Purchase Solution

strengths and weaknesses of the auto industry

Not what you're looking for?

Ask Custom Question

Working on body of report (AUTOMOTIVE INDUSTRY) need introduction and conclusion relating to below requirements or any other assist on body, but intro and conclusion are most important.

a. Prepare a 1,400-1,750-word paper based on your (instructor-approved) selected industry or firm. Include in your paper a brief history of the industry (or firm), an industry (or firm) overview, and a SWOTT (Strengths, Weaknesses, Opportunities, Threats, and Trends) analysis of the industry (or firm). Define and address the impact of the following required economic elements:
1) Real GDP
2) Unemployment rate
3) Inflation rate as measured by the Consumer Price Index (CPI)
b. Also, include three additional economic indicators applicable to your industry (or firm), from the following list:
1) Interest rate (for example: mortgage rate, prime interest rate, fed funds rate, discount rate, three month treasury bill, 10 year treasury bond)
2) Housing starts
3) Auto sales
4) Foreign exchange rate
5) Producer Price Index (PPI)
6) Oil and fuel prices
c. In your paper, be sure to identify your sources of where you found both historical and forecast economic data for each of your six economic indicators.

Purchase this Solution

Solution Summary

SWOTT for automotive industry

Solution Preview

The auto industry in the US is far from typical at this time. It may be difficult to relate its performance to any economic indicators. However, I will try to help you compile the necessary information.

In your introduction, you should probably explain how indicators are of any value to companies facing bankruptcy. The only hope for these companies is to appeal to the government for assistance, which is what they have done. They owe a great deal of debt, and if they default it will have serious repercussions throughout the economy. Their suppliers might also be forced to declare bankruptcy if they can't meet their obligations while waiting for the auto makers' settlements, and other businesses would be affected on down the line. For this reason, the federal government has chosen to involve itself.
Their real hope lies in restructuring, which will take years if not decades. However, one could argue that the sooner the economy improves, the more likely they are to avoid bankruptcy.

So you could begin your paper thus:

The US auto industry, an icon of American heritage, is facing a serious crisis. Looming debt now threatens to overwhelm it, and its future may be that of railroads and steel. As the US economy sinks into recession, automakers find they can no longer meet their obligations. I will examine how economic indicators are tied to ...

Purchase this Solution


Free BrainMass Quizzes
Basics of Economics

Quiz will help you to review some basics of microeconomics and macroeconomics which are often not understood.

Elementary Microeconomics

This quiz reviews the basic concept of supply and demand analysis.

Economic Issues and Concepts

This quiz provides a review of the basic microeconomic concepts. Students can test their understanding of major economic issues.

Economics, Basic Concepts, Demand-Supply-Equilibrium

The quiz tests the basic concepts of demand, supply, and equilibrium in a free market.

Pricing Strategies

Discussion about various pricing techniques of profit-seeking firms.