Business Strategy Analysis and Development for Volkswagen AG

This report analyzes the business strategy of Volkswagen AG, covering various aspects crucial for its growth and market positioning. It begins with an introduction highlighting the importance of strategic planning in a dynamic market environment. The report then delves into an organizational audit using SWOT analysis to evaluate VW AG's strengths, weaknesses, opportunities, and threats, followed by an environmental audit using PESTLE analysis to assess political, economic, social, technological, environmental, and legal factors. The importance of stakeholders in strategy preparation is discussed, emphasizing the need to manage stakeholders effectively. Based on the analysis, the report proposes new strategies for Volkswagen, including a limited growth strategy focusing on joint ventures and strategic alliances. Alternative strategies, such as market entry and substantive development, are also considered, with the limited growth strategy being justified as the most suitable option. The report concludes by outlining the roles and responsibilities of personnel in strategy implementation, resource requirements, and the contribution of SMART targets in business strategy. The report provides a comprehensive overview of VW AG's strategic position, offering actionable recommendations for future development and market success.

Business Strategy

Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1, 1.2, 1.3..................................................................................................................................1
Covered in PPT............................................................................................................................1
TASK 2............................................................................................................................................1
2.1 Organisational Audit of VW AG...........................................................................................1
2.2 Environmental Audit of Volkswagen....................................................................................3
2.3 The importance of stakeholders in preparing strategies........................................................4
2.4 New strategies for Volkswagen.............................................................................................6
3.1 Alternative strategies for Volkswagen...................................................................................6
3.2 Justification of selection of strategy......................................................................................7
4.1 Roles and responsibilities of personnel in strategy implementation.....................................8
4.2 Resource requirement for implementing new strategy for VW AG......................................8
4.3 Contribution of SMART targets in business strategy............................................................9
CONCLUSION................................................................................................................................9
REFERNCES.................................................................................................................................12

INTRODUCTION
Every organisation needs a plan for its growth and development so that it can achieve its
goals. There are various tools which are used by managers for making sure that organisational
development is as per the requirements. The market is becoming dynamic and to tackle all the
issues properly, a company requires business strategy which will enable it in achieving a higher
level of efficiency (Astrachan, 2010). The very long term survival of organisation is based on the
ability of managers to prepare a plan which fulfils all requirements. If a company wants to attain
a better productivity as well as profitability levels, then it will need a strategy that will assist its
activities. This research work is based on Volkswagen which is a known car manufacturing
organisation. Various tools and techniques are used in this assignment as to analyse feasibility of
all the activities that are conducted by company. Also a new strategy will be given that will allow
it in gaining better market positioning.
1

TASK 1
1.1, 1.2, 1.3
2

3

4

5

6

7

8

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TASK 2
2.1 Organisational Audit of VW AG
There are various ways companies analyse themselves as to find our variances that exist in their
own capabilities. It is important as to ensure that each task is completed in a set period of time
(Bharadwaj and et. al., 2013). Volkswagen uses SWOT as a tool to evaluate its capabilities. It is
one of the most effective way of finding out the effectiveness of organisation and ensure that
each task is completed in a set period of time.
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