Buy custom Auto industry analysis
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| Topic: |
Business
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| Number of pages / Number of words: |
2 / 549 |
Essay's paper body
Buyer Power
i. Because of the large amount of auto producers, buyers are in a unique position to make demands of auto manufactures or threaten to go with the competition. This competition drives profit margins lower for auto producers and forces companies to reduce costs wherever possible.
ii. Although there are many customers for the auto industry, the large amount of producers in the playing field gives the buyer more power than usual...
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Although there are many customers for the auto industry, the large amount of producers in the playing field gives the buyer more power than usual. Buyer power has also increased during periods of slow economic growth. Many auto makers produced an unprecedented amount of vehicles during the late nineties and early 00’s and were caught with an over-supply of products when growth began to retract...
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