The McKinsey automotive report 2020 offers a fascinating look at what the future holds for the automotive industry. Global sales and environmental regulations will continue to drive radical changes, and the auto industry will be no exception. As a result, companies will need to make key strategic decisions over the next decade to ensure their long-term success. This report will help companies determine their course of action. Here are some key insights from the report.
Carbon dioxide regulation will tighten across the globe. In the US, China and Japan, governments have already passed laws to reduce emissions. But the cost of cutting emissions is rising. The 2020 fleet targets for Europe may be met with conventional technologies, but if they are not, the OEMs will need to make significant investments in electrification and lightweight aerodynamic drag-reducing technologies. These are just a few of the trends that are forecast in the McKinsey automotive report 2020 pdf.
The automotive industry is undergoing dramatic change. Today’s cars have features that would have surprised Henry Ford, Ferdinand Porsche, and Kiichiro Toyoda. In addition, there are more stringent environmental requirements. Meanwhile, new players, including China, are entering the industry. In other words, there is no one single solution to meet all of these challenges. For example, the mobility value chain is evolving rapidly.
The global automotive industry is better positioned than it was five years ago. The US automotive industry has recovered from the recent economic crisis, and the Chinese automotive industry continues to grow. Profits from the automotive OEM sector are expected to increase by almost 50 percent by 2020. Growth in emerging markets will drive new profits in the US and China. However, the US, Japan, and South Korea will remain stagnant when it comes to profit growth.
The automotive industry is undergoing a transformational change. Compared to the last 15 years, the industry has seen little consolidation. Only two new players have entered the top-15 automotive OEMs, while ten have emerged. The changes in the industry will require a new way to operate. The challenges of the mobility value chain are vast. The McKinsey automotive report 2020 pdf is the essential document for any business looking to stay ahead of the curve.
Final Touch
While the global automotive industry is in better shape than it was five years ago, the US and China automotive industries have yet to recover from the recent economic crisis. The European automotive industry is still recovering from the global economic crisis. But while the US and the Chinese are thriving, the US and Europe are stagnant. As a result, the OEMs must make radical changes to stay competitive. The company must adopt a strategy that focuses on the customer’s needs, and a strategy that integrates the needs of all the stakeholders in the industry.
