Business Tactics of Bayerische Motoren Werke (BMW) Organisation

Initially starting as an aviation company set up by Karl Rapp which was established in 1913 was the basis at which BMW began their long and illustrious tenor at the top of the luxury brand Automotive industry. Although struggling initially due to poor engine designs which suffered from severe vibration problems the company knows as Rapp Motorenwerke barely remained in business solely due to the Austro-Daimler being unable to keep up with the high demand of the V12 aircraft engines required by the Austrian military. It was this inability to meet their demands that resulted in the decision for the engines to be produced at Rapp Motorenwerke allowing them to remain in business. Franz Josef Popp who was the lead supervising engineering at Austro-Daimler was sent to Munich to supervise the engine quality. Popp went on to become actively involved in the running of the company and was behind the hiring of Max Friz who was a young and talented aircraft engineer. It would be the hiring of Friz that would change the course of the company. Within a few weeks of his hiring Max Friz had designed a new aero-engine far superior to any other German aero engine currently being produced. Following the departure of Rapp the company took on a large restructuring and BMW was first established as a business entity in 1917. Large orders were being received for the BMW IIIa engine designed by7 Max Friz and a high level of financial assistance were provided by officials in relevant ministries under

Companies across the world are determined to compete for the survival of their brands. The magnitude of success of the marketing and advertising strategies of a new or existing product is majorly depended upon the organization itself. As a matter of stated facts when an organization advertises its products in the market they first have to identify the relevant answers of some questions like what is the product aiming at? What benefits will the user seek by this product? How the organization plans to position itself within the market and what differential advantages will the product offer over the competitors. Because the bottom line of all marketing and advertising campaigns, is to provide the suitable collection of benefits to the end users of the product. Successful companies are usually recognized as iconic brands. Success of a

The quality of the new BMW products could be affected because the quantity of cars produced will increase, making it challenging to maintain technological advances growing. (www.bmweducation.co.uk)

BMW Group must also take into account the customer’s preferences, values, income, cultural differences and other social characteristics to be successful in all types of markets. Managers have to conduct market research about customers’ preferences and expectations for BMW’s future products. Considering cultural and social differences BMW positions and prices differently its automobiles accordingly to the market. The company has established strong relationships with its customers and after-sale services, which is a significant advantage for the improvement of future activities. Each country has different cultural aspects thus it is important to consider each one and the ways in which it could affect their strategy (http://www.oup.com/uk)

BMW transformed into an auto creator in 1929 when it Fahrzeugfabrik Eisenach, which, at the time, developed Austin Sevens license under the Dixi marque. BMW's gathering of desinger consistently developed their automobiles .  Their boss Franz Josef Popp, concentrated on air transport engine era, with bicycles as a side line

In this report, I am going to evaluate the influence of different stakeholders exert at Mercedes Benz. The stakeholders I will be discussing is the owner of the business, customers who buy cars as they provide good quality of service, employees who help the business to perform well and making profits and the Government who support Mercedes Benz because they have been running successfully throughout the years so they want to invest money to further develop the business. On the other hand, I will make the following points in my report is by commenting on the level of influence that each stakeholder exerts on Mercedes Benz. I will also be referring to evidence from different sources for the comments that I make. I will state the strengths and the weaknesses on the influence of different stakeholders. Also, I will make recommendations on how Mercedes Benz can do to overcome the weaknesses which can affect their performance. At the end I will write a conclusion by summarising what I wrote in the report, which stakeholders have the most influence and which stakeholders have the least influence in Mercedes Benz.

The Volkswagen Group follows a cost leadership and differentiation strategy. The Volkswagen Group achieves low cost leadership by sharing automotive parts amongst its products and as well as sharing vehicle platforms amongst the other 12 brands under the Volkswagen Group, such as Audi, Bentley, Porsche and Volkswagen Passenger Cars. The Group improves product differentiation by focusing on the product quality improvement, innovation and sustainability. This differentiation strategy helps ensure that the customers are satisfied with the products, and that the customers will be willing to pay a premium for the product.

Founded in 1917, the BMW Group is now one of the ten largest car manufacturers in the world and, with its BMW, MINI and Rolls-Royce brands, possesses three of the strongest premium brands in the car industry. The group also has a strong market position in the motorcycle sector and operates a successful financial services business.

The BMW Group is driven by so-called Strategy Number ONE, aligning the Group with two targets: to be profitable and increase long-term value in times of change. All this refers to technological, structural and cultural aspects of the Group. Strategic initiatives of the Group aimed at keeping with the four pillars: Growth, Shaping the Future, Profitability and Access to Technologies and Customers. The BMW Group strategically keeps focus of their activities on the premium segments of the international automobile markets. The Groups mission statement up to the year 2020 clearly states: the BMW Group is the world’s leading provider of premium products and premium services for individual mobility.

BMW Group is one of the largest and most successful multi-brand automobile manufacturers in the world, headquartered in Munich, Germany. Just like many other

Specific Purpose: To inform my audience of the excellence achieved by BMW over the coarse of the past 85 years.

This case review is entitled, Toyota Uses Advertising to Restore Trust. In 2008 Toyota became the top automobile manufacturer in the world. This was in result of setting the standard for quality and reliability for decades. The ‘Toyota Way’ manufacturing philosophy was create, which was the main factor in winning the top automobile reward. In 2009 and 2010 the company hit a huge snag that caused questions to arise about the quality of its products. The company had to recall several of its top models due to safety issues. Eventually the company was fined from the government for hiding safety defects from the consumers, which resulted in a $16.4 million loss for the company. The company was the brunt of many jokes; therefore, deciding to change its image in the public yes, the company it a major overhaul to their advertising (Pride & Ferrell, 2013, p. 624). Can Toyota rebuild the consumer opinion and secure its brand?

BMW’’s current market position is lucrative as it owns brands like Rolls Royce Motors, Mini Cooper etc and can convert its resources into sustainable competitive advantage in the long run.

Strategic realignment of the BMW Group announced At the end of September 2007, the BMW Group took on a new strategic direction. Up to the year 2020, the BMW Group intends to strengthen its position within the global premium automobile market by increasing volume of sales to more than two million units per annum. The mission statement is clearly defined: the BMW Group is the world’s leading provider of premium products and premium services for individual mobility. This means that in addition to striving for organic growth in the core line of business, the BMW Group will also engage in new and profitable areas of activity throughout the automotive life-cycle and all the way along the valueadded chain.

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