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PPT : The Global Automotive Outlook: Strategic Trends & Implications
Content Inside :
* Business environment
o Economic growth 2.5-3.0%/yr. overall
o Employment growth slow pickup; productivity growth
o Inflation increasing pressure – 2.7-3.1%
o Interest rates slow adjustments
o Energy improvement but risk remains
o Government regulations emphasis on fuel economy, emissions
* Automotive environment
o Ownership & operating cost incentives slow
o Vehicle demand moderately high volume without economic, energy, political crises
* Expected performance by factor assessed by color and time of evaluation: GREEN (good);
YELLOW (moderate); RED (bad)
Mid-term North American Auto Outlook: Light Vehicle Production Volume
* 17.2-17.5 million planning volume range, reflecting ….
o Healthy economic growth in the mid-term
+ Real GDP up 3.0-3.5%/yr
# Supporting employment and income growth
+ Inflation advancing at 2.7-3.3%/yr
o Growth in driving age population
+ Immigration driven
+ US and Canada driving age population growing at 1.0-1.5%/yr
o Substitution effects: imports replaced by domestic production
+ Europe – Euro pressure
+ Asia – domestic content; credibility; political support; labor stability
+ North America gaining an export base – BMW, VW, Mercedes-Benz
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Tags: business environment, economic energy, mercedes benz, strategic trends