Creating a dynamic model for the car aftersales market
2012
Aboltins, K., Latvia Univ. of Agriculture, Jelgava (Latvia). Faculty of Economics. Dept. of Economics | Rivza, B., Latvia Univ. of Agriculture, Jelgava (Latvia). Faculty of Economics
Today, the majority of profit of car aftersales companies is generated by aftersales services. Therefore, it is of significant importance to research the Latvian aftersales market, to compare it with the markets of the other European countries, and to develop the methods for the future aftermarket analyses as well as to project its future demand. Comparing the markets of Latvia and the developed Western countries, the authors noticed that there was a remarkably larger share of independent aftermarket companies in Latvia. There is only one mechanical workshop concept chain in Latvia comprised of quite a small number of companies, while in Germany, 62% of all the independent mechanical automotive workshops are a part of workshop concept chains. As a major instrument for analysis, the authors have used the software Powersim Studio to make a dynamic aftermarket module, which is developed from the aftermarket, car park, economic and society modules. The aftermarket module was divided into the independent aftermarket, which was further separated in 5 levels, and the aftermarket - dependent from car manufacturers, subdivide in 3 levels. The aftermarket module will provide an instrument to forecast its future volume and structure including its specifics by the regions of Latvia. It will give statistical information and proposals for performance improvement, thus, increasing the competiveness of industry companies and facilitating regional development.
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