CAR TUNING INDUSTRY 1
An Analysis of the Car Tuning Industry
Name
Name
FIT
Introduction to Microeconomics
10/16/2016
CAR TUNING INDUSTRY 2
The car tuning industry is a subsector in the automotive production industry that
continues to be a critical and sometimes underappreciated industry. Over the years, the subsector
industry has shown tremendous growth. The industry is a driving force for growth, an increase of
job opportunities, exports, creativity, and innovation. The components and services in the
downstream logistics are essential. Some of the players in the downstream market involve
vehicle manufacturers, suppliers, market operators, spare parts and accessories, distributors and
retailers. Car tuning entails the modification of several aspects of the car to improve its
performance, handling capabilities and suit the needs of the owners driving style. Most cars leave
the manufacturers premises targeting the average driver expectations and common conditions.
Thus, tuning becomes an automotive process of customizing the features of the vehicle according
to the preference of the owner. Car tuning is also related to auto racing. However, most
performance cars do not compete. Instead, they are developed for prestige that comes with
owning and driving such a vehicle. Some of the tuning facets include performance modification,
engine tuning, suspension tuning, body tuning, suspension tuning, interior and exterior
modifications termed as pimped cars and tasteless car modifications[ CITATION Kor13 \l
1033 ].
These modified cars significantly differ from their stock counterparts. A universal factor
among the owners or the modifiers is to follow and emulate the visual and performance features
of the standard styles and design principles. Some of the unique styles and visual influences to
the process of car modification are low riders with the characteristics of flashy paint, custom
interior, bling wheels and hydraulic setups. Secondly, the euro style features small wheels, off
paint, lowered with shaved characteristics to define the car body lines. The third style is the hot
rod style emulating the appearance of the hot rod in the 50s and 60s. It is also known as the rat
CAR TUNING INDUSTRY 3
style, which describes a car that is kept on the road no matter the cost. Fourthly, the VIP style
entails a Japanese model that evolved from Bosozoku with extreme style involving a more
contemporary vibe. For example, ludicrously low ride heights, body kits, lights, and camber.
There are several other styles that including the sleeper, custom cars, rallying, motorsport, south
London, German look, drag racing amongst other stylish modification designs
Economic Outlook
The industry contains a network of approximately 834,700 companies dominated by
Small medium firms generating a turnover EUR 1107 billion and almost 4.6 million workers.
With the growth of technology, the tuning industry may change into electric motors in the near
future[ CITATION Eur09 \l 1033 ]. The industry is evolving since the modified cars’ errands
