Basically, many European manufacturers were invaded under the attack of the recession, forcing them to enter a period of profound restructuring. This fact massively impacts on the entire European economy. Therefore, being part of the European, the United Kingdom is facing the same problem. Since currently years economic has effected by recession, United Kingdom automotive industry has a drop on profitability because a decline in sale. This research will invest in factors related to sale which impact directly to profitability in car market in the United Kingdom (the UK).
And this project uses the I-J as case studies. This research gives a clear overview about current situation of automotive industry and numbers in sale of automotive companies in the I-J market. Besides, it shows main players in the market and performance of each player. In literature review, there are two factors mentioned; internal factors and external environment factors which impact Sales. The study was conducted in the UK with the main purposes of identifying and aligning the consumers’ preferences and awareness as well as the attention from the industry such as employees of dealerships and manufacturers.
In order to conclude the reasons of the declined profit, the researcher will determine some major factors that affect the profit and thereby, introducing some possible recommendations to improve the sales and performance of the industry. Acknowledgements Through more than one year I have studied in London School of Commerce, I learned knowledge, theory, information, data related to Business from enthusiastic lecturers. Today, I finished my dissertation, I would like to say thank you all.
First of all, thank to all lecturers from the school that taught and transferred valuable knowledge to me. From that, I applied into my project. Special thank to Dry Shania who guided enthusiastic, helped me solve problems and troubles during doing this essay. Besides, I would like to express my wholehearted gratitude to my parents, my friends Nag, Tam, Boa, Thai, Emma, Gang, Daniel and Jon who supported me about spirit, information, books and data. I wish lecturers health, happiness and success in your life I wish my friends luckiness, love, happiness and success.
A huge changing in the mobility for human marked in July 1886 as the first motor vehicle of the world was manufactured (Nine, 1886). Nowadays, Motor vehicles are a vital part in most British life. It plays an important role in history, social and economic of the United Kingdom (the I-J) so the automobile industry is considered as “the engine of United Kingdom” and development of England. The I-J car industry created millions Job for British and support activities or tools for other industries such as logistic, informatics, electronics, telecoms.
Therefore, the Automobile industry is key part of I-J economy in the 21st century. However, currently, this industry is effected by recession and saturate and competitive and others factors in the market so the following of this research will shown which factors effect to profitability of the industry and how to improve it. Aims and Objectives In this project I aim to: Find out the factors that impact to profitability in the UK automotive market by researching 5 keys players (Bayberries Motormen Were GAG (BMW), Daimler-Chrysler,
AS, Renault, and Volkswagen Group) in their market to identify the reasons for their success or failure. Exam and analyze 5 years financial figures of each companies I will identify development trends and how manufacturers are performing in the market. Show some main reasons of the gloomy situation in the I-J car industry currently, the factors that influence profit and then give some possible advices for the development. The research will be focused on the I-J car market.
Chapter 2: Literature Review In this chapter, the first part is about history of automobile industry which is scribed to have a clearly view about how it develops from 1886 until now. The second part is factors affecting profits are analyzed and find out how they help firms to assess the quality, business direction, sequencing and arranging alternative factors when calculating the impact factors to business results and profit, identify trends and influence the level to the main key players in particular and the industry in general.
The determinants of automotive industry profitability can be divided into three main categories, namely internal factors and external factors and definition of profitability ratio. 2. History of automobile industry The industry has undergone a long period of time and the first platform invented the engine to create a developed automobile industry nowadays. In 1887 the German scientist Nicolai Tot successfully made 4-stroke engine and successfully assembled the first car in the world (Nee, 1886).
It can be said that the automobile was born crystalline inevitability of a flourishing era of revolutionary inventions in science and technology human first. Because from the 13th century, scientists, English philosopher Roger Bacon had predicted that ” then people can make out the cars can e moved by an unbelievably fast tool without using animals to pull”. Since it was manufactured, the automobile has gained the attention of so many scientists great scholar.