Business Strategy & Policy
BMW SWOT Analysis
One of the most critical processes of management of any company is the formulation of a sound business strategy. Strategic planning must combine a number of internal and external factors putting in mind how these factors affect the performance of the company. The company’s Strengths, Weaknesses, Opportunities and Threats (SWOT) are some of the critical factors a company must consider to effectively strategize. The purpose of this model is to access what a company can and cannot do as well as its potential opportunities and threats, strengths and weaknesses. Employing SWOT analysis effectively covers the various areas of the company or organization and gives the analysis a more complete outlook. The history of BMW or Bayerische Motoren Werke a brand automobile dates back to the 1st world war. This began as a family business at the heart of a German city called Munich. The Quandt family who were the owners of BMW began trading in aero-engines before diversifying into automobiles and motorcycles. BMW is arguably today one of the strongest and most admired car manufacturer in the premium segment in the world. Strengths of BMW are the advantages that they have. The strengths are both analyzed from an internal and an external perspective. BMW has showed some of the following strengths: * Strong brand image.
* High employee productivity.
* Motorcycle as niche product.
* High quality suppliers.
* Strongest product: 3 Series.
BMW is successfully ranked among the best car manufacturers in majority of satisfied customer indexes around the world. Today when many large car manufacturers struggle with failing market shares, profits and sales, BMW just continuous its growth and expansion.
Weaknesses are issues that a company can improve. Also, the weaknesses are analyzed both from an internal and an external perspective. The weaknesses a company sorts out can be used as...