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FILM: Global Change Strategies: The Car Industry
FILM: Global Change Strategies: The Car Industry

DVD [£97.00 plus VAT]
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28 mins, 2018

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Key Topics
  • Globalisation
  • Doing Business in China
  • Supply chains
  • The Global Car Industry
PART 1 Introduction

Globalisation in the car industry is nothing new. By 1928, General Motors and Ford were making vehicles in 24 countries. The 50s and 60s were the golden age of US and European car makers - but that was challenged by the arrival of the Japanese in the 60s and 70s. Over the decades the car industry has been constantly forced to change in order to survive. We trace these upheavals, how business responded, and who suffered. We explain the modern global car industry, which sees many makers sharing parts and suppliers, with manufacturing going on all over the world via multi-tier supply chains. Above all the emergence of new markets and new competition in India and China means that western car makers need to adapt to local needs in local markets.

PART 2 PSA Case Study

By 2014 PSA, owners of the Peugeot and Citroen brands, was in deep financial trouble. It had failed to keep up with the demands of the global market. Its costs were too high, it lacked brand identity, with too many models.

2016: new CEO Carlos Tavares launched recovery plan called Back In Race, followed by a company-wide change project called Push To Pass. The change plan was to revolutionise every aspect of the business. The key: better focus on customer needs and a move from 'car maker' to 'provider of mobility services'.

China The Key: but if PSA is to succeed, it has to succeed in China, the world's fastest growing car market. Here, PSA has a partnership with the Chinese government owned Dongfeng Motors. We go into one of their giant plants in Wuhan to see how the co-operation works. There's no doubt that the Chinese know what they want out of the partnership, and they know how to get it.

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