An analysis of post-block exemption competitive and strategic options in the UK auto industry

Customer relationship management (CRM) continues to be popular with academic researchers and industrial practitioners. The increasing adoption of CRM software is an indicator of this popularity. Various studies have indicated that many CRM initiatives have not been as successful as hoped. The study presented in this paper identifies the current challenges faced by the United Kingdom (UK) automobile industry and analyses the potential impacts of the removal of block exemption by the European Union. The opening up of the market will increase the urgency for car manufacturers to be customer-centric and outward facing. The research methodology used in the study consisted of the review of operations of a UK-based car manufacturer over a period of 12 months. There were also structured interviews with car dealers and a review of literature. The study provides an analysis of post-block exemption strategic positions and competitive factors for key industry stakeholders manufacturers, exclusive dealers and nonexclusive dealers.