Volkswagen Teddie Stirling Wen Yao – Sally Yueyuan Zhu - June
History Founded in 1938 Germany’s Wolfsburg Porsche Hitler first "Beetle" car
Original Design Concept 21,529,464 Produced According to Wikipedia this is the very first T1(Beetle) Ever Produced Original Design Concept 21,529,464 Produced Last Produced in 2003 in Mexico Oil/Air Filtration System Horsepower Taxation America and the 2nd Car Philosophy 1985 enter the Chinese market VW Beetles Engine.
Global Expansion Analysis Vehicles Manufactured in 7 Countries Sold in 40 Different Countries 1949 Came to America in the Form of two T1’s or Beetles Recent Decline in Sales lost to Asian Car Makers
Global Expansion Analysis One of the First to introduce Alternative Fuel to Mexico “Volkswagenism” and the “hippie” cult status Volkswagen Motorsports <VW Bible VW Motor-Sports>
Global Expansion Analysis In China Volkswagen Cars Hold the Top Two in Sales Jetta Santana Problems in China To much attention to research and development not enough on cost control.
Global Expansion Analysis Volkswagen in Mexico Pueblo Factory Problems in Mexico Union Strikes 2007 Natural Gas Pipeline Bombings Volkswagen’s “Green” Taxi VW Pueblo Factory
S.W.O.T Strength R&D, engineering capacity sales and service network hide financial results through German accounting principles high brand value Appear in Movies
S.W.O.T Weakness Overall quality still trails other dominant auto-mobile companies. Bad publicity due to the sue from GM Bad image of its management department Bribery Scandals
S.W.O.T Opportunities New models Increasing demand for hybrid electric vehicles Booming car sales in China Good financial markets
S.W.O.T Threats Raw material prices Economic slowdown in Europe the US End of life vehicle directive Intense competition the risk of brand dilution
Industrial analysis The key to compete--- achieve economic scales Political---law and government regulation Economic Technology----internet Social and cultural Intensify of rivalry----closely balanced
Competitor Analysis The Top Three Competitors to Volkswagen Ford Ford, GM, and Toyota Ford Ford Focus SEL vs. Volkswagen Jetta S GM Pontiac G6 vs. Volkswagen Jetta S Toyota Toyota Corolla Sedan vs. Volkswagen Jetta S GM and Ford Video
Competitor Analysis - Ford Entertained the Idea of Buying out Volkswagen Attempts at Globalization Were Not Well Received Ford Motor Company Brand Names Ford, Lincoln, Mercury, Mazda, and Volvo Ford Escape Hybrid Ford Focus- Big Home and Global Hit
Focus vs. Jetta 35 MPG Highway Rating 29 MPG Highway Rating Satellite Radio for the first 6 months $ 17,970 29 MPG Highway Rating $ 17,340
Competitor Analysis- GM Largest Global Automaker GM Brand Names Buick, Cadillac, Chevrolet, GMC, Daewoo, Pontiac, Saturn, Hummer, and Saab Vauxhall, Opel, and Holden are not available in the US General Motors Lawsuit Against Volkswagen $100 Million Settlement, $1 Billion in Parts “Live Green, Go Yellow” Saturn Vue Hybrid
Pontiac G6 vs. Jetta Only Available as and Automatic Wider Wheel Base $20,290 Standard 5 Speed Manual Transmission $ 17,340
Competitor Analysis- Toyota First Available in the US in 1957 Corona and the Corolla were the First big Hits in America Owns Lexus 2008 Toyota Prius named the Most Fuel Efficient Car by the US E.P.A
Corolla vs. Jetta 26 MPG Highway Rating Larger Engine Standard Corolla doesn’t have power windows and locks $15,970 Larger Engine Standard Navigational System $17,340
Recommendations Short Term “Go Green” Explore China Treat Loyal Customers Long Term Research New Materials Expand the Line of Hybrids
Conclusion Volkswagen Has Made Many Changes and Upgrades Numerous $$$ Has been Spent on Research and Development of Hybrids Volkswagen Has Many Loyal Fans