Volkswagen Case Analysis
Case Analysis: Volkswagen
(Color-Coding Key: Lizzie; Ryan)
I. Current Strategic Position
Introduction
Infamous German automobile company, Volkswagen, was formed on May 28, 1937 by the German government, then under the power of Nazi leader Adolf Hitler. The state-owned company was originally named Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH but later in 1937 was changed to simply Volkswagenwerk, meaning "The People's Car Company." With Ferdinand Porche, automobile engineer, at the forefront of the design for the new vehicles, Volkswagenwerk projected full-scale production in Wolfsburg, Germany to take place in 1939. Hitler asserted, "It is for the broad masses that this car has been built. Its purpose is to answer their transportation need, and it is intended to give them joy." (May 28, 1937: Volkswagen is Founded) Despite hopes of the 1939 release, the launch of World War II sharply put general production at a standstill. During WWII the plant operated at a lower capacity turning out military vehicles. After the conclusion of WWII, Volkswagen with the help of the Allies was set on a path to help revive the country of Germany and their broken auto industry. In 1948, Volkswagen "...reorganized as a trust under West German control." (Wilson) A year after reorganization, the company exhibited the Volkswagen Type 1 Beetle, the company's most recognizable design, in the United States selling only two units. This disappointing year in sales would however, not be an indicator of the future. With growing fondness of the car in the US came the formation of the Volkswagen Group of America in 1955 which boosted production of the Type 1 Beetle to an impressive one-million units. On February 17, 1972, the 15,007,034th Type 1 Beetle was produced effectively exceeding the single most produced model in history, previously owned by Ford's Model T. In 1978, Volkswagen effectively opened its first factory in the U.S. in New Stanton,
(Color-Coding Key: Lizzie; Ryan)
I. Current Strategic Position
Introduction
Infamous German automobile company, Volkswagen, was formed on May 28, 1937 by the German government, then under the power of Nazi leader Adolf Hitler. The state-owned company was originally named Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH but later in 1937 was changed to simply Volkswagenwerk, meaning "The People's Car Company." With Ferdinand Porche, automobile engineer, at the forefront of the design for the new vehicles, Volkswagenwerk projected full-scale production in Wolfsburg, Germany to take place in 1939. Hitler asserted, "It is for the broad masses that this car has been built. Its purpose is to answer their transportation need, and it is intended to give them joy." (May 28, 1937: Volkswagen is Founded) Despite hopes of the 1939 release, the launch of World War II sharply put general production at a standstill. During WWII the plant operated at a lower capacity turning out military vehicles. After the conclusion of WWII, Volkswagen with the help of the Allies was set on a path to help revive the country of Germany and their broken auto industry. In 1948, Volkswagen "...reorganized as a trust under West German control." (Wilson) A year after reorganization, the company exhibited the Volkswagen Type 1 Beetle, the company's most recognizable design, in the United States selling only two units. This disappointing year in sales would however, not be an indicator of the future. With growing fondness of the car in the US came the formation of the Volkswagen Group of America in 1955 which boosted production of the Type 1 Beetle to an impressive one-million units. On February 17, 1972, the 15,007,034th Type 1 Beetle was produced effectively exceeding the single most produced model in history, previously owned by Ford's Model T. In 1978, Volkswagen effectively opened its first factory in the U.S. in New Stanton,
References: Works Cited "May 28, 1937: Volkswagen is Founded." History.com. A&E Television Networks, LLC., n.d. Web. 9 Nov. 2012. . Wilson, Zachary. "The History of Volkswagen." Fast Company. Mansueto Ventures LLC., 13 Jan. 2010. Web. 9 Nov. 2012. . Bibliography "May 28, 1937: Volkswagen is Founded." History.com. A&E Television Networks, LLC., n.d. Web. 9 Nov. 2012. . Wilson, Zachary. "The History of Volkswagen." Fast Company. Mansueto Ventures LLC., 13 Jan. 2010. Web. 9 Nov. 2012. . http://www.microsoft.com/casestudies/Microsoft-Enterprise-Strategy-Services/Volkswagen-Group/Volkswagen-Aligns-IT-and-Business-Goals-Reduces-Costs-with-Strategic-Engagement/710000001422 http://www.volkswagenag.com/content/vwcorp/info_center/en/news/2008/04/volkswagen_publishes_mission_statement_on_biodiversity.html