Table of Contents Executive Summary 2 Introduction of Company and Current Situation 3 External Environment Analysis 4 General Environment 4 Industry Environment 6 Competitor Environment 7 Conclusion of External Environment Analysis 8 Internal Analysis 10 VRIN Analysis 10 Financial Analysis 12 Conclusion of Internal Analysis 15 Strategy 16 Identification of Key Problems 20 Recommendations and Implementations 21 References 24
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Executive Summary
BMW is known for its manufacturing of premium-brand cars and off-road vehicles under the BMW, MINI, and Rolls-Royce labels, as well as motorcycles under the BMW and Husqvarna brands. To complete an external analysis, we evaluated the general, industry, and competitor environments. External Environment Analysis General Environment
Environmental trends within the luxury automotive industry are significant, though not as much as with lower-end vehicles. The physical segment has been changed due to rising fuel prices, pressuring the companies in industry to find way to create more fuel efficient sports cars. The rising fuel prices can be pinned on the recent economic recession. Also, the rising fuel prices impact the sociocultural segment by creating a more environmentally friendly conscious population. Those who are in a position to buy luxury vehicles are not as concerned about saving money through buying less gasoline. Still, this doesn’t mean that consumers won’t be concerned about MPG; because of this, it is still important that luxury automotive manufacturers offer fuel efficient options. Figure 1 illustrates the trend of increasing fuel economy in new vehicles. Figure 1: Fuel Economy
Social factors are important within this industry. Those who spend the money on a higher quality car usually want people to know the high quality brand they purchased; so many manufacturers have increased the make identification size on their vehicles. Economic conditions will continue to have an effect on almost all industries, and luxury cars are no exception. While the current interest
Situation For years, the Porsche brand stands for expensive, high-performance sports cars. A typical consumer for Porsche is a young, adventurous, wealthy male who enjoys living life on edge (19). This single-minded focus would change in 1998 when Porsche made an announcement to develop an SUV to be released in 2003 in the United States. The new SUV would provide traditional Porsche styling and performance however combines components promoting family and outdoor activities. Porsche would be joining an…
Running header: Porsche 1 PORSCHE: GUARDING THE OLD WHILE BRINGING IN THE NEW VANESSA HARRISON-HARVEY BUS 330 PRINCIPLES OF MARKETING INSTRUCTOR: DONNA MANLEY JULY 24, 2012 Running header: PORSCHE 2 Porsche producing company is an automobile company that started with the production of Porsche vehicles aimed for the wealthy. Similar to other organizations, it understands the customer preference, and the fundamental aspect for booming product sales includes the following:…
Case study 3 1.) who needs a Porsche? Porsche is a unique car company, because their customers don’t necessarily need a Porsche but they want the luxury of a Porsche. The customer can find value in the Porsche simply by its name and the other people that you see driving a Porsche. No one sees someone driving a Porsche that does not think to themselves that person must be successful, and that is value in its self. The price also has to do with the value, because Porsche must set the price high…
Case study A New Spin on Cycling: What is the Market Value of a Name? Cycling presents a great number of advantages over other forms of transportation. The advantages of cycling include, for: Society, inexpensive infrastructure requirements and environmental sustainability, and Individuals, benefit from cycling as a healthy exercise as well as an inexpensive mode of transport that, in some urban areas, can be faster than other transport modes (e.g. it often allows cyclists to avoid traffic jams and…
4/9/2013 Business and Economics Case Studies in Finance Technical Content for Porsche Volkswagen CSX Instructor: Maria Strydom Go8 AFF5300 Case Studies in Finance Business and Economics Technical Content Readings: Chapter 5 from John C. Hull “Risk management and financial institutions” International Edition (2nd). Pearson. Available from the M onash library Derivatives and their use Derivatives Derivatives are a form of contingent claim – their value is contingent upon…
Four Products Case Question 1. Which of the four products are you most optimistic about in terms of likely success? Why? Answer: I really like two ideas presented in the case: Stave Jigsaw Puzzle and Polytrack. Both are dealing with big money and luxury; while one is aimed to please, impress and entertain real “big wallets” owners, the other seems to be a real innovative breakthrough in equestrian sport. Stave Puzzle attracts me with a perfect match of the target market – rich fine people who…
opinion based research paper. As you may know, there is a large amount of contention over whether there are any advantages of buying a car made overseas, or out of the USA vs. a car made domestically, or inside of the USA. This research will be a study on the difference in preference of imported vehicles or domestic vehicles between different groups of individuals on the basis of Gender, Age, and Ethnicity. My population will be Dr. Smith’s 3 classes. The research methods will be that of a short…
KIA and Hyundai turning the corner Louis O. Rollins 2/7/2014 Marketing 506: Marketing Management Dr. MaryAnn Lamer Case Analysis Summary Hyundai and Kia have humble beginnings in South Korea, Hyundai was founded 29 December 1967 and KIA 9 June, 1944. KIA was a company that was a manufacturer of steel tubing for bicycles, and then in 1951 they started building complete bicycles, later in 1957 stared building motorcycles, trucks in 1962 and cars in 1974. KIA opened its first…
income groups, and thus use brands effectively to isolate markets and identify different qualities. The Group today comprises twelve brands from seven European countries: Volkswagen Passenger Cars, Audi, SEAT, ŠKODA, Bentley, Bugatti, Lamborghini, Porsche, Ducati, Volkswagen Commercial Vehicles, Scania and MAN. BRAND POSITIONING What is Brand Positioning? - A brand position is a part of the brand identity and value proposition that is to be actively communicated to the customer and that demonstrates…
awareness in all the varied forms of social media. EXAMPLES AND CASE STUDIES: Case Study: “I once sent a Tweet out complaining about my mobile phone service. Within an hour they had rung me up and given me a new phone for free to apologize as well as switching me to a better reception provider. This would never happen before social media because companies weren’t afraid of our networking influence. Now they are.” (Ramsay, 2012) Personal Case Study: I thought this was interesting so I tried it myself with…
