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Managing Business in Europe - Essay Example

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Though, there are lot of prominent automobile manufacturers in Europe, majority of the production of automobiles required for the European market is outsourced. The prominent automobile manufacturers in Europe are DaimlerChrysler, Volkswagen (VW), BMW, Ford Europe, General Motors (GM) Europe, Renault, PSA (Peugeot-Citro'n), Fiat and Porsche etc. "The EU is the largest automotive production region in the world and the industry comprises 6.5 % of the manufacturing sector in the Union. Direct employment by the automotive industry stands at about 2.2 million employees, while the total employment effect (direct and indirect) is estimated to be about 12 million" (THE AUTOMOTIVE SECTOR, 2009).
This report analyses; Influence of EU's policies on Automotive Industry; Influence of Single European Market or EMU on Automotive Industry; Opportunities and threats for Automotive Industry associated with the enlargement of the European Union; Automotive Industry strategies for Europe etc.
The increasingly international setting of business makes it harder and harder to establish the boundaries of a national economy or even to separate the European economy from its global context (Wallace &Young, 1997, p.3) Globalization and liberalization policies have revolutionized the who world and the business strategies were redefined in order to meet the demands of a global world by many of the organizations. Separate co-operative sectors are working in most of the parts of the world in order to exploit the possibilities opened by globalization. EU is one of such co-operation aimed at the integration of the whole European region for the collective growth.
The current focus of the EU institutions is on making the EU one of the most competitive markets in the world by 2010 and ensuring stable economic growth. Efforts to this end include investment in human capital, improvements in physical infrastructure and enhancement of available network in the transportation, telecommunications and energy sectors. To counter sluggish economic conditions compounded by uncertainties due to geopolitical tensions and international terrorism, the European Commission has endorsed economic growth initiatives including European Action for Growth (Country Industry Forecast - European Union Automotive Industry, 2004)
EU has implemented lot of strategies in order to encourage the automotive industries in the European region and to make the region, the world's highest automobile manufacturing region. At present the Asia-Pacific region holds this position and the EU has taken every possible measure to capture the first position. Environmental legislation and recycling legislation are some of the strategies adopted by EU in order to raise the standards of automobile manufacturing in this area.

"The EU emissions standards are compulsory in all EU Member States. The ...Show more
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Summary

The European Union (EU) automotive market is the second-largest in the world (17.4 million), after the Asia-Pacific region (including Japan and Korea) which account for the production of around 19.3 million automobiles. The European market is highly competitive with about 40 manufacturers offering products…
Managing Business in Europe
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