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Volkswagen do Brasil

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Volkswagen do Brasil
VWDO

BRASIL

AGENDA 1. Hardfacts about VWB and brazilian market 2. Historical background 3. Challenges Schmall had to manage 4. The new Strategy

5. Strengths and weaknesses of the BSC

6. Dealing with 2009‘s problems 7. Learnings from the Case Study

VWB & BRAZILIAN MARKET

VWB (data from 2008): • VWB is a brazilian subsidary of the german VWAG • 3rd largest in the VWAG system, behind China and Germany • revenue: €7.04 billion

• 22,000 employes • focus on small and middle size vehicles

BRAZILIAN MARKET (data from 2008): • 25 automa^ve compe^tors

• Brazil was the 6th largest producer of passanger vehicles • VW, Ford, GM, and Fiat as market leaders (collec^ve market share of 97% in 1991) • s^ll opportunity for growth: 6.9 inhabitants per vehicle 3

VWB

HISTORY

VWAG ENTERED THE BRAZILIAN MARKET WITH VWB 1953

NEW COMPETITORS GAINED MARKET SHARE AT THE EXPENSE OF VWB

VWB ACCOUNTED FOR 40 % OF BRAZIL‘S AUTO EXPORTS

1969 MARKET SHARE OF 61% OF BRAZILIAN CAR PRODUCTION

1979

1986

1997

DECLINE OF THE DOMESTIC AUTOMOTIVE MARKET BY 20%

4

HISTORY

VWB

IMPACTS OF THE FINANCIAL CRISIS

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