In the first place, developing the business in the luxury market and meet the needs of wealthy customers, the strengths of BMW could be improved.Thirdly, the SWOT analysis on BMW and Porsche and the discussion about their market segmentation, targeting strategies and positioning strategies have been presented.In general, it is the individuals with lower incomes that are the main customers of BMW (BMW, 2009).Thirdly, BMW focuses on the demographic segmentation and Porsche emphasizes on the demographic segmentation and psychographic segmentation.In the first place, for BMW, the luxury automobile is another potential market segment.
2771 words (6.9 pages)
The brands BMW, MINI and Rolls-Royce Motor Cars, the BMW Group has been focusing systematically on selected premium segments in the international car market since 2000.I have attached BMW Group Motorbikes brochures from showroom in Northampton BMW Dealer.Also the BMW Group is cooperating with the BMW Rider Training Company.With this in mind, a wide-ranging product and market offensive was initiated in 2001, which has resulted in the BMW Group expanding its product range considerably and strengthening its worldwide market position.BMW Market targeting.
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The survey shows that the target market for BMW car model is looking for more value in the product which serves as a serious threat to the company.the slogans used for BMW are smart choice, the ultimate driving machine designed for peace of mind have been used to create competitive edge in the market, change the perception of people, mould their behavior towards car consumption and differentiate their products from competitors.One of the key advantages of marketing process of BMW lies in the fact that its marketing approach is based on the situational analysis which catches the attention of the target audience, who are the segment A of the society (BMW 2010).There was higher ground clearance so as to make the cars compatible to Indian ro...
1436 words (3.6 pages)
As stated in a previous segment, BMW Group’s debt ratio is carefully manipulated to achieve what BMW Group feels is its optimal capital structure.BMW Group’s overall credit risk related to derivative financial instruments is minimized by the fact that BMW Group will only consider contracts with parties of first-class credit standing.Because of BMW Group’s close attention to detail and aggressive management of its international risk, the general credit risk on derivative financial instruments utilized by BMW Group is considered to be insignificant (BMW Group).To aid that decision, BMW Group has an S&P short-term credit rating of A-1 and a long-term credit rating of A+ allowing BMW Group to borrow at lower rates (BMW Group).“BMW GROUP ...
2272 words (5.7 pages)
In 2013, BMW will experience its 100th birthday, and while many features about the company have evolved and changed over that span of time, some things remain very true: when you’re behind the wheel of BMW, you experience a sensation that only a BMW can create.In order to reach younger target markets, BMW has also engaged in bold online marketing initiatives, such as BMW Web TV (Koneru, 2009).There are few direct competitors with the 1 Series and BMW can establish a strong hold on its niche market with aggressive promotion (“Case study: Bmw,” 2011).BMW should market to the increasing number of affluent Chinese who would benefit from the status of driving a BMW.Focusing on these segments will allow BMW to adhere to changing market tastes ...
3832 words (9.6 pages)
Market segmentation is torn into some section which is geographic and demographic segment.As a conclusion, BMW has their strategic objective to be achieved.The reason of product development can offer the necessary to undertake the best practice that BMW acquire.BMW offers security for each of the automotive that they produced.These techniques will bring effectiveness to the BMW performance and helps BMW develop their strategic positioning.
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In current market day by day new fashion and life style will be change so it’s really hard to manage the customer need and what they wants so BMW always care of this which of the product customer really needs and market demand.BMW release a Miniseries car it’s successful in Europe and the US market so BMW continue with this success they offering a diesel version to be released and it’s really helpful to BMW’s profile and brand value.BMW group has luxury brands ranges MINI, Rolls-Royce and BMW it’s very popular car so it’s strengths of BMW.BMW is brand so it’s know as a leading automobile company and very high prices so normal person has a perception that BMW prices are always high so they can affordable so it’s one of the BMW weaknesses....
2031 words (5.1 pages)
After analyzing the luxury brand automotive market, I have concluded that BMW has a slight competitive advantage over the competition.In this analysis, I’m going analyze BMW and its competitors using Porter’s Five Forces Model and other marketing tools and determine if BMW has a competitive advantage in the market.BMW is following a local production strategy; BMW is highly committed towards its long term strategy of market penetration, while at the same time escaping high duties on imported foreign produced cars.With emphasized focus on the budding compact luxury segment, BMW could cut into Mercedes’ market share.Because this market is highly competitive, BMW Group will have to continue to be innovators of technology and use its leadersh...
2148 words (5.4 pages)
More specific topic of interest: – Which type of car segment should BMW expand their business in Mumbai, India.The aim for the research topic is to find out in which market segment should BMW make expansions (produce new models) in Mumbai.BMW entered the Indian market in the year 2006 after their arch rival Mercedes-Benz.BMW is able to overtake Mercedes-Benz in terms of sales and has been at the top of the luxury car market segment in India since the last four years.BMW had surprised all its rivals by launching Rolls Royce cars in Indian market after studying the economic growth in India.
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Poor profitability at BMW and a strong sterling pound contributed to BMW Rover UK failed merger .To compete in this market, BMW introduced the X5 series, in 1999, that at initially was thought to satisfy the demand on the North American market.BMW will also look at maintaining close proximity to prospective buyers in order to promote market segmentation.Furthermore, BMW has a clearly defined segment in which they produce cars, the premium segment.Their close proximity to buyers of their products allowed BMW to effectively segment the market.
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If we look at BMW opportunities, then BMW can further expand the product range and can work to find out alternative fuel developments .Market of BMW is using direct marketing channels to approach the target audience, in this type of distribution channel, marketer on the BMW website was to perform the facilitating function, where contact is made with buyers to know their needs, and match needs of buyers with the product ,is an ideal communication strategies to ensure the effective information transformation.BMW has not enough funds as compared to Japanese ,and they are ahead from BMW, we will reckon BMW take competitors advantage.BMW use three steps to identify the market choices, market segmentation and the positioning of the product in ...
3471 words (8.7 pages)
As the latest variants of the BMW 3 and 5 Series, these models brought BMW closer to customers, enhancing market competitiveness, and expanding customer range.Since the 2005 statement by Helmut Panke and subsequent statements from other BMW executives, the market and the academic community has being waiting on tenterhooks to see if do indeed enter this market.Since the automotive market is highly price sensitive in recent times, BMW should use customisation to fit individual budgets or produce different ‘series’ of the minivan as was done for the 1 series in the Chinese market, where the target was as demographically younger and less affluent age.October 2006, the BMW 5 Series Long Wheelbase which was specially tailored and designed for ...
4225 words (10.6 pages)
Lastly, by doing this all ways to make sure that BMW can stand last longer in the market and continue to produce quality car for the consumers in the market all around the world.2010 of April managing director of BMW Malaysia announced: they are confident with 2010 years sales and market share and will be better than 2009 because BMW already perform very well on 2009 although economy is downturn and BMW730Li and BMW Individual 760Li is launching so this make them more confident.BMW 320d M SPORT price from 255,800.00, BMW 320i from 236,800.00, BMW 320i COUPE from 289,800.00, BMW 320i M SPORT from 248,800.00, BMW 323i from 275,800.00, BMW 325i CONVERTIBLE from 439,800.00, BMW 325i M SPORT from 309,800.00, BMW 335i COUPE M SPORT from 498,80...
3943 words (9.9 pages)
* As there are many competitors in the market the cost is very effective, according to market structure of this brand the cost suits its product.BMW operates successfully in the premium segment so there no reason to adjust any approach in the market in term of changing segment .The BMW brand seems like it is empowered with high quality, expensive and luxurious cars.But in some part of the world specially Asia, luxury car segment is poised to grow at a high rate and BMW is in a good position to leverage that however in order to tap that market, BMW shouldn’t dilute its brand.-BMW Marketing Strategy [online] Available at: .
1453 words (3.6 pages)
The currency depreciation and recession that had impact on BMW vehicle sales in North American and Asian market had pushed BMW to enter into British market.BMW is the only large automobile manufacturer to operate absolutely in the premium segments of the market with their exotic brands such as BMW, MINI and Rolls Royce brands.The two problem models are the 605, challenging with the lower part of the BMW 3 series market up to around £22,000, and the 800 series which almost entirely extend beyond the BMW 5 series price range, from £17,550 up to over £30,100.Though the acquisition of Rover by BMW was welcomed by analyst as BMW had the right ancestry and apt background, some critics worried that BMW did not have enough resources for successf...
3390 words (8.5 pages)
Carry out a competitive analysis of your industry sector from the perspective of your chosen company or organisation: .. Market size: nowadays, the current car manufacturing sector is so big and there are different main automotive manufacturers such as BMW, Audi, Acura, Mercedes Benz, and Lexus.This is a significant improvement over the 12th position held by the Chinese market for BMW in 2002. .Capacity to produce required volumes: BMW adopted a product offensive strategy TO flood the automobile market with a new product every three months and use dedicated assembly lines for mass production.By 2002, BMW stood second in the premium segment automobile market, next to Lexus.The saloon cars market almost strengthens the position of BMW as ...
3829 words (9.6 pages)
As one of the worlds leading car manufacturer BMW’S vision statement is nothing less than “To be the leading supplier of premium products and premium services for individual mobility.“ (BMW 2008a, p.180) To do that BMW sets its main focus traditionally on highest quality standards and best possible service for its customers.Simultaneous BMW sees its staff as an important part on the way to reach its mission and provide its employees with best conditions and supports the professional and personal development (BMW 2005).BMW 2005, Public Affairs Letter, BMW Group, viewed 1 November 2010, BMW 2007, BMW Group stellt die Weichen für die Zukunft, BMW Group Press Club, viewed 31 August 2010, BMW 2008, Company portrait, BMW Group, viewed 31 Augus...
3509 words (8.8 pages)
.. Transportation alternatives such as trains, busses, bicycles or even walking cannot be considered as substitute for BMW.However, BMW made it through crisis without severe trouble with the support its liquidity and efficiency.Also, it would give me an opportunity to study relevant business environment of BMW Group as i see BMW Group my future employer.With its three premium brands: BMW, Rolls-Royce and MINI, BMW Group holds significant market share in automobile industry... With an interest in automobile sector, particularly in luxury car segment influence me to choose BMW group for this formative assignment.
1056 words (2.6 pages)
Although they only share a small market of the total motor vehicles market, they have served their target market better than these rivals do.The sport segment is a small niche in car market.Mercedes-Benz is the dominant player, with almost 40% of the total market segment.The Luxury segment is the smallest of all segments in the global car market.The medium market has a large share of the total car market as well.
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BMW is able to sustain its market position effectively with its exclusive cars.Organic growth can be beneficial if it wants to grow in its home market but on the other hand keeping in mind the historical moves by BMW I would like to suggest the hierarchy of options according to their suitability for the growth on the international or global level.Then in 1917 it was transformed into Bayerische Motoren Werke Aktiengesellschaft (BMW AG) which is the BMW which we know today.BMW has a brand image of being powerful and luxurious thus positioned in the exclusive car range where there exist many substitutes for BMW like Mercedes Toyota and GM.The vehicles produced by the BMW Group are marvellous blend of dynamics and efficiency and are the mark...
4575 words (11.4 pages)
The 4 Series Coupé brings the fashion, sportiness and luxury image of BMW to public, which drives new market consumption.The new 4 Series Coupé once is launched, BMW customers who are engaged with BMW would pay attention.For BMW crazy fans and collectors, the BMW Concept 4 Series Coupé is newly introduced into market place.The print campaign showcased the BMW Concept 4 Series Coupe and the new BMW Z4 which is expected to be launched across Germany from March 16,2013.For BMW, performance is the most concerned rather than speed (BMW Blog).
2020 words (5.1 pages)
The BMW group also has a strong market position in the motorcycle sector and operates successfully in the area of financial services.BMW and person actor has yearly shown burly monetary results and has reserved its market shares... BMW have the target new customer group that are not primarily targeted by BMW yet... Let’s take a Pakistan and UK BMW market.According to my research 2005 BMW achieved only 40% of their emission target but today BMW groups with its efficient dynamics programme achieved a reduction of average fuel consumption and CO2 rating by 10.2% and has made a greatest progress in terms of efficiency of all car makers in the European automobile market in the year 2008.
3177 words (7.9 pages)
Since BMW has the competitive advantage of a younger clientele, it is very important for BMW to create marketing campaign to young adult so they can look forward to own a BMW when they can afford one.There is relatively low risk to this model because BMW has already invested in the films and by using different mediums to convey their message it is likely that an entirely new market segment will appreciate the films as the original audience did.He will need to decide what direction BMW will take in order to stay current in the target market and position the brand as the leader in the luxury car industry.However, other companies may copy the idea and there is a chance that BMW will lose its competitive advantage as the films are getting ov...
1201 words (3.0 pages)
It represents BMW product line(s) that exhibit low market share but operate in higher growth markets (‘Boston Consulting Box’, 2005).In BMW case, the cash cow is the home market, Germany.Similarly, the sales of BMW 5 series also plummets by -23.Concerning the many facets of automobile industry, below is several business analysis tools that assess how the market behave, especially relates to development of premium markets where BMW serves.The BCG matrix helps BMW to understand each of their product’s life cycle and position in the market better by charting each product in one of the four quadrants.
1193 words (3.0 pages)
However, there are no reliable predictions on how long the crises will last and how the automobile industry will develop in the future but the direction BMW has to work to is certainly clear – to a greener, more environmentally-friendly Beemer.The acquisition of the Mini brand enabled BMW to enter a very different and totally unique segment of the automobile market whilst maintaining their existing brand (Simms and Trott, 2007, p299).In another study, however, he (2008, p1072) discovers that a unique platform is worth high premium and gain in market share and further reinforces this by an example of successes of BMW and Porsche, neither of whom do much platform sharing.BMW is also very successful in segmenting the market and positioning ...
4191 words (10.5 pages)
It is not only a new start for MINI, but also a good guarantee for BMW brand.Describe the segmentation and the targeting strategy used by BMW in marketing the MINI and the Certified Preowned BMW.Third, I think BMW should pay attention to own product.And BMW also represents the consumers’ social position.The typical BMW driver is upper class.
538 words (1.3 pages)
Given that the revenue for BMW has started falling from 2008 and the net profit at BMW has decreased by 36.4% [Appendix A] in the last one year, BMW needs to be quite critical and think it through before investing on Research and Development.This report looks at the internal and external environment of BMW in order to assess the strategic aspirations to participate more in the national and international market from the perspective of the home country i.e.Figure 2: BMW Group Deliveries of automobiles by region and market .Though the schools of thought differ on formation of competitive advantage, it is beneficial to analyse the resources and capabilities which BMW posses in order to assess the sources to gain a competitive position in the...
3950 words (9.9 pages)
The portfolio of BMW is limited to BMW, MINI and Rollce-Royce.Besides, these three brand demotions perform well in their segments, bul inefficient portfolio may increase the level of business vulnerability to possible economic crises.Growing fuel prices will force customers te look for cheaper ваЬвёШе&, it creates a new market of hybrid and hydrogen fueled cars assembled by BMW Enrichment of business portfolio is the next strategic step for BMW.Through many years marketing executive has been grown the brand image, so now BMW is perceived as the third most expensive brand in automotive market and is valued at $29 billion.Basing on the BCG Matrix of BMW automobile segment we can assume that it is a stat player.The portfolio BMW mainly ...
2757 words (6.9 pages)
If BMW can do more investment and try to enlarge its market size and do not just focus in European countries, it may have the potential to be the market leader in the car marketplace.If the BMW Group planned to launch the MINI into China’s car mar the fundamental objective of the BMW Group is to continue the process of profitable growth by concentrating on high-profit market segments.The BMW Group has recognised provisions in the balance sheet to cover the obligations relating to the risk of collection, treatment and recovery of all end-life vehicles sold by the BMW Group to date.Precisely, this is why the BMW Group will use the potential of the BMW brand to an even greater success in a future.BMW automobiles have been rolling off the as...
1837 words (4.6 pages)
BMW has new versions such as the X5 and Z6 models along with other brands, but it was seeing declining sales.WHAT DIRECTIONS AND METHODS OF STRATEGIC DEVELOPMENT DOES BMW APPEAR TO FOLLOW?There was a pressing urgency to control costs and BMW had manufacturing bases in countries such as China were skilled labour was available at lower costs.Also by increasing the production of smaller cars could have the effect of reducing the historically high margins enjoyed by BMW as moving into the smaller cars meant earning lesser margins.Future Changes The future changes as described in the case and with reference to BMW is the distinctive identity that young and affluent European professionals had a desire for.
1153 words (2.9 pages)