Porsche Ag : Case Analysis

When he was eight years old, White's grandfather allowed him to drive his truck around the family's farm, while his grandmother rode with him during drives in the truck, which White stated was what began his interest in racing.After her death prior to a 2015 race at Salem Speedway, White placed a memorial decal on his ARCA Racing Series car.

The introduction of the Porsche Cayenne had angered the current Porsche owners. These current owners are worried that the Porsche Cayenne would mark the end of the Porsche that they once knew. To Porsche owners, the concept of an SUV is too different from the other cars in the Porsche family. They want Porsche to retain its performance sports car heritage through designing only sport car models that are fitted to the Porsche brand image. Furthermore, they are anxious that the modified meaning of a Porsche would reflect them as a Porsche owner. The current Porsche owners do not want the image of a SUV driver to conflict with their image as a stereotypical Porsche driver.

"May 28, 1937: Volkswagen is Founded." History.com. A&E Television Networks, LLC., n.d. Web. 9 Nov. 2012. .

The competition of global car industry is intense. Competitors are from all around the world, such as from Germany and Japan. They divide the market into several segments: youth cars, family cars, business cars, luxury cars, and high fuel efficient cars. The maturity stage of the industry life cycle has been changed to fit the changing needs of customers. With the rapid development of technology, vehicles can be completely gasoline free: electric car and hydrogen car; or hybrid car: gasoline and electric fuel combination. Moreover, the purchase power of customers has been shifted from strong to being rational because of the global economic downturn. Price and fuel efficiency are the first consideration when they are buying a car.

Besides cash, I want to bring to your attention that our client’s Attractions, Buildings, and Equipment (ABE) balance may require additional audit work. There is a 7.73% difference between our expectation amount and the actual result reported in the 10-K. However, this is considered a significant difference and our team should inspect this particular account to ensure no misappropriation or mistakes are included. In addition, the difference between the balances from 2015 to 2016 is suggesting that Walt Disney is reflecting its ABE account in a positive light, but the amount is abnormally high so we must ensure that the financial statements are in conformity with GAAP and no misappropriation or errors are missed.

Porsche has been for a long time been established as a car manufacturing automobile firm. Its products have also been changing with the time to reflect the changes in the automobile market as well. It is important for any firm to have a flagship product especially in the automobiles industry. “For Porsche, the year 1963 saw the emergence of a model that will define the Porsche image in the automobile industry for many years; the 911” (Burt, 2002). This model paved way for many changes to be made in the Porsche production line. In line with the legacy of Porsche as a manufacturer of quality automobiles, “Porsche has made many models after the 911 flagship model” (Burt, 2002). This automobile manufacturing has expanded its range of products. In addition to the traditional people’s car that symbolized the product of Porsche, the production of military tanks and sports cars in the recent past is evidence of an increasing range of products from the German automobile manufacturing firm. The 1950s marked an important period in the successful diversification of its products in the automobile industry. Racing cars produced by Porsche were winning races across Europe. “Some of the racing car models produced by Porsche and won major races include the 356 SL model, the Can – Am series, the four-wheel drive 911 Carrera, and the 959 model” (Meredith & Hughes, 1995). Porsche automobile firm has in the recent past has produced

“Cookie-cutter” in marketing terms means products that are mass-produced; products must look alike and must not have any differences. Driven by the cheapest material and labor available, many car companies have given into building a “cookie-cutter” vehicle that is affordable to the masses than their competitors. Due to this trend, many car companies have lost their sense of uniqueness along the way because all cars produced are so similar. Porsche on the other hand have made it clear that they are a car company that will not fall into this trap of cookie cutter but design beautiful crafted cars to stand out from the rest. Porsche AG (shortened) has proven to be unique and outstanding in their own way from the start ever since Ferdinand Porsche, the founder, started the company in 1931 in Stuttgart, Germany.

First I want to show you some car brands. Volkswagen,the best-selling car brand in Europe.Audi, the world’s third largest luxury car brand after Mercedes-Benz and BMW. Scania, the sweden commercial vehicle producer, Skoda, the famous automobil manufacturer based in the Czech Republic, and SEAT, the biggest Spain car maker. Then the ultra-high performance car brand Lamborghini ,Porsche and Bugatti. And last ,British ultra-luxury car brand Bentley.

Ferry Porsche designed the firm’s first car, the Porsche 356. Although its body was an original design many Volkswagen parts were used to save costs. The original car was fast and very light weight, gaining attention by taking first place in the Innsbruck city race. Production was transferred from Austria to Stuttgart in 1950. The firm focused on performance and continued to reengineer and refine the car. By the late 1950’s the Porsche 356 utilized far fewer parts from Volkswagen. Figure 3 shows a 1951 split windshield 356 Cabriolet.

The automotive industry is a challenging field that has the potential for strong growth and profitability. It is also a fast-pace and demanding environment that Volkswagen’s company has been able to navigate for 78 years. Volkswagen automobiles are inventive, unique, stylish, but also extremely convenient for families. Volkswagen is one of the world 's leading automobile manufacturers and the largest carmaker in Europe. Volkswagen markets its vehicles under multiple brands, including Volkswagen Passenger Cars, Audi, SEAT, Skoda, Bentley, Bugatti, Lamborghini, Porsche, Ducati, Volkswagen Commercial Vehicles, Scania, and MAN. VW has factories in many parts of the world and also manufactures vehicles for local markets while continuing to expand due to their research and development.

Being the second largest car manufacturer in the world, Volkswagen really dug themselves a deep hole. According to Bocconi Students Investment Club, “The company was discovered cheating on the emission tests by installing software that limits the harmful fumes produces but only while the vehicle is being tested. Once on the road, the company’s vehicles’ emission levels exceed the norm by 10-40 times.” While reading the “Bocconi Students Investment Club” that you have provided for us, it goes in depth about how this scandal was suppose to help Volkswagen become the first car manufacturer in the world.

1) Need Recognition. Most of the traditional Porsche customer is a financially successful people who see themselves entrepreneurial. They are highly demanded. They buy the car to stand for their lifestyle. And the customer started

Audi AG is very famous and reputed largest company which design, engineers, produce, markets and distributes the automobiles. German is the places where it is manufactured. Audi-marked vehicles are created in nine generation offices around the world. The company name comes from the Latin word listen which was the meaning of “Horch”. Its is the surname of the author, August Horch so in German it turns to “Audi”. Audi is the combination of four car companies.

The company’s brand is extremely strong and is associated with high performance, engineering excellence and innovation. Indeed, the BMW brand is often cited as one of the ‘best’ in the world, and the company continues to launch a stream of innovative products as part of its battle with German peer Mercedes to be the world’s largest luxury car maker.

However, due to its unique targeting strategy, it has not win compatible brand recognition among the public. Although Audi enter much earlier than BMW and Benz in the luxury car market, its marketing strategy limited increase of public brand recognition even Audi has over 100 years’ history. Besides, although its styles are highly accepted by the targeting customers, there are a growing number of people who can afford luxury cars for family use in China. Lack of vitality is limit of its further market expansion. On the contrary, its major competitor in China, BMW, has launched a series of marketing strategies to promote its high-performance, manoeuvrability, as well as stylish design to attract young people (BMW, 2009) in order to expand its market share. Therefore, although Audi has achieved success in the targeting market, it may consider further development through diversification in product line and advertising campaign.