Industry Analysis & Industry Trends
The Automotive industry encompasses a range of smaller industries that have performed variably over the past five years. A recovery in new car sales following the global financial crisis has defined the five years through 2014-15. Consumer sentiment and business confidence have strengthened, stimulating demand for new cars. Demand grew, especially for imported vehicles. Wholesalers and retailers benefited from growth in imported vehicle sales, but this was to the detriment of domestic motor vehicle manufacturers and upstream parts manufacturers. Industry revenue is forecast to rise by a compound annual 1.5% over the five years through 2014-15, to be worth $170.8 billion... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Automotive industry is in the decline phase of its life cycle, although different areas within the industry are performing extremely variably. The overall industry is in decline due to Australia's uncompetitive position among the global manufacturing market. With a strong Australian dollar and low import protections, the major manufacturing players have decided to exit the industry over the next five years as they struggle to compete with import competition and can manufacture vehicles far more cheaply overseas. The exit of these major players is expected to throw parts manufacturers into a tailspin, as they rely on supply contracts with Toyota, GM Holden and Ford.
Industry value added (IVA) measures the industry's contribution to the overall economy... purchase to read more