Volkswagen Strategic Management - Dr Anu Vij Analyzing strategic issues at Volkswagen Strategic Management STRT405 School of Business Administration

Volkswagen Strategic Management - Dr Anu Vij Analyzing...

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Analyzing strategic issues at Volkswagen School of Business Administration SPRING 2014-2015 Dr. Anu Vij SUBMITTED BY Rashed Naser Al Mansoori ID: BBA1342005 SUBMITTED TO Dr. Anu Vij Strategic Management STRT405
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Title Page No 1: Introduction to the Volkswagen 2 2: Environmental analysis of Volkswagen 3 3: Strategic Management of Volkswagen a) Strategies executed identified and evaluated b) Strategic issues and problems discussed c) Role of CEO and sound leadership in solving strategic problems 6 6 7 8 4: Solution Suggested 9 5: Conclusion 9 6. References 9 Page 2
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Strategic issues at Volkswagen 1: Introduction to Volkswagen Volkswagen One of the largest automobile company in the world. Volkswagen is a company from Germany that deals with automobile manufacturing. In the list of top ten best selling cars Volkswagen’s has three cars, those us Volkswagen Golf, Volkswagen Passat and Volkswagen Beetle. The meaning of Volkswagen is ‘People’s car’, which is a German word. Slogan of Volkswagen is “Das Auto”. Ferdinand was funded Volkswagen was founded in 1937 its Headquarter is in Wolfsburg, in country Germany. Martin Winterkorn is the Current chairman of the company. Volkswagen’s revenue 94.7 billion euro in 2011 and also has more than 3658500 employees. Volkswagen is among world’s largest car manufacturer. Others are Toyota, General Motors, and Honda etc. To gain the leading position in this automobile field Volkswagen has used many strategies. In this paper, we discussing the strategies made by Volkswagen to become the leader in automobile industry. Volkswagen is a huge multinational group, there for they divide their company into two categories of cars according to its brands. These two categories and their brands are given below: Category 1: “Classic” brand group. 1: Volkswagen 2: Skoda 3: Bentley4: Bugatti brands Category 2: “Sporty” brand group 1: Audi 2: Seat 3: Lamborghini Volkswagen implemented its service all over the world with all its successful brands VW serves all over the world. More than 150 countries they spread their business. If we discuss about its market identification then we can find that Volkswagen covers all the important areas of the world. Their goal is to provide safe, attractive and environmentally sound cars which are according to the different standards of the different parts of world. Currently the main markets of VW group are Western Europe, Brazil, China, The US, Mexico and Russia. In the US, China, India, Russia, Brazil and the ASEAN regions they are expecting their growth. 2: Environmental analysis of Volkswagen Page 3
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Decision making of a company is making by many factors in an organization. In automobile industry these factors are Political factors, Economic factors, Social factors, Technological factors, Environmental factors and Legal factors. PESTEL analysis is the study of all factors.
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