Volkswagen AG Strategic Positioning Strategy

BUSINESS
STRATERGY

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1 ...........................................................................................................................................1
Covered in PPT...........................................................................................................................1
TASK 2 ..........................................................................................................................................1
2.1 Strategic positioning of VW AG by carrying out organizational audit................................1
2.2 Environmental audit for Volkswagen...................................................................................2
2.3 Measures linked with stakeholders in development of strategies.........................................4
2.4 Developing New strategy for Volkswagen..........................................................................5
TASK 3 ...........................................................................................................................................6
3.1 Alternative strategies linked with market entry, growth and sustainability..........................6
3.2 Selection of best & effective strategy...................................................................................6
TASK 4 ...........................................................................................................................................7
4.1 Roles and responsibilities of personnel in implementation of strategy.................................7
4.2 The resources needed for execution of new strategy for Volkswagen..................................8
4.3 Evaluating SMART targets in business strategy...................................................................9
CONCLUSION .............................................................................................................................10
REFERENCES .............................................................................................................................12

INTRODUCTION
Business strategy can be termed as organisational plan which is useful in order to achieve
all business goals and objectives. It is a useful method in order to achieve set aim and thus, for
gaining competitive advantages. Main objective of every business is related with making plan
which had to be achieved within desired time frame in order to make organisation achieve
success in their operations. The working of businesses should be organised in an effective way in
order to make the work flow in a systematic and planned way by which business can easily
achieve success in their operations. The strategy is formulated in order to make employees work
according to plans so that they can easily achieve all their targets which are useful for the overall
organisation (Acquaah, 2013). Volkswagen is the biggest firm which is dealing in auto-mobile
sector. Undermentioned report is based on understanding the concept and process of strategic
planning, plans adopted in order to design new business strategy, different approaches which can
be used for evaluation of plan of action and various plans which can be adopted in order to
implement strategies at workplace which are effective for achieving growth and success for
business.
TASK 1
Covered in PPT
TASK 2
2.1 Strategic positioning of VW AG by carrying out organizational audit
The main requirements of each business is linked with making plans and policies which
are useful for them in order to attain higher growth and thus, achieving success in business.
There are various factors which are harmful for business and it affects the working of
organisation. Internal audit tools are used by firms in order to evaluate those factors by which
Volkswagen is not able to achieve set targets. It is also reflected as organisational activities
which are developing values in order to successfully perform all business operations.
Organisation audit tools are helpful for business in order to reduce all conflicts at workplace and
thus, working will be executed in an effectual and planned way by which firms can achieve
success in their operations (Astrachan, 2010). These are important tools used by firm in order to
identify all their weak and strong points as well as threats and opportunities for business. All
these factors can be easily measured with the help of conducting SWOT analysis which is
evaluated as below:
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Strength Volkswagen is running their business operations all around the globe and
thus, they are earning higher profits and revenues. They are mostly
focusing on regions like Brazil, Asian, China and Germany as their
business is highly achieving success in these areas by running business
operations. The firms are leaders in manufacturing cars and they are
involved in research and development activities in order to analyse the
current trends at market place and accordingly, manufacture products.
Weaknesses Volkswagen has achieved growth by running their operations in few
countries only and thus, their profitability is not so high. Their shares in
Asian regions are only 4%. Organisation has to focus on developing plans
in order to generate large market areas where they can easily achieve
success in their operations (Auzair, 2011).
Opportunities The selected business is having many opportunities in order to easily
expand their business operations at international regions as it opens door
for them in order to earn higher revenues and profitability. They can
adopt new and effective market strategy in order to increase market
shares. Modifications can be made in their business operations by
utilising various tools and techniques which are easily available in the
market areas.
Threats Volkswagen had face huge losses as there vehicles were eliminating large
amount of smoke thus they were not able to earn profits. There fuel rates
were very high so there sales ratios automatically declines. They were
facing high competition from their rivalry business thus growth factors
were affected.
2.2 Environmental audit for Volkswagen
In the year 2015, there were issues faced by firms like the cars which were developed by
them were eliminating smoke in large amount thus they were polluting the environment and its
natural beauty was lost also health of people were largely affected by this factor. This is an
important issue which should be considered by Volkswagen were not having any idea about this
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