Analysis of the Automobile Industry in Times of Transition Using Porter¿s Five Forces Model

Studienarbeit aus dem Jahr 2015 im Fachbereich BWL - Unternehmensforschung, Operations Research, Rheinisch-Westfälische Technische Hochschule Aachen, Sprache: Deutsch, Abstract: In the fast moving 21st century, only the call for quick success prevails. There is necessity of flexible reactions to changes of the economic environment, which puts business organizations under pressure to perform. Due to technological progress, globalization and digitalization, information about changes or trends in an economic environment is easily accessible for everybody and can be distributed among others quickly. Consequently business organizations have to react to these new circumstances by evolving, changing and reorganizing or otherwise they will disappear. ¿We live in a period of profound transition ¿ and the changes are more radical perhaps than even those that ushered in the ¿Second Industrial Revolution¿ of the middle 19th century, or the structural changes triggered by the Great Depression and the Second World War.¿ This statement indicates that the business world as we know it is undergoing another major change which will affect the global economy. But what are these changes exactly and how will business organizations react to these changes? What future challenges must business organizations overcome to stay profitable on the long run? In order to answer the above questions, this paper will place Drucker¿s statement into relevance regarding internal and external environment of an organization within the automobile industry. In the following section Porter¿s Five Forces Model will be described and later on used to analyze the internal and external environment of the automobile industry.