Competitive Strategies and Government Policies ECO 365 Essay

Competitive Strategies and Government Policies ECO 365 - render Exampleype of merging in which two or more organizations, dealing in similar products, and run in the same market combine to make a single organization. The reason why this emblem of merging has been affecting the industry is that it increases the competitiveness of organizations.According to Gerber (2010), changes in various aspects of the economy have massive effects on the level of competition experienced in an industry. One of the changes that have greatly abnormal the motor vehicle manufacturing industry is the introduction of new government policies and regulations. Tax waives and regulations designed for encouraging spherical investments have resulted to emergence of new organizations in this industry. This has greatly affected the worldwide competition in the industry. As a result, this industry has been facing an increased labor demand, reduced supply of resources, and lack of good transaction with each other.Motor vehicle manufacturing could handle these identified points in various modalitys. This ways include amend service delivery and employing various types of merging. Organizations in this industry should employ horizontal, vertical, and conglomerate merging when expanding their operation. Another way is making organizations policies to be in line with the government policies and regulations. The point of effects of global competition could be avoided through merging, acquisition, and