Bmw Strategic Analysis

The value chain, made by Michael Porter, is really important to see how a company structure is created. The value chain is constituted by two parts: support activities (firm infrastructure, human resource management, technology development, procurement) and primary activities (inbound logistic, operations, outbound logistic, marketing and sales, service). (Johnson et al. 2011, p.97-99)

Under Mike Porter’s Value Chain analysis every organization has primary activities and support activities. Primary activities are inbound logistics, operations, outbound logistics, marketing and sales, and customer service. Support activities are infrastructure, human resource management, technological development, and procurement. For a conglomerate like Disney creating value is done by leveraging all the outputs of its various segments to benefit the others.

Inbound logistics is defined as “the activities of receiving, storing, and disseminating incoming goods or material for use”. (http://www.businessdictionary.com/definition/inbound-logistics.html) Tesla is unique here in comparison to many other large vehicle manufacturing companies since they operate only out of their Fremont facility, while many other companies have clusters of factories and parts suppliers that are nearby. One such example of this is Chrysler in Windsor that manufactures the Pacifica, a large majority of part suppliers are very close by which aids in reduction of costs. Tesla’s need to get parts from greater distances increases the cost of their car production. “Currently, Tesla relies on some 300 suppliers around the world for components. Ed Del Beccaro, senior managing director at

Spatial concentrations of the automobile firms and their suppliers can be found in Lower Saxony (Wolfsburg, Hannover and Emden), North Rhine-Westphalia (Cologne, Bochum), Baden-Wurttemberg (Stuttgart, Sindelfingen), Hesse (Baunatal, Rüsselsheim) and Bavaria (Ingolstadt, Regensburg).

What are the causes and consequences of BMW’s quality problems with newly launched products? What should be done to improve “launch quality”?

The five primary activities are: inbound logistics, operations, outbound logistics, marketing and sales, and service. The four support activities are: procurement, technology development, human resource management, and infrastructure.

Introduction: It has always been the desire of BMW to create automobiles of unmistakable identity. As you can see by the price of one, this has posed no problem to them over the last eight decades. But what you cannot see is the one thing that has always been true about BMW automobiles both in the past as well as in the present: a BMW is always "the ultimate driving machine".

Above figure is retrieved from Standard Chartered Bank Value Chain, same as Porter’s value chain, it start with inbound logistics, operations, outbound logistics, marketing and sales and service. All of those are known as primary value chain. Next will be the support activities that consist of procurement, technological and development, human resources and infrastructure.

As a result of the increased demand of cars, the competition among car companies is becoming intense. Although the market of car is the biggest growing market in the world, there are still some companies who make cars failing year after year. However, there are some outstanding car companies such as The BMW Group performing distinctly.

BMW has embarked on a mission to cut its notoriously long product development time in half utilizing a newly developed system code named "Digital Car". Senior management has decided to utilize the new process on the 7-series platform. In order to accomplish this goal, BMW is preparing to take advantage of the latest computer technology in car development. At the forefront of the new plan is a debate over the use of computer-aided-styling (CAS). We recommend that BMW implement the Computer Aided Styling system and processes into their production development program.

This marketing report aims to examine and explain the marketing strategies of BMW , In this report I will be focusing on:

Within the value chain there are two kind of activity, first one is Primary activity as they are directly related to the product or services that a firm produces to the customers and the other one is secondary activity, these are related to the activities that are within the company infrastructure that assist in the company’s primary activity.

BMW (U.S) Holding Corporation is a franchise of the high-end performance based global automotive company BMW. For the first time in its history, BMW is to launch its first American made car, the BMW Z3 Roadster. Having only made cars in Germany, this time the car is to be assembled in Spartanburg, South Carolina. BMW’s objective is to expand its market share in the U.S., make the brand name more global and improve its dealer network. With this in mind, the company developed a two phases launch plan for the BMW Z3 Roadster.

"The mission statement up to the year 2020 is clearly defined: the BMW Group is the world 's leading provider of premium products and premium services for individual mobility."

AG, BMW stands for both performance and luxury. The company was founded in 1916 as an aircraftengine manufacturer and produced engines during World War I and World War II. It evolved into a