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Research and Markets: Analysis on the Financial Position of the Top Five Auto Parts Distributors in North America - Effective Strategies to Counter the Economic Downturn

DUBLIN--Research and Markets has announced the addition of Frost & Sullivan's new report "Analysis on the Financial Position of the Top Five Auto Parts Distributors in North America" to their offering.

This Frost & Sullivan research service titled Analysis on the Financial Position of the Top Five Auto Parts Distributors in North America scrutinizes the financial performance of the top five auto parts distributors in the latest five fiscal years and four fiscal quarters, and analyzes their liquidity risks, cash positions, overall business risks, and investment values. Focusing on the liquidity challenge and utilizing the financial tools, Frost & Sullivan's analysts conducted detailed head-to-head comparison, identified the red flags, and explained the differences. This study also includes sensitivity analysis and scenario analysis under strictly defined assumptions based on Frost & Sullivan's industry expertise.

Market Overview

Top Five Auto Parts Distributors in North America Craft Effective Strategies to Counter the Economic Downturn

Faced with the most serious recession since the 1950s, auto parts distributors are grappling with the malfunction of financial derivatives, remarkably shrinking credit, and damaged consumer confidence. As a consequence of the crisis of the overall financial system, there is difficulty in borrowing, reluctance to lend, and a shift from sales on credit to cash clearance. The liquidity risk and cash position of selected top five auto parts distributors were evaluated and the future market direction was analyzed. Liquidity was not a big issue in good time, but over-development may unleash hidden problems. The time has come to identify these problems and solve them. "The whole automotive industry faces a huge liquidity challenge," notes the analyst of this research service. "The problems hidden in the process of stable growth in the past five years emerge and new strategies are in the meeting agenda of the management."

The financial conditions surrounding the top five companies largely represent the rest of the industry. It would be invaluable to gauge their liquidity risks, describe their cash positions, and provide advice under certain scenarios to enable the management to devise appropriate strategies to deal with this downtime. The top five auto parts distributors have huge inventories, and the average inventory processing periods are long, drawn-out processes. Some companies are striving hard to generate positive net incomes, while others are threatened by their high debt ratios. In general, different areas are dogged by different liquidity challenges.

Market Sectors

Expert Frost & Sullivan analysts thoroughly examine the following market sectors in this research:

  • Auto parts distribution
  • Auto financing
  • Commercial vehicle aftermarket
  • Service and maintenance
  • Automotive vehicle manufacturing

Key Topics Covered:

1. Liquidity Challenge of the Current Financial Crisis

2. Tools and Timeline for the Liquidity Risk and Cash Position Analysis

3. Liquidity Risk Analysis on the Top 5 NA Auto Parts Distributors

4. Cash Position Analysis on the Top 5 NA Auto Parts Distributors

5. Red Flags

6. Sensitivity Analysis

7. Scenario Analysis

8. Conclusion