Volkswagen Essay

789 words - 4 pages

First I want to show you some car brands. Volkswagen,the best-selling car brand in Europe.Audi, the world’s third largest luxury car brand after Mercedes-Benz and BMW. Scania, the sweden commercial vehicle producer, Skoda, the famous automobil manufacturer based in the Czech Republic, and SEAT, the biggest Spain car maker. Then the ultra-high performance car brand Lamborghini ,Porsche and Bugatti. And last ,British ultra-luxury car brand Bentley.
All these brands have one thing in common, they are all owned by the Volkswagen group of Germany.
* The Volkswagen Group strengthened its position as the top motorcar manufacturer in Europe in 2009 by increasing its market share by half a ...view middle of the document...

At the same time, Volkswagen(VW) has for the first time ever sold more cars in China than it did in its home market of Germany. According to Volkswagen Group’s Half-Yearly Finaicial Report January-June 2009, for the first half of 2009 the manufacturer sold 652,000 units in China while selling 631,900 vehicles on Germany. So ,China is the biggest market for the VW Group. And also VW has been taking the leading position in the Chinese automotive market for more than 20 years.
Another emerging market Brazil:
Brazil is set to surpass Germany this year to become the 4th largest car market in the world, after China, United States and Japan. And once again, VW is the No.1 carmaker in this exciting market.
Weakness
North American Market:
Volkswagen's puny presence in the U.S. was its greatest weakness. Compare to its strong position in Europe, China and Brazil, VW’s market share in the US, including its Audi brand, is only three percent. The reason can be traced back to its product line, which was not ideally suited to Americans' taste in cars.
The VW focused on smaller or mid-size cars with highly advanced technological features when Americans were more interested in buying larger vehicles, such as SUVs or pick-ups.
Opportunities:
New plant in US:
In 2008 Volkswagen has announced that it will build a new vehicle production facility in Tennessee .It...

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