The entire automotive industry is facing historical challenges

In addition to those of the economic crisis which have already forced some major players to go bankrupt.

  • Discussions concerning climate change and emissions reduction, as well as the increasingly tough consumption and emissions targets, have led to a segment shift from the upper segments with strong margins, to the lower segment with relatively weaker margins.
  • Additionally, automotive manufacturers and suppliers will incur substantial expenditure in the development of the required technologies, based either on conventional drivetrains or on alternative drivetrains such as e-traction.
  • Growth potential exists almost solely in the emerging markets. However companies in these markets need to introduce different product concepts and prices to the existing product portfolios of the existing manufacturers.
  • New competitors are keen to enter the market and will rapidly play an important role in the volume segment, even aiming for a leadership role, for example, China in the area of electronic drivetrains.
  • Customer requirements in the triad markets will change: the relevance of car ownership as a status symbol will reduce and on average the available budget for car purchase and its utilization will decrease.
  • Innovative mobility concepts will evolve, offering new opportunities for the OEMs on one hand, while inducing change for the automotive suppliers and attracting new competitors from outside of the automotive industry, on the other.
  • Consequently today's automotive market will develop to a mobility market, from which significant adjustments to existing and new business models will arise. The existing market players will undertake a transformation and new players will enter the market. As a result we can expect a change to the structure of the entire automotive industry. Today's players, as well as potential new entrants, will need to adapt to the new framework to achieve sustainable success.

We support the leading automotive manufacturers and suppliers in mastering these challenges, resulting in optimal alignment with the future of the automotive industry.

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