Scholarly Research Paper from the year 2010 in the subject Business
economics - Operations Research, grade: 1,0, Munich University of
Applied Sciences, language: English, abstract: Volkswagen Group is
based in Wolfsburg, Germany, ranks among the world's leading
automobile manufacturer and is the largest carmaker in Europe.
Therefore the Group posses 11.3 percent share of the world
passenger car market and holds 20.9 percent of the European
automobile market. The Volkswagen Group with its nine brands (Audi,
SEAT, koda, Volkswagen, Volkswagen Commercial Vehicles, Bentley,
Bugatti, Lamborghini and Scania) offers a broad product range from
low-consumption small cars to luxury class vehicles. For simplicity
reasons the Volkswagen Aktiengesellschaft (as parent company of the
Volkswagen group) is referred to as Volkswagen or VW where as the
whole Volkswagen Group is either referred to as Volkswagen (VW)
Group or Group within this paper. Despite the Group's international
alignment it is currently only slightly represented in India. As it
has entered the Indian passenger car market ten years ago,
significantly later than its Japanese and American competitors, its
current market share amounts only to two percent. Because potential
customers are increasing, the automotive industry is getting more
dynamical and international and government's politics are focusing
on economic growth, India could become the future key market to the
automotive industry. Due to the eminently strong growth of the
Indian main street and the proceeding social change, as the younger
generation wants to go for a distinguished career, especially the
Indian minicar market's (IMM) potential is higher than ever before.
As Volkswagen Group is alive to the importance of this market but
lacking in appropriate knowledge how to produce cheapest cars in
large-scale production, it considers strengthening the cooperation
with Suzuki Motor Corporation and Volkswagen by building a Joint
Venture (JV). Thus, the alrea
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