Bmw Brand Analysis Essay examples

3856 Words Feb 2nd, 2013 16 Pages
Brand Analysis

Steven Tyson
Marketing Analysis – Grau
April 2, 2012

Introduction and Purpose
The automotive market is defined by the common goal of high efficiency, with the aim of lowering production costs and raising revenues. In this highly competitive landscape, standardization, components, and mass production are king. Yet, there is an outlier that refuses to abide by the market trend of efficiency over quality.
BMW continues to provide consistent growth both financially and in market share by believing that you can have the best of both worlds; a quality product that is made efficiently and doesn’t compromise the most important element of any car: the driver (Larrson, 2006). The purpose of this brand analysis is to dissect
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The recession created a negative trend in the automotive industry, especially for American manufactures, but BMW was hit hard as well. In November of 2008, BMW sales declined 25% as the recession began to reach affluent buyers (Krebs, 2008). * Production has shifted to low price labor in Asian countries leading to unemployment in the U.S. (Koneru, 2009). * The weak U.S. dollar against the Euro continues to impact how revenue is reported and understood. For instance, record sales volumes one year could still trail revenue of the previous year because of how the Euro reflects sales compared to the dollar ("Uk bmw education," 2012).
Social
* The recession has shifted certain buyer preferences from luxury to economical value for the automotive industry. * Increased consumer knowledge regarding the environmental effects of products has led to consumer boycotting of environmentally damaging products. * Developed countries populations are becoming older as birth rates level. * Increased Internet penetration has created an educated consumer who researchers products to make informed purchase decisions (Koneru, 2009).
Technological
* The product life cycle has been shortened due to increasingly high development of new technologies. Car features become outdated in a matter of months versus years. * Consumers value innovative features and technology

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