Industry Insights

The financial crisis leading to a credit crunch as well as the rise of petrol prices has led to plummeting sales of new and larger vehicles resulting in overcapacities and shrinking profits which in turn has adversely affected the entire supply chain. Governments have brought in ‘green’ legislations which have forced the industry to invest heavily in R&D. Severe competition in the market means that companies have to keep adding new features without increasing the price. At the same time, it is becoming harder for companies to introduce differentiation in their vehicles. The opportunities lie downstream in co-operating with dealer and service networks and delivering a strong brand message through consistent and high quality service.

GSC Services

Our Automotive practice provides consultancy to automobile and commercial vehicle manufacturers, material and component suppliers, and companies focused on downstream sales and distribution.

Some of our services include:

  • Consolidation, restructuring, growth and investment strategies
  • Regulatory compliance
  • Working capital management
  • Risk management
  • Performance and efficiency audit and enhancement strategies
  • IT consultancy - ERP/ CRM/ dealer management systems
  • Supply chain management
  • Revenue assurance, cost reduction and profit maximization consultancy
  • Internal Audit
Alliances and mergers will continue to shape the industry, bringing with it inherent complexities. There are also several strategic decisions that top management has to take. For example, should they target the mass market (low price high quantity) or the top-end niche segment (high price low quantity).