The Business Strategy of Volkswagen

Business Strategy

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Task 1...............................................................................................................................................1
AC 1.1 Requirement of Business mission, vision, objectives, goals and core competencies 1
1.2 Factors that can be considered while formulating strategic plan.....................................2
1.3 Evaluating techniques and its effectiveness used to formulate strategic plans................3
Task 2...............................................................................................................................................4
2.1 Analysis of Volkswagen AG Strategic position: -...........................................................4
2.2 Environmental Audit of Volkswagen AG........................................................................5
2.3 Importance of stakeholders when introducing new strategies in business:-.....................7
2.4 Present Strategy for Volkswagen.....................................................................................7
Task 3...............................................................................................................................................9
3.1 Analysis of alternative strategies......................................................................................9
3.2 Justification for the selection of Ansoff matrix for Volkswagen:-.................................10
Task 4.............................................................................................................................................10
4.1 The valuable roles and responsibility of personnel in the area of strategy implementation
..............................................................................................................................................10
4.2 Requirement of resources for the implementation of new strategy...............................11
4.3 Contribution of SMART Targets for strategy implementation of Volkswagen.............12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
The Business strategy refers to that important element which is based on the long-term
action plan which is used to achieve a set objective in organisation The Different strategies will
affect the labour fore of the entity. This assignment shows those aspects which is required to
create good business strategy., that considers the importance actions and the basic elements
which are involved for the implementation of new and innovative strategy. The \ assignment
shows strategical aspects of Volkswagen luxurious car manufacturer company. Company
introduced more advanced and innovative cars in global market. They are known for their
automatic or brand cars like Bentley, Bugatti, Lamborghini, Porsche, SKODA and so on.
Present assignment includes overall business strategies of the automotive German company.
Company considers the new strategies to grasp their customers and advance technologies. A new
strategy will help to understand their customers’ requirements and on the basis of that they shall
include more innovative ideas and policies in organisation.
TASK 1
AC 1.1 Requirement of Business mission, vision, objectives, goals and core competencies
Business strategy refers to that planned organisational activity which is used to manage
resources, , strengthening their priorities and design good plan on the basis of company goal and
objectives. (Scholes, 2015). Business strategy relates to that long-term business plan which is
designed to achieve a specific objective. Preparation of strategy requires vision, mission and
objective which is clear.
Vision: - It is based on that statement which specifically create an idea of big picture that what
company wants to achieve in the future.. In other words, the vision is that desired dream that
involves organisation believes and generally describes the principles of company which guide
them to achieve their success.
Mission: - The mission statement is based on stage which includes the action planning process. It
describes that organisational task which is based on the company vision. The mission and vision
are quite similar but mission is more concentrate it relates to action oriented in nature (Teece,
2010).
Objectives and goals, cores:- It relates to that step which develop the specific goal that focus
the mission and vision of company. There are three types of objectives in the organisation: -
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Behavioural Objectives: - These kinds of objectives are used to check and look at the changes in
behaviour of individuals (Astrachan, 2010). This objective is used to understand the requirement
of employees of the company that directly affect the specific goal of the organisation.
Community-level outcome objective: - It relates to the objective which focus the community
level instead of particular person behaviour changes. This involves the culture, morale values of
employees.
Process Objectives: - These are the objectives which involves the activities which are necessary
in implementation of specific goal of the company. This includes all aim of the company which
they want to achieve in the future.
1.2 Factors that can be considered while formulating strategic plan
Strategic plan is something where the manager matches the market opportunities with its
organisation's resources over the long run. In brief strategic planning is all about evaluating
where you are and where you want to be in the future and how will you achieve your future
plans. All the organisations around the world prepare strategic plan in order to meet their
organisational objectives and goals (Meskendahl, 2010). Following factors can be considered
while preparing and successfully implementing strategic plans:
 Vision and Mission: Organisational objectives and goals need to be standardised before
the view of achieving them. Therefore, articulation of Vision and Mission over the long
run and short run, of the organisation is necessary.
 Identifying the interested parties of the organisation: For implementation of strategic
plan, identification of stakeholder should be done in order to know the opportunities of
the business. It may include management, shareholders, suppliers, government authority,
etc.
 SWOT analysis: Management should conduct SWOT analysis for the organisation to
evaluate Strengths, Weaknesses, opportunities and Threats of the organisation. This will
allow management to identify achievable and non-achievable goals and objectives.
 Project Management:The project management is based on that key aspects that involves
the management of specific project which company introduce to their employees. . It
basically includes two critical elements – first is to identify projects which are required to
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