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
1ST