Emerging Automotive Sector in Hungary: A Comparative Study

One of the pillars of the economy in Hungary is the automotive industry; despite going through ups and downs due to the pandemic in 2020, the new car market in Hungary shrank by almost a fifth, with a total of 128,000 vehicles purchased at various brand levels. The study focused on a comparative analysis of revenue towards four car brands with a relatively large market share in Hungary both in the provision of production units and spare part units regarding OEMs, namely Audi Hungary, Opel Szentgotthárd, Magyar Suzuki, and Mercedes-Benz. Using the ANOVA model, this research deployed a quantitative approach by analyzing panel revenue data for the four-car brands from 2017-2021. The results of this study place Audy as the car brand that generates the most revenue and Mercedes-Benz the least. Based on Post Host Tests analysis with the Tukey method, it shows that the nominal value of the income relationship between Opel Szentgotthárd and Magyar Suzuki is not significant with a Tukey HSD value greater than 0.05, which means placed second and third in revenue over five years. The increase in revenue growth from the four car brands is undoubtedly the main driving force for the Hungarian economy, which has been growing and developing amidst the current European economic crisis. Therefore, the government can certainly further develop the automotive industry in a more sustainable direction which is also a challenge for the government in overcoming the energy crisis. Even though foreign companies still dominate Hungary's automotive sector, this positively impacts employment.