American legal history that