BUS-225 Project Three Presentation PDF

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Project Three presentation for BUS-225, Critical Business Skills for Success....

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AUTOMOTIVE INDUSTRY MARKET OPPORTUNITY Shauna McKie BUS-225 Project Three 21 February, 2021

Key Message Offering a diesel option with our company’s current, proven technology provides the ability to offer an energy efficient option for customers looking for alternative fuel vehicles. Additionally, by entering the diesel engine manufacturing industry, the company is poised to grow into industries beyond passenger vehicles, particularly industries such as construction and farming, which rely on several types of diesel-powered equipment to support operations.

Why Diesel is a Smart Opportunity: Internally Improvements Sought by American Car Owners

Maintenance Costs

Purchse Price

Fuel Economy

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Why Diesel is a Smart Opportunity: Externally Top 10 U.S. States with Diesel Drivers

U.S. Diesel Sales

Georgia Oregon North Carolina Ohio Colorado Diesel

Other Pennsylvania

European Diesel Sales

Washington Florida California Texas 0

Diesel

Other

100,000

200,000

300,000

400,000

500,000

Diesel Drivers

600,000

700,000

800,000

900,000

1,000,000

The Market Supported by Data

Diesel’s Outlook for Success

Trends Toward Success: Diesel Expected Growth Areas Diesel and Biodiesel Projected Consumption, North America: 2016-2025

Impact to Stakeholders

Diesel motors go 2035% further on one gallon of fuel compared to gasoline motors

Fuel Efficiency

Engine Life

0

100,000

200,000

300,000 Gas

Diesel

400,000

500,000

600,000

Research Summary •

The U.S. automotive market has a strong demand for pickups and SUVs.

•

Customers are seeking strong fuel economy and lower maintenance costs while vehicle shopping.

•

Consumers in states across the U.S. are buying diesel vehicles.

•

Although overall vehicle sales were down in 2020 due to COVID-19 impacts, diesel sales remained strong, leading sales among alternative fuel options.

•

Diesel sales account for just 3% of the U.S. automotive market, however longer vehicle life, stronger fuel economy and lower maintenance costs may lead to an increase in this market as more options become available to consumers.

Rationale for Recommendation

Cited References • •

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• • • • • •

Bureau of Transportation Statistics. (2015). Diesel-powered Passenger Cars and Light Trucks. Retrieved from https://www.bts.gov/archive/publications/bts_fact_sheets/oct_2015/entire. Diesel Technology Forum. (2018). Picking Up: U.S. Consumers Continue to Choose Diesel in the Most Popular Vehicle Segments. Retrieved from https://www.globenewswire.com/news-release/2018/09/10/1568376/0/en/Picking-Up-U-SConsumers-Continue-to-Choose-Diesel-in-the-Most-Popular-Vehicle-Segments.html. Diesel Technology Forum. (2020). As market recovers, consumers, businesses finding proven, fuel-efficient options in advanced technology diesel. Retrieved from https://www.globenewswire.com/newsrelease/2020/07/20/2064560/0/en/Diesel-Options-Gaining-Market-Share-in-Pickup-Trucks-Q2-2020.html. Fuels Institute. (2017). Tomorrow’s Vehicles: An Overview of Vehicle Sales and Fuel Consumption through 2025. Retrieved from https://www.fuelsinstitute.org/getattachment/Research/Tomorrows-Vehicles/Tomorrows-Vehicles-An-Overview-ofVehicle-Sales-and-Fuel-Consumption-Through-2025.pdf. Hot Shot’s Secret. (2019). 3 Reasons Modern Diesel Engines Last Longer. Retrieved from https://www.hotshotsecret.com/3-reasons-modern-diesel-engines-last-longer/. U.S. Department of Energy. (2021). Diesel Vehicles. Retrieved from https://www.fueleconomy.gov/feg/di_diesels.shtml. U.S. Energy Information Administration. (2021). Diesel Fuel Explained: Use of Diesel. Retrieved from https://www.eia.gov/energyexplained/diesel-fuel/use-of-diesel.php. U.S. Energy Information Administration. (2020). The recent decline in light-duty vehicle sales has affected cars more than light trucks. Retrieved from https://www.eia.gov/todayinenergy/detail.php?id=43835. Voelcker, John. (2015). Which States Have the Most Diesel Vehicles? New Data Gives Results. Retrieved from https://www.greencarreports.com/news/1097513_which-states-have-the-most-diesel-vehicles-new-data-gives-results. Williams, Mark. (2018). Diesel Pickup Sales are Revving Up: Study. Retrieved from https://news.pickuptrucks.com/2018/09/diesel-pickup-sales-are-revving-up-study.html....