In recent years the global automotive industry has experienced sweeping changes. On the demand side, consumer requirements are evolving from better performance and reliability to a wider range of features at low prices. Styling and environmental awareness, in particular, have emerged as important drivers of consumer demand. On the supply side, rising material costs, falling car prices and ever stricter environmental regulations have increased pressure on carmakers to reduce costs in order to remain competitive. Focusing on cost reduction has led to important changes in the industry, in particular consolidation and increasing competition between major car brands. Stagnant worldwide sales, consolidation and product proliferation have contributed to excess capacity throughout the industry. In addition, increased competition has forced carmakers to shift their main focus from vehicle manufacturing to design, brand management and customer relationships. Carmakers are also shortening product lifecycles to compete for customer loyalty.