Bavarian Motor Works: Business Analysis and Recommendations

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Introduction Bavarian Motor Works (BMW) is a Germany-based automobile, motorcycle as well as engine manufacturing company which was incorporated in 1917 (Franzen,2007).The company is headquarters in Germany at Munich, Bavaria. BMW also manufactures the Minimarque and is Rolls-Royce Motor Car's parent company. The company is noted by Markets and Research (2009) to be the world's largest premium car maker. The year 2006 saw the company confirm its position as the global leader in premium car manufacturing in the automobile sector with record sales as well as profits that were in excess of 4 billion (BMW Group,2007). Since its humble inception, the company's brand name has stood for one thing in the mind of the consumer: sheer driving pleasure. This is because for several drivers, owning a BMW is like owning a brand which can be equated to efficiency, quality as well as engineering expertise (Trout,2005).BMW therefore has maintained its position as the be the world's leading premium car manufacturer in terms of volume and sales (BMW Group,2011).BMW's three automobile brands namely BMW, Rolls-Royce and MINI are noted by the group to have set new individual records. A total of 113,000 clients are noted to have purchased a Husqvarna or BMW motorcycle. BMW Group (2011) also noted that their Financial Services subsidiary also contributed to their success in global sales. Analysis of the company's strategic capabilities A review of BMW reveals that it has several strategic

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