154 Case Studies in Business Ethics and Corporate Governance
The auto market not only consists of automobile manufacturers but auto-parts manufacturers as well.
The major areas of auto-parts manufacturing are as follows:
Original equipment manufacturers: Companies in this industry manufacture everything from door
handles to seats.
Replacement parts production and distribution: Air fi lters, oil fi lters and replacement lights are
some of the products in this area.
Rubber fabrication: It includes tires, hoses, belts, etc.
In the auto industry, a large proportion of the revenue comes from selling automobiles but the parts
market is equally lucrative.
Applying the Porter’s fi ve force model, the automobile industry can be analyzed as follows: ...