What are Automotive?

This article will give you detailed information on what automotive is with types, components, categories and courses of automotives.

According to the dictionary,

Automotive can be defined as anything that has the ability to move itself or is self-powered i.e self-propelled machines or vehicles.

There are also companies or organisations that oversee the business of the automotive industry. Industry in terms of the production, maintenance, painting, washing, marketing and selling of vehicles.

Don’t get yourself with the automotive and automobile as they’re two different terms.

What is the Difference between Automotive and Automobile?

While both terms are related to the vehicle industry. Automotive refers to any machine that can move by itself (Self-powered vehicles). meanwhile, an Automobile typically refers to 2 – 4 wheels automotive vehicles with seating space for more than one person.

However automobiles guises as any vehicle that runs on 4 wheels. The difference is quite clear, Automotives are machines that can move by themselves be it aeroplanes, trucks, bicycles, car e.t.c meanwhile automobiles focuses mainly on the road vehicle that is mainly used for the transportation of small persons.

Also, in a new development, it has been found that automobiles are grouped into 4 different types which implies that cars might not be the only automobiles as claimed.

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Here are the 4 main types of Automobiles

  • Petrol Vehicles – cars
  • Diesel Vehicles – trucks, buses e.t.c
  • Steam Vehicles – Railways
  • Gas Vehicles – LPG and CNG vehicles, LPG is used in aircraft and helicopter engines

So, as you can see, we can also call automobiles the end product of the automotive industry.

What is an example of Automotive?

As explained earlier, Automotives are machines that are self-powered either by the help of an internal combustion engine or by electricity.

Below are examples of Automotives,

  1. Cars
  2. Aeroplanes
  3. Trucks
  4. Motorcycles
  5. Trains
  6. Tricycles e.t.c

What is the work of Automotive Industries?

Automotive industries play a vital role in automotive production as they help in the planning, designing, production, wholesale, retailing, wholesale, painting and maintenance of vehicles.

They manufacture all components such as the engines, and bodies (casing) except for the battery, fuel and tires.

I know you should be asking what is considered the automotive industry, it’s something we see and hear every day.

Examples of Automotive Companies include;

  1. Tesla
  2. Toyota
  3. Ford
  4. Honda
  5. Volkswagen
  6. BMW
  7. Mercedes Benz
  8. Suzuki
  9. Kia
  10. Audi
  11. Porsche
  12. Hyundai Motor Company
  13. Chevrolet
  14. Mazda
  15. Bajaj
  16. General Motors
  17. Nissan e.t.c

Automotive Industry Categories

The automobile industry is split into different segments of which some specialise in motorcycles, and tricycles while the majority are focused on 4-wheel vehicles.

Below are the 4 segments into which automotive are divided:

  • Two-wheelers (motorcycles)
  • Three Wheelers (Tricycles)
  • Passenger Vehicles ( cars)
  • Commercial Vehicles (Heavy vehicles)

Two-wheelers and passenger vehicles are the largest automobile market in the world. Next are the Three Wheelers and then the Commercial Vehicles.

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Challenges in the Automotive Industries.

Now that we’ve known what Automotives are, let’s round this up by taking a look at some of the problems encountered by automotive industries over the years.

Fewer Sales

What happens when a company didn’t meet up with sales expectations on a new product? They’ll either change their audience, change or cancel the product or fold up if there’s no adequate funding.

Insufficient or no sales can cause frustration which if isn’t handled properly might lead to bankruptcy.


Liquidity simply implies the ease at which an asset can be converted to cash without affecting its market price.

Let’s use the pandemic, for instance, many small businesses closed down due to a lack of funds and this is mostly due to a lack of cash at hand to move further since their lockdown placed restrictions on so many marketplaces.

Cut off the supply chain

Back to the pandemic, it’s important that most automobile industries prepare for times like this as there may be restrictions placed on importations and travelling.

China on the other hand which has two-thirds of the world’s vehicle manufacturing companies shut down and as a result caused a decline in supply.

Manufacturing limitations

The automobile industry isn’t a place where you can easily work from home since you’ll need to be present at the workplace for efficient outputs.

In a case of social distancing or lockdown, the marketplace has no option but to shut down its operations until the order is being restored.

Except if there’s a speed in technology development then manufacturing lockdown will continue to happen.

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That’s it.


I hope this article has helped you in defining what automobiles are.

Let’s not also forget the automotive industry which also plays a great role in the manufacturing, retailing and wholesale of automobiles.

That’s all you need to know about automotive.

Kindly drop a comment below if you have any questions.

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