(Gartner Inc.: Stamford, CT) -- The automotive industry is experiencing substantial change in response to the global recession, and there are four key focus areas that will have a lasting effect on the industry and force companies to establish new long-term value propositions, according to Gartner Inc.

“As automotive companies continue to weather the economy’s immediate challenges, companies must prepare for the market turnaround, changing consumer needs, and the government’s increased focus on new energy policies, such as increased fuel efficiencies and alternative powertrain technologies,” says Thilo Koslowski, research vice president at Gartner.

“This will require companies to concentrate research, development, planning, and marketing efforts on four crucial market, societal, political, and technological trends. Each of these trends will also have implications regarding the importance of technology in the automotive industry, from both product and process perspectives.”

Emerging vs. mature markets

The global recession has led to large sales declines in mature automotive markets, which will take time to recover and will require dynamic strategies to succeed. Hence, automotive companies should focus technology initiatives in mature markets that enable flexible manufacturing capabilities, and demand sensing and organizational agility.

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