In 2017, the entire tire market indicates modest positive growth. According to the latest Rubber Manufactures Association (RMA) industry forecast, the 2017 U.S. tire market will have a small growth (0.4%) in specific areas such as car and medium truck/bus tires. The replacement market forecast is slightly better. The passenger tire replacement rate may increase 0.3% and the light truck may have 0.9% growth, but the aftermarket of truck/bus tire shipments may have about 1.4% decrease. The total shipments are expected to increase 319.8 million units. So, the tire industry has attained a level of market stability in recent years.
Moreover, along with the continual engineering improvements and billions of dollars invested in innovation, today’s tire is safer than ever. But, in today’s social media environment, customers have more information than ever at their disposal with which to make an informed buying decisions. But this also increases risk for product manufacturers and sellers. A small error in design and production, or an inaccurate product label, spread in social media, can cause huge trouble for a tire company’s reputation and bottom line. The financial loss arising from a liability loss can cause catastrophic damage to a business, possibly even bankruptcy.
Today, due to buyer’s increased standards and the complicated market environment, having a risk-management expert at your disposal is necessary to maintain a successful business. A well-designed can help your business stay competitive in this changing marketplace.