Advantages and Weaknesses of the Volkswagen Group (VW). Value Chain and SWOT Analysis PDF Download

Author: Moniruzzaman Kiron
Publisher: GRIN Verlag
ISBN: 3346054578
Category : Business & Economics
Languages : en
Pages : 19

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Submitted Assignment from the year 2018 in the subject Business economics - Industrial Management, grade: A, , language: English, abstract: This report analyzes the Volkswagen Group (VW) Company’s current operations and provide strategic recommendations to the board of directors of the company. This report describes on how to analyze the external and internal environment of the company by analytical frameworks. It starts with Company Background, where the company’s mission and current operations will be described. Next is the Environmental Analysis, where a the SWOT analysis is applied for the company with consideration of Porter’s Five Forces model and Value Chain Analysis. Then, the paper identifies what the company’s current sustainable competitive advantages and its weakness are. Recommendation on how to tackle these weaknesses will be given afterwards. For a huge company like Volkswagen it takes a lot of effort to maintain their great brand reputation, to sustain that they have to make sure they fulfill the needs and wants of their customers and satisfy them. Although the brand portfolio includes brands like Skoda, Bugatti and Lamborghini the company still ranks high in the mind of customers. Even so having some problems in the automotive industry recently they must start looking forward and try finding solution as it might affect their brand image which can cause them huge loss and maintain the trust and build a relation among their customers as well. Volkswagen items are strongly connected with so much feelings as security and sense of pride.

Author: Nadine Wiese
Publisher: GRIN Verlag
ISBN: 3640467485
Category : Business & Economics
Languages : en
Pages : 37

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Seminar paper from the year 2008 in the subject Business economics - Business Management, Corporate Governance, grade: 1,0, University of the West of England, Bristol (Bristol Business School), course: Strategic Management, language: English, abstract: The Volkswagen Group - from a company providing affordable cars for the German people to a global group producing broad-range models including premium vehicles for upper-classes. The success of the today's VW AG began in 1937 when VW was founded with the intention to provide affordable cars for the German people. After years of developing further models, acquisitions of other car manufacturers such as Audi and SEAT, and starting international operations, the Volkswagen Group has become the largest automobile manufacturer in Europe and one oft the leading car producers worldwide. Today there are almost 50 production plants in Europe, America, Asia and Africa. (Datamonitor 2008) The Volkswagen AG consists of two divisions. Next to the Financial Services Division there is the Automotive Division that develops vehicles and engines, produces and sells passenger cars, commercial vehicles, trucks, buses, vans, pick-ups and campers. Brands that are part of the VW Group include: VW, Audi, SEAT, Lamborghini, Skoda, Bentley and Bugatti. (Datamonitor 2008) Concentrating on the Automotive Division, the Volkswagen Group's strategy is analysed by looking at its value chain. It is examined what is performed well, where strengths are that create value, and what might be improved.

Author: Jan Kachelmaier
Publisher: GRIN Verlag
ISBN: 3668484422
Category : Business & Economics
Languages : en
Pages : 66

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Research Paper (undergraduate) from the year 2016 in the subject Business economics - Industrial Management, grade: 3,7 (93%), California State University, Fullerton, language: English, abstract: The paper analysis the automotive industry in general as well as the relative position of the Volkswagen AG. Furthermore, VW's competitors are assessed and recommendations for actions are formulated. In the beginning the creation of the automobile seemed less of a need and more of a luxury, as the cars could only be afforded by the well off. The very first steam car took to the road in France in 1768 – but Cugnot's novel idea did not trigger the beginning of the car industry. After Henry Ford’s model made its debut, owning a car was a symbol of status, because it could only be afforded by the wealthy. Once the process of Henry Ford’s mass production was introduced, cars could be afforded by a wider dynamic of people, and ownership became an affordable growing trend. The production of automobiles was a great help to the economy. It provided jobs across industries including positions in steel and machine tool makers for the different metal parts of the car. The increase in the need of supplies and other parts of the car including the battery, head lights, paint, and interior upholstery, were the driving forces for new businesses to thrive. Cars being a part of the everyday norm meant they would need routine car maintenance which became a major source of business. This also led to the increase of petroleum sales as the demanded use of cars increased. When WWII came the US was able to use the jeep for military use, additionally Chrysler reworked the jeep design to create tanks. Moreover, car production in Europe turned its focus from “the people’s car” to cars designed for the military.

Author:
Publisher: GRIN Verlag
ISBN: 3346258831
Category : Business & Economics
Languages : en
Pages : 13

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Seminar paper from the year 2010 in the subject Business economics - Operations Research, grade: 2,0, , language: English, abstract: This project aims to investigate the benefits of the proposed merger for Volkswagen AG. Volkswagen and Porsche have merged as a sole group under the management of Volkswagen. VW has purchased 41% of Porsche and over the next years, the firms will integrate and merge with each other even closer. Porsche will keep its own brand and still operate independently to some extent. The proposed Porsche and Volkswagen merger started in late summer 2009. Since I am a car enthusiast, I wanted to look at a car manufacturing company. Watching the news from Germany almost every day, I familiarized myself with the issue between Volkswagen and Porsche. Being a Porsche fan, I wanted to see what will happen with Porsche and investigated it. The German company Volkswagen AG is Europe's biggest carmaker and very well known throughout the world. Volkswagen AG owns nine brands including the own Volkswagen (VW) brand. Volkswagen's product portfolio consists of the brands Audi, Bentley, Skoda, Lamborghini and more. Each brand has its own character and operates as an independent entity on the market (Group). This suggests that each brand caters for a specific market. Porsche AG is one of the most profitable manufacturers of the luxurious sports cars, Porsche. Porsche’s Chief Executive Officer (CEO) Wendelin Wiedeking made Porsche so successful until now. After Porsche obtained more shares of Volkswagen, Wiedeking wanted to take complete control over VW. This seemed impossible to many, as Volkswagen makes sales of $151 billion per year, which is about 16 times the size of Porsche, which generates sales of about $9.3 billion (Boston). Beginning in 2005, Porsche acquired a voting stake of 50.8% in Volkswagen. Porsche planned to increase these to 75% until the end of 2009 (Boston). However, everything turned out the other way, VW took most control over Porsche and Porsche was forced to merge with VW. Porsche AG created these problems themselves by being too ambitious and ignorant to political relationships in order to successfully take control over a giant like VW. Wiedeking's disastrous attempt to buy VW has led him to resign as the CEO of the Porsche AG at the end of 2009 leaving Porsche with a debt of $13 billion. VW saw this as an opportunity to take control of Porsche. The battle has been going for over three and a half years.

Author: PRASANNA VENKATESAN MEENAKSHISUNDARAM
Publisher: GRIN Verlag
ISBN: 3346687120
Category : Business & Economics
Languages : en
Pages : 17

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Submitted Assignment from the year 2020 in the subject Business economics - Business Management, Corporate Governance, grade: B+, University of Northampton (Amity Global Institute, Singapore), course: BA (Hons) Business Studies, language: English, abstract: In the present competitive business world, it is important for organisations to use the available ideas and strategies to achieve their goals financially. For this, companies all over the world conduct brand audit analysis which helps to know the current status of the company in the market. It manages to provide the strengths and weaknesses in order to build up strategies for the future. Following Toyota, Volkswagen is the second largest automaker in the world. This report will focus on the brand audit analysis which will evaluate the external and internal situation along with strategic and tactical recommendations for Volkswagen, the German automaker which is globally superior for its performance and innovation.

Author: Jan Kubik
Publisher: GRIN Verlag
ISBN: 3640848187
Category : Business & Economics
Languages : en
Pages : 32

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Research Paper (undergraduate) from the year 2010 in the subject Business economics - Operations Research, grade: 1,0, Munich University of Applied Sciences, language: English, abstract: Volkswagen Group is based in Wolfsburg, Germany, ranks among the world’s leading automobile manufacturer and is the largest carmaker in Europe. Therefore the Group posses 11.3 percent share of the world passenger car market and holds 20.9 percent of the European automobile market. The Volkswagen Group with its nine brands (Audi, SEAT, Škoda, Volkswagen, Volkswagen Commercial Vehicles, Bentley, Bugatti, Lamborghini and Scania) offers a broad product range from low-consumption small cars to luxury class vehicles. For simplicity reasons the Volkswagen Aktiengesellschaft (as parent company of the Volkswagen group) is referred to as Volkswagen or VW where as the whole Volkswagen Group is either referred to as Volkswagen (VW) Group or Group within this paper. Despite the Group’s international alignment it is currently only slightly represented in India. As it has entered the Indian passenger car market ten years ago, significantly later than its Japanese and American competitors, its current market share amounts only to two percent. Because potential customers are increasing, the automotive industry is getting more dynamical and international and government’s politics are focusing on economic growth, India could become the future key market to the automotive industry. Due to the eminently strong growth of the Indian main street and the proceeding social change, as the younger generation wants to go for a distinguished career, especially the Indian minicar market’s (IMM) potential is higher than ever before. As Volkswagen Group is alive to the importance of this market but lacking in appropriate knowledge how to produce cheapest cars in large-scale production, it considers strengthening the cooperation with Suzuki Motor Corporation and Volkswagen by building a Joint Venture (JV). Thus, the already existing cross share- holding as shown in Appendix A could evolve into a new common entity. This paper analyses, appraises and evaluates in what way this strategy is promising for Volkswagen and how far Suzuki is an appropriate partner. Therefore, this assignment contributes to the assessment of the strategy’s prospect of success. Therefore, Appendix B was used partly as framework in this paper. Firstly, Volkswagen Group’s vision and history is epitomised and its objectives are outlined. Secondly, chosen resources of Volkswagen are revealed (2) and it is analysed how far they are transferable to the mentioned market and to which extent the JV with Suzuki Motor ...

Author: Sven Röhm
Publisher: GRIN Verlag
ISBN: 3638648362
Category : Business & Economics
Languages : en
Pages : 52

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Essay from the year 2003 in the subject Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media, grade: 74% (A) entspricht 1,0, University of Teesside (Tesside Business School), course: Managing Markets, language: English, abstract: After the introduction of the first Volkswagen luxury car in May 2002, sales are still far behind the Volkswagen's expectation (Handelsblatt, 2003). It seems that the VW Phaeton faces the same destiny as its antique namesake Phaeton. In the Greek mythology, Phaeton was the son of Helios, the sun god. Helios has driven the family chariot across the sky, wearing the rays of the sun as a crown, lighting the day. One day Phaeton convinced his father to lend him the beautiful chariot. But Phaeton, in contrast to his father, was not able to drive the chariot appropriately, and drove the chariot so close to the earth that he boiled the oceans and scorched the land. So Zeus had to stop him by killing him with a lightning bolt (Vaughn, 2003). Volkswagen certainly had not considered this explanation when naming the Phaeton, but referred more likely to the second meaning of Phaeton; an elegant carriage of the 17th century which the owners drove on their own. Nevertheless, there are signs that the Volkswagen engagement in the high-class (luxury) car market is tougher than expected. It seems people are less persuadable to buy a high-quality car of the experienced and renowned German car manufacturer. This shows the divergence of the formerly targeted 12.000 to 15.000 units (Weernink, 2001) annually in global sales 2003 which is opposed by the actual numbers of only 2.600 units in Germany - the main market of the Phaeton - from January to October (Kraftfahrtbundesamt KBA) and estimated sales of 3500 units worldwide (Handelsblatt, 2003). The targeted sales of 20.000 units in 2004 (Weernink, 2003) seem to be completely unrealistic. But the Volkswagen top-management remained silent. Although Volkswagen always claims

Author:
Publisher: GRIN Verlag
ISBN: 334653846X
Category : Business & Economics
Languages : en
Pages : 18

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Seminar paper from the year 2021 in the subject Business economics - Market research, grade: 1,3, Buckinghamshire New University, language: English, abstract: In this assignment, the author finds herself in the role of a consultant, whose client intends to acquire VW. The objective of this paper is to provide an assessment of VW's financial performance and financial position to prepare a proposal to the client, that assists in deciding whether acquiring VW is financially beneficial. For a comprehensive insight into VW's financial performance and position, the approach was as follows. Hereafter, in chapter two, the theoretical background provides the reader with knowledge about VW and describes the meaning of DD in M&A processes. Chapter three, the financial statement analysis, is subdivided into FDD and CDD. In the FDD profitability ratios, asset and capital structure KPIs, and liquidity ratios are described and reviewed. The ratios are based in each case on the corresponding statement, the income statement, the balance sheet, and the CFS. The annual reports of VW from the years 2017-2019 serve as a reference for the financial KPIs. The CDD is based on Porter’s Five Forces framework, which considers future trends, and in addition, includes a brief benchmarking to identify competition between global car manufacturers within this framework. To conclude chapter three, the results of FDD and CDD are summed up. In chapter four, a proposal to the client is provided, which speaks for the fact that VW is worth buying in terms of the numbers considered.

Author: Anja Lorenzen
Publisher: GRIN Verlag
ISBN: 3640810287
Category : Business & Economics
Languages : en
Pages : 25

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Seminar paper from the year 2007 in the subject Business economics - Business Management, Corporate Governance, grade: 1,3, BI Norwegian Business School, language: English, abstract: In terms of a rising competitive environment the way east gets more and more important. It does not only lead to a reduction in costs but operating in the eastern parts of Europe can result in advantages for the whole company. Volkswagen overtook their JV partner Skoda and this gave them access to the local cluster. This is an advantage, that companies which do not invest in brownfield investments do not have right from the beginning. Therefore, the kind of FDI and the region are very important and can determine the companies future success. Volkswagen’s greenfield investment in Kaluga, Russia will also be explained, based on the advantages and disadvantages that the two different FDI offer. The different VW investments will then be linked to Dunning’s eclectic paradigm, the OLI model.

Author: Anja Lorenzen
Publisher: GRIN Verlag
ISBN: 3640810074
Category : Business & Economics
Languages : en
Pages : 53

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Book Description
Seminar paper from the year 2007 in the subject Business economics - Business Management, Corporate Governance, grade: 1,3, BI Norwegian Business School, language: English, abstract: In terms of a rising competitive environment the way east gets more and more important. It does not only lead to a reduction in costs but operating in the eastern parts of Europe can result in advantages for the whole company. Volkswagen overtook their JV partner Skoda and this gave them access to the local cluster. This is an advantage, that companies which do not invest in brownfield investments do not have right from the beginning. Therefore, the kind of FDI and the region are very important and can determine the companies future success. Volkswagen's greenfield investment in Kaluga, Russia will also be explained, based on the advantages and disadvantages that the two different FDI offer. The different VW investments will then be linked to Dunning's eclectic paradigm, the OLI model.