Volvo is a Swedish vehicle company that was established in 1927. Its headquarters is located in Hisingen, Gothenburg. It started initially as a subsidiary of a ball bearing manufacturer but eventually moved on to produce automobiles. Volvo manufactures and markets in SUVs, station wagons and sedans. The largest markets of Volvo would be Sweden, the United States, China and other countries in the European Union.
Volvo is well-known for its emphasis for safety in cars as well as its unique and quirky designs. The mission statement of Volvo is “Create the safest, most exciting car experience for modern families” while its vision statement would be “To be the most desired and successful transport solution provider in the world”. Volvo aims not …show more content…
High brand recognition helps BMW to introduce new and related products and services to consumers faster without large advertising expenditure.
The company also has geographically diverse revenue streams. BMW does not rely solely on its home market or only a few major markets to generate most of its revenue. BMW made the right move by establishing their company in developing economies like China, which helped increase its market share substantially.
Weaknesses
BMW has very little product differentiation. The company doesn’t possess a large automotive brand portfolio and heavily depends on its luxury BMW cars’ sales. It also doesn’t offer other types of automobiles, like trucks or light and heavy commercial vehicles. BMW does not own any models that can help expand their market to a broader audience.
BMW also has only a few strategic partnerships. The company has not attempted to acquire other brands or formed any long-term strategic partnerships with other organisations within and outside the automobile industry, which would be essential for expanding their market. The lack of partnerships also limits their marketing reach as well as amount of available
Volvo is well-known for its emphasis for safety in cars as well as its unique and quirky designs. The mission statement of Volvo is “Create the safest, most exciting car experience for modern families” while its vision statement would be “To be the most desired and successful transport solution provider in the world”. Volvo aims not …show more content…
High brand recognition helps BMW to introduce new and related products and services to consumers faster without large advertising expenditure.
The company also has geographically diverse revenue streams. BMW does not rely solely on its home market or only a few major markets to generate most of its revenue. BMW made the right move by establishing their company in developing economies like China, which helped increase its market share substantially.
Weaknesses
BMW has very little product differentiation. The company doesn’t possess a large automotive brand portfolio and heavily depends on its luxury BMW cars’ sales. It also doesn’t offer other types of automobiles, like trucks or light and heavy commercial vehicles. BMW does not own any models that can help expand their market to a broader audience.
BMW also has only a few strategic partnerships. The company has not attempted to acquire other brands or formed any long-term strategic partnerships with other organisations within and outside the automobile industry, which would be essential for expanding their market. The lack of partnerships also limits their marketing reach as well as amount of available