Table of Contents
Introduction 1
1. Value Chain Analysis 2
1.1 Primary Activities 3
1.2 Supporting Activities 7
2. External Analysis 11
2.1 Porter's Diamond 11
2.2 Five Forces Framework 14
3. SWOT 17
4. Conclusion 21
Bibliography III
Introduction
"Sheer driving pleasure" is what BMW remarks as the major attribute of itself, "sheer driving pleasure" is what BMW puts as it's home country slogan, but in what extend is it a pleasure to drive, or better run this multinational company in the aggressive automotive market? To answer this question and give a future outlook on what could be the strategic driving direction not only for its cars, shall be the emphasis of this report. Within this paper, one of the most successful car manufacturers shall be analysed in detail in order to explain its current market situation and to value its strategy.
First, a general introduction to BMW will be given, while several analysing tools are used in the second and main part of this study. Here the value chain model is used to give details about inner-company matters and serves as our internal analysis. Due to the size of this paper and overwhelming information for the external part, the authors decided to emphasize on the examination of BMW's two major markets, Germany and the United States. Together these two make up for almost half of BMW's total car sales and therefore represent the most important strategic positions.
For the external analysis of Germany, the home market, Porters Diamond is used, while the five forces framework is applied to the U.S. market analysis. The results of the conducted observations are compared and summarized in a final SWOT analysis, where upon the concluding future outlook for BMW wil ...