Bmw Business Strategy

1860 words 8 pages


This paper explores the strategies and environmental influences (both Internal and External) of a German car giant BMW, Bayerische Motoren Werke, which has established itself in the niche luxury car market. It has Headquarter in Munich, Germany, with presence all over the world. The luxury car includes both traditional luxury cars and functional luxury cars. BMW is one of the most successful car companies in Europe and worldwide. Despite experiencing the overall sales slump particularly in the German and the Western European Markets, the Group has been able to improve its market share and even increased deliveries to their customers in the vehicle, as well as in the motorcycle sector. The company has built brand equity
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H. (2008, July 12).Environmental Pollution Retrieved September 22, 2009, from World Health Organization:

• Shift in customer tastes and demand towards usage of more eco-friendly cars,

• Firm submission of the EURO norms set up to control pollution


• EC regulatory threat to European car industry. “With the threat of legislation looming BMW has shown that even premium car makers can seriously reduce CO2” Jos Dings Director, Transport and Environment

• Restrictions and firm pollution norms set up in US markets

SWOT Analysis


• BMW 's strengths are its BMW is a renowned for its global brand name, highly skilled engineers, designs, gratitude factor and economies of scale.

• BMW has always been associated with quality and performance and have a good name in the automobile industry

• BMW has a diverse ranges of Products e.g. BMW, MINI and Rolls-Royce

• BMW is Capable of turning resources into advantages


• Sales rate due to high price have less market shares on other market create weaknesses for BMW

• Customers Perception is of High Prices

• BMW is facing extremely high competition


• Although the economic crisis will continue to affect car makers in 2010, BMW said it will grow profitably this year due to the gradual


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