GLOBAL PERSPECTIVES IN AUTOMOTIVE INDUSTRY

The automotive sector is characterised by a relatively low trade/salesratio. While the production of most automotive producers in the world is spread over variouscountries in the value chain, the brands are still considered to reflect some national identity.Internationalisation strategies may change over the lifecycle of the product and automakerstend to pursue diametrically opposed strategies. In mature markets, it is about managing whatgoes on beneath a static surface; in emerging markets’ dynamic environments, companies muststrategically position themselves to benefit from growth opportunities. However, without theright strategy and execution in mature markets, it is clear that traditional OEMs cannot profitfrom emerging markets-the persistence of structural issues in mature market operationseventually will rob all but the most resilient competitors of the opportunity to compete inemerging markets.