What strategies should BMW implement for the new brand/company in order to compete in tough market?

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ACKNOWLEDGMENT

I would like to thank everyone who helped my completing my dissertation on the time including my supervisor, my teachers, my family and my friends. It is that without their efforts this research would not be possible.

DECLARATION

The dissertation submitted is the result of an individual effort and investigation, except where it is stated otherwise. The title of this dissertation and the depth have not been accepted by any degree neither it is being concurrently submitted for other degree.

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Abstract

The objective of this research is to analyze the strategies of BMW for new brand/company to compete in the though market. Using the case study approach and situational analysis framework the research tends to examine the business strategy of company using theories and models of competitive analysis of BMW, Porter's generic strategies, Ansoff growth strategies, PEST analysis and Porter five forces model. Both internal and external situational analysis of BMW, it is proved that is really hard to ascertain which strategy company should follow, however differentiation strategy along with product development and diversification in other businesses indicated significant potential for company to come up with new brand to compete in tough market. Further, the analysis of external environment suggested that in order to remain successful in tough market, BMW have to use winning strategy that is integrating suppliers and buyers in value chain as well as competitors. In addition to that, the external analysis suggested that no matter what are the current circumstances or challenges of BMW has to put additional resources for research and development of newest technology such as producing hydrogen engines and environmental friendly cars and also have to seize the current labour and structures in United Kingdom within its human resource management division. Moreover, the company has to deal with long term issues such as depletion of oil reserves and has to come up with brand that support the substitute of petrol in order to compete in fiercely tough market.

Table of Contents

ACKNOWLEDGMENTII

DECLARATIONIII

ABSTRACTIV

CHAPTER 1: INTRODUCTION1

1.1 Background of the Research1

1.2 Overview of BMW3

1.3 Research Aims and Objectives4

1.4 Research Questions5

1.5 Overview of Theoretical Framework5

1.6 Overview of Methodology6

CHAPTER 2: LITERATURE REVIEW7

2.1 History of BMW7

2.2 BMW Today11

2.3 Corporate Strategy of BMW12

2.4 Products of BMW13

2.5 Markets of BMW16

CHAPTER 3: METHODOLOGY17

3.1 Research Design17

3.2 Secondary Data17

3.3 Qualitative Research18

3.4 Case Study Method18

3.5 Validity & Reliability19

3.6 Ethical Consideration20

CHAPTER 4: ANALYSIS & DISCUSSION20

4.1 Internal Audit of the Company20

4.1.1 Competitive Analysis20

4.1.1.1 Audi21

4.1.1.2 Mercedes-Benz24

4.1.1.3 Porsche25

4.1.2 Porter's Generic Strategies of BMW27

4.1.3 Ansoff Growth Strategies29

4.2 External Situation of the Company30

4.2.1 PEST Analysis30

4.2.1.1 Political30

4.2.1.2 Economic31

4.2.1.3 Social/Cultural32

4.2.1.4 Technological32

4.2.2 Porter Five Forces33

4.2.2.1 Potential Entrants33

4.2.2.2 Substitute Products34

4.2.2.3 Power of Buyers34

4.2.2.4 Power of Suppliers35

4.2.2.5 Competitive Rivalry35

CHAPTER 5: CONCLUSION36

REFERENCES38

CHAPTER 1: INTRODUCTION

The objective of this chapter to present the research background and stimulus of the dissertation, purpose of the research, research aims and objectives, research questions, theoretical framework for the research, definitions of the key terms, limitations/delimitations of the research and structure of the research.

1.1 Background of the Research

The ...