Executive Cars - South Korea

South Korea

Highlights

Revenue in the Executive Cars market is projected to reach US$862m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of -0.11%, resulting in a projected market volume of US$857m by 2029.
Executive Cars market unit sales are expected to reach 27.5k vehicles in 2029.
The volume weighted average price of Executive Cars market in 2024 is expected to amount to US$31k.
From an international perspective it is shown that the most revenue will be generated China (US$63bn in 2024).

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Executive Cars market in South Korea has been experiencing steady growth in recent years, driven by changing customer preferences and favorable macroeconomic factors.

Customer preferences: South Korean customers have shown a growing preference for executive cars due to their luxurious features, advanced technology, and superior performance. The rising disposable income and increasing urbanization in the country have also contributed to the demand for executive cars. Customers in South Korea value comfort, safety, and prestige, and executive cars fulfill these requirements.

Trends in the market: One of the key trends in the Executive Cars market in South Korea is the growing demand for electric and hybrid executive cars. South Korea has been actively promoting the adoption of electric vehicles to reduce carbon emissions and dependence on fossil fuels. As a result, many international and domestic automakers have introduced electric and hybrid executive cars in the market, catering to the environmentally conscious customers. Another trend in the market is the increasing popularity of SUVs in the executive car segment. SUVs offer a combination of luxury, space, and versatility, making them appealing to South Korean customers who value practicality and functionality. Automakers have responded to this trend by introducing a wide range of SUV models with premium features and advanced technology.

Local special circumstances: South Korea has a strong automotive industry and is home to major automakers such as Hyundai and Kia. The presence of these domestic brands has a significant impact on the Executive Cars market in South Korea. Domestic automakers have a deep understanding of the local market and cater to the specific preferences and needs of South Korean customers. They offer competitive pricing, excellent after-sales service, and a wide network of dealerships, which gives them an advantage over foreign brands.

Underlying macroeconomic factors: South Korea has a robust economy with a high GDP per capita. The country has a strong manufacturing sector and is known for its technological advancements. These factors contribute to the overall growth of the Executive Cars market in South Korea. The stable economic conditions, low unemployment rate, and favorable government policies have created a conducive environment for the automotive industry to thrive. In conclusion, the Executive Cars market in South Korea is witnessing growth due to changing customer preferences, including the demand for electric and hybrid vehicles and the popularity of SUVs. The presence of domestic automakers and favorable macroeconomic factors also contribute to the market's development. As South Korea continues to prioritize environmental sustainability and technological advancements, the Executive Cars market is expected to further expand in the coming years.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of new passenger cars. Data on the specifications of the sold vehicles is based on the base models of the respective makes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use company reports and websites, vehicle registries, car dealers, and environment agencies among other sources. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and car stock per capita. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, we use the ARIMA model for the Passenger Cars market. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).