Company: SCAG
Filing Date: 2025-01-06
Form Type: 424B3
Source: 0001213900-25-001215
Chunk: 913

Company: Scage Future
Filing Date: 2025-01-06
Form: 424B3
Chunk 913
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1-6 2.World price of crude oil: The price of gas is important to industry players because it represents a significant part of a vehicle’s running costs. Through 2023, the retail price of gasoline has grown, which has led consumers to consider their fuel consumption. Consumers demand smaller and more fuel-efficient vehicles, increasing industry revenue. The world price of crude oil is expected to decrease in 2023. 3.Tax credits for energy efficiency: Consumers received tax credits up to $7,500 depending on the make of the car. An increase in the availability of these tax credits leads to higher industry revenue as consumers buy more hybrid and electric cars. Tax credits for energy efficiency are expected to increase in 2023, representing a potential opportunity for the industry. 4.Demand from new car dealers: New car dealers demand industry vehicles when consumers increase demand for these cars. The financial crisis has taken a toll on dealers and a significant proportion of companies had trouble finding funds to stock their showrooms. Demand from new car dealers is expected to decrease in 2023, posing a potential threat to industry operators. 5. Trade-weighted index: The level of international trade for industry products is affected by US dollar exchange rates. An appreciating US dollar causes domestic goods to become relatively more expensive compared with industry products manufactured abroad. This tends to heighten import competition and reduce exports. The trade-weighted index, which measures the value of the US dollar against key trading partners, is expected to increase in 2023. Key Success Factors 1.Strong supply chain links: Close relationships with suppliers and good distribution channels are important. Manufacturers need to be able to access parts on a timely basis to ensure the smooth flow of production. Operators need good distribution channels to minimize supply chain interruptions. 2.Use of most efficient work practices: Good industrial relations through a motivated work force ensure the smooth running of a production plant. Work stoppages can be costly to industry players, and good industrial relations can hedge manufacturers against that type of risk. 3.Access to the latest available and most efficient technology and techniques: The degree of investment in technological improvements and product development is important. In the current environment, the development of fuel-efficient, hybrid and alternative-fuel vehicles is crucial for competitive purposes. 4.Ability to expand and curtail operations rapidly in line with market demand: Industry players that respond to market signals will likely be competitive. This factor is evidenced by the high acceptance of a few of the industry’s hybrid models. Industry Outlook Through