Write 10 pages thesis on the topic an economical analysis of the car market in saudi arabia.

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Write 10 pages thesis on the topic an economical analysis of the car market in saudi arabia. The region has been affected by the Arab uprising causing many economies to strain. The move by the government of Saudi Arabia to inject US$37 billion into the economic social initiatives is likely to improve the consumer purchasing power (Hutchison and Davies 42). This has increased the sales and revenues in the motor vehicle sector. Most retailers and importers in the country have started dealership expansion programs. This paper gives an economic analysis of the car market in Saudi Arabia. The car market in the country has been bent towards high-end models. However, there is a propensity towards purchases in the lower-priced family cars. The cars to small and their running cost are economical. The demand for family cars is expected to rise with increase in population (IMF, 2008). In 2010, the market for ultra-luxury cars grew by 39 percent. Porsche and Lexus have opened high-end servicing centers in anticipation for rising demand. Commercial vehicles are responsible for 20 percent of the demand for auto mobile products in Saudi Arabia. The increasing spending in government infrastructure and the demand created by visiting pilgrims continues to be a major boost in the sector. Literature review Saudi Arabia remains the largest importer of vehicles in Middle East (Hutchison and Davies 42).

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