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Assignment - the German Government and the Automotive Industry

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Submitted By mehdi6689
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The German government and the contribution of it to the national automotive industry
It is difficult to assess the contribution of the German government to the national automotive industry especially as it has evolved over the last several decades. Germany was one of the first nations to embrace the automobile industry when the technology first emerged in the late nineteenth century. This new technology chimed with the technological orientation of the country which, at the time and as now, was one of the most developed countries in the world. The Germans embraced the practicalities of the technology but also the fun of it and early automobile racing was dominated by German and Italian racers. At the time a number of Marques emerged that have withstood the test of time including, of course, Mercedes Benz, BMW (Bavarian Motor Works), Maybach and so forth.

Arguably, and somewhat unfortunately, the greatest contribution of any German government to its national automotive industry - and possibly the greatest contribution of any government to its national automotive industry - was under the Nazi regime (1933-45). The Volkswagen (literally, the People’s Car), democratised automobile use in Germany by bringing to the marketplace a car that the vast proportion of the German public could afford. This had a transformative effect on motor use both within and beyond Germany, and particularly at a time that was only a few years after the end of a devastating economic depression that had hit Germany especially hard. Thus, affordability was very important to the car consumer of the time.

This was coupled with another landmark achievement by the Nazis which was the construction of the Autobahn system of highways. This policy fitted with Nazi grandiosity and while it was unique for Europe of the time, it coincided with similar construction in the US. This was an early

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