Vw Analysis

VOLKSWAGEN AG

Company Strategy and Industry Analysis:

To be the world’s leading automaker by 2018

Felix Yohanes Widjaja (S8274539D)

MBA Part Time Programme 2012

I. INTRODUCTION

The Volkswagen AG (Group) with its headquarters in Wolfsburg, Germany was established in 1937 and it is one of the world’s leading automobile manufacturer and the largest automaker in Europe. It is known for iconic car brands such as Beetle, Passat and Golf which are part of the top 10 best selling cars of all time (McIntyre, 2012). In 2012, the Group increased the number of vehicles sales to 9.276 million (2011: 8.265 million) which contributed to 12.8% share of the global automobile market. This is part of “Strategy 2018” (Volkswagen, 2012, p. 244) which focuses on positioning Volkswagen Group as the global economic and environmental leader among automobile manufacturers and also the most successful and fascinating automaker in the world by 2018.

II. COMPANY ANALYSIS OF VOLSKWAGEN AG

What business is the company in? The company engages in the manufacturing and sale of automobiles globally

Who are its targeted customers? The company produces a variety of models which covers all customer segments range and can be classified based on each individual brand’s target as follow:

• Volkswagen Passenger Cars, SEAT, ŠKODA: Low to middle income customer

• Audi, Bentley: High middle to ultra high income customer

• Bugatti, Lamborghini, Porsche: Sports car enthusiast but typically high and ultra high income customer

• Ducati: premium motorcycle enthusiast but typically middle to high income customer

• Volkswagen Commercial Vehicles, Scania and MAN: Goods and passengers transportation owners and companies

• Volkswagen Financial Services: Automobile owners and companies

What products or services does it offer?

• Passenger Cars and Light Commercial Vehicles segment: involves in the development of vehicles and engines; and production and...