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Sophie Logan Nicole Amelia

Introduction

SWOT

Golabal Expansion

Challenges

Competitors

Industry AnalysisRecommendations

Recommendations

Industry Analysis

Competitors

Global Market Expansion & Challenges

Introduction of BMW

PastPastFounded in 1916, GermanAn aircraft engine manufacturing plantFour stroke internal combustion engine

CurrentCurrentRoyce-Rolls, BMW, MINI High-end vehicles, aircraft engines, motocycles, SUVs

FutureFutureBattery-driven cars

“Project i ”

Introduction of BMW

Fun Fact!

Fun Fact

Strengths• Long history, abundant technical strength and strong finance• Own BMW, MINI, and Rolls-Royce synchronously• Numerous R&D funds

Weakness• Pure high-grade route• More oil consumption relatively• High price of repairing and after service • Recalled 350,800 cars all over the world due to quality problems.

Opportunities• Mature developed country market and emerging developing country market• Income increasing• Global environment issues

Threats• Intense competition• Increasing price of raw materials and larbor force• Oil price

SWOT Analysis

Global Market Share

15%

14%

5.40%11.10%

17.40%

9.60%

15.40%

3%3.20%

5.40% BMW FORDToyotaNissanVolkswagonGeneral MotorHondaKiaMazdaChrysler

Global Market Expansion

EuropeansEuropeans

AsiansAsians

AmericansAmericans

Brand, quality, economic, security

The function of the car decides the car’s amount

Different Attitudes To Purchase Cars

Reliability, security, quality, advanced technology

Global Market Expansion

Establishment of acomplete factory.

First

Second

Thrid

FourthFour phases of Asian markets

Set up completely knocked down (CDK) factory

Established sales company in oversea

As an import merchant

The market strategy of Asia

Quantifies the potential of the Asia market

Divided Asian markets into four phases

The market strategy of America

• The concept of the American to the car: the function of the car decides the car’s amount

• Depend on the excellent advertising activity to develop the new market.

• Promotes the brand position.

The wrong brand strategy

The BMW become the low quality upstart’s car

During the global market expansion, the brand strategy captain and integrate the whole enterprise value

Problems inProblems inChinaChina

Challenges

Competitors – domestic

Porsche – Panamera

Luxury styleEmphasis on comfortStable

BMW - 7 Series, 750i

Lower price Low emission

Electronic FuelInjection

Audi- R8 BMW- M6BMW- M6

Competitors – domestic

Success in U.S. saled 336,000 last year200,000 goal in Asia, 2012

In U.S saled 100,000 last yearSuccess in China

Competitors – International

Mitsubishi (Japanese)– Evolution

Powerful

Professional

BMW – 335i xDrive

Lower emissions Lower fuel consumption

Automobile Industry

BB

EE

CC

DD

AA

Important role in economic development

.

The industry was originated in Germa

ny, in 1886

The automobile industry was devided into three stages.

Difficult time of Global automobile industry

Future trends - new energy sources

Industry Analysis

Stage 1 Stage 2 Stage 3

“Commercial Capital Globalization”

“Loan Capital Globalization”

“Industry Capital Globalization”

Fun FactIn fact, 85% of scrape cars have been recycled in

German

Recommendations

1

Make the quality assurance and keep its brand image

2

Two groups may drive BMW more successful in China.One is rich strong background cool guys. Another is modern fashion women.

3

Keep positioning its car level in high-end cars, and instant promoting its strength– “The Ultimate Driving Machine”

Short-term Recommendations

Fun Fact

Long-term Recommendations

3

Use of their competitive advantages, exploit new markets, and tap potential customers.

1

To be more efficient and environmental, to face the challenges of global warming, rising emissions, and dependence on oil import.

2

Development of newenergy vechicles, while balancing the contradiction between the cost advantages and competitive advantages.