Business Strategy of Volkswagen Company
Added on 2020-07-23
14 Pages3811 Words45 Views
Business Strategy
INTRODUCTIONStrategy will be consider as an action plan for an organisation. This has to be follow byevery person who ate working over there. It is like a guidelines which need to be taken after bymanager as well as staff members; therefore, they will attain coveted targets within certain timespan (Scholes, 2015). It is must for superior to implement it into business in an effective andefficient manner. Volkswagen is an organisation who is doing their business in automotive sectorand set up in United Kingdom. They are doing their operational activities in more than 100countries. To determine external and internal factors they will conduct PESTLE and SWOTinvestigation respectively. It is essential for them to consider their shareholders while takingdecision. Along with this, there is a description about new strategy which is going to be use bycompany. Apart from this, there are various roles and responsibilities which are accomplished bystrategic personnel. By setting SMART targets they will attain desired goals within limited timespan. TASK 1Covered in PPTTASK 22.1 Organisational auditOrganisational audit is basically associated with the intrinsic components of anorganisation. With assistance of this, manager of Volkswagen will easily develop strategies aswell as policies in an effective manner (Johnson, 2017). For the above stated purpose, they willconduct SWOT analysis. This will help to identify the strengths as well as weaknesses. Alongwith this, through determining opportunities, firm will deal with their threats effectually. SWOT analysis of Volkswagen is mentioned as beneath:StrengthsWeaknessesInternational presenceHigh profitsResearch and developmentValue supply unitVaried portfolioHigher competitionReduction in goodwill due to scandalOpportunitiesThreats1
Enhancement in fuel efficiencyExpanding business in different nationsAutomatic driven carsIncreasing competitionDecrease in inventive goodsSlow growth of economyValue chain analysis:This method will be utilized by the manager so that they can evaluate intrinsic exercisesof company (Higgins, Omer and Phillips, 2015). Along with this, it helps to determine thoseactivities which provide maximum benefits to them and in addition help to compete with theircompetitors. Actions which require improvements will also be found. Therefore, it will cater allpros and cons which are associated with VW. Value chain of Porter's is an appropriate techniquefor intrinsic investigation as this assists to determine each activity involved in manufacturing ofproducts as well as services.Volkswagen is operating their business at an international level. They use distinctiveproduction plants and therefore, they can develop effective items. As a result, their cost ofmanufacturing will go down and they will take benefits from their rivals in the competitive world2Illustration 1: Porter's value chain(Source: Value chain of Porter, 2017)
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Business Strategy : Volkswagen Assignmentlg...
|16
|3851
|33
Business Strategy of VW AG : Reportlg...
|15
|4774
|48
Business Strategy Plan of Volkswagen Assignmentlg...
|20
|5188
|542
Volkswagen AG Strategic Positionlg...
|11
|3633
|60
Business Strategy Doc - VW AGlg...
|13
|3997
|27
Report on Impact of Wrong Business Strategy on Volkwagenlg...
|13
|4222
|50