Governments taking the wheel
In a global recession, with car companies struggling and the subsequent loss of jobs and economic
power, should Governments drive matters?
The Synovate survey asked people whether they agreed with 'I think it's reasonable in a recession for car
manufacturers to receive financial assistance from Governments'. We asked the question in March 2009,
ahead of the US Government's General Motors investment, but well after many other Governments stepped in,
in a variety of ways.
Overall 42% agreed that it was indeed reasonable for Governments to provide auto industry assistance
in a recession. Most of the markets we surveyed have national car industries in common, so there's a strong
cultural variability on whether people thought those industries and jobs should be influenced by a Government
or left alone.
The top markets for agreeing that Governments might step in were South Africa (63%), Turkey (60%), Malaysia
(59%), China (58%), India (55%) and Thailand (54%).
South Africa's Rice says people there expect a lot of the Government.
"The car industry here employs tens of thousands and makes a significant contribution to the GDP... for most
South Africans it makes complete sense to support Government financing."
Gulsah Olcay, Head of Synovate Motoresearch in Turkey says there were big layoffs in the sector prompting
the launch of Government support.
"The Government offered direct assistance to car manufacturers who did not lay off employees, preserving a
number of jobs. Turkish people in general think that's a good result from a Government action."
Bangia of Malaysia says the answer there is also linked to national pride.
"Malaysians have a complex relationship with Proton, the national car maker. People would be quick to complain
about a niggly power window problem but also feel enormous pride. Proton has become a symbol of national
ingenuity and this is why people would be very supportive should the company require assistance."
Least likely to support Government interventions were the Japanese (67% disagreed with the statement),
Americans (65% disagreed) and Canadians (64% disagreed).
Englehart puts the North American responses down to through-and-through capitalism.
"We're going through an extraordinary time in the US in particular at the moment but this does not change
the fact that both Canada and the US are among the most capitalistic countries in the world. That kind of
background and national philosophy doesn't change overnight."
About the Synovate global 'Dream versus green' cars survey
Numbers of people surveyed
This In:fact survey on cars was conducted in March 2009 across 18 markets - Australia (AU), Brazil (BR),
Canada (CA), China (CN), Egypt (EGY), France (FR), Germany (DE), Greece (GR), India (IN), Japan (JP),
Korea (KR), Malaysia (MY), South Africa (ZA), Thailand (TH), Turkey (TR), the United Arab Emirates (UAE),
the United Kingdom (UK) and the United States of America (US). It covered over 13,200 urban respondents.