World Carmakers

Description

Automotive manufacturers’ core businesses include the design, assembling and marketing of vehicles. However, most carmakers are involved in lease and credit financing for retail customers and dealers. Carmakers earn from 5% (average figure) to 15% (luxury carmakers) of their revenues from sales financing. […]
Toyota is the largest car manufacturer in terms of sales. With over 8.3 million cars sold worldwide in 2010, its revenues rose to over 156 billion euros. Toyota is followed by its main rival, Volkswagen, while the Renault-Nissan group has overtaken 2 of the former American ‘Big 3’ - GM and Ford - in terms of sales value. Groups from emerging markets are now among the industry’s largest companies. However, so far, they have a strong presence only in their home markets. […]

Globally, there is intense rivalry in the automotive industry, which generates increasingly low returns because of strong price-competition. In recent years, rivalry has intensified and carmakers have lured in customers with rebates, preferential financing and long-term warranties, which further increased pressure on their profit margins. […]
The US regained its position as the world’s largest car market in 2010, with 11.6 million new car registrations, after being ranked second to China in 2009. China is presently the world’s fastest growing and its second largest vehicle market. However, developed economies such as Japan and Western Europe remain the most important, accounting for over 60% of global new registrations. […]

- Who are the key players?

Toyota is the largest car manufacturer in terms of sales. With over 8.3 million cars sold worldwide in 2010, its revenues rose to over 156 billion euros. Toyota is followed by its main rival, Volkswagen, while the Renault-Nissan group has overtaken 2 of the former American ‘Big 3’ - GM and Ford - in terms of sales value. Groups from emerging markets are now among the industry’s largest companies. However, so far, they have a strong presence only in their home markets. […]

Companies analysed in the report:

TOYOTA, VOLKSWAGEN, RENAULT-NISSAN, GM, FORD, HONDA, BMW, DAIMLER, PSA, FIAT, HYUNDAI, TATA MOTORS and DONGFENG MOTOR.

- How intense is competition?

Globally, there is intense rivalry in the automotive industry, which generates increasingly low returns because of strong price-competition. In recent years, rivalry has intensified and carmakers have lured in customers with rebates, preferential financing and long-term warranties, which further increased pressure on their profit margins. […]

- What are the main markets?

The US regained its position as the world’s largest car market in 2010, with 11.6 million new car registrations, after being ranked second to China in 2009. China is presently the world’s fastest growing and its second largest vehicle market. However, developed economies such as Japan and Western Europe remain the most important, accounting for over 60% of global new registrations. […]