Leading regional player
Strengths Weaknesses
Leading regional player
Strong brand portfolio
Global production network
Weak performance in the US
Declining market share in China
Weaker margins
Opportunities Threats
New models
Increasing demand for hybrid electric vehicles
Booming car sales in China
Raw material prices
Economic slowdown in Europe and the US
End of life vehicle directive
Intense competition
Volkswagen is the market leader in the western European passenger car market. In this region, the company’s market share stood at 19.9% in 2006, well above PSA’s
13.3% and Ford’s 10.8%. Volkswagen is the market leader in Germany with a market share of 30.8% in 2006. During the same period, the company had strong market positions in the UK (market share 14.8%), Spain (21.8%), Italy (11.1%), France (11%),
Portugal (16.8%), and Switzerland (19.9%). Volkswagen has also leading market position in Brazil (24%), Argentina (27.1%) and South Africa (22%). Volkswagen has also built strong market positions in other parts of the world with a market position of
9.7% all over the world. Leading market position enhances the brand image of the company and improves the investor confidence.
Strong brand portfolio
Volkswagen has a strong brand portfolio. The company’s brand portfolio includes a good mix of luxury cars and family cars. Its leading brands include Audi, SEAT,
Lamborghini, Volkswagen, Skoda, Bentley and Bugatti. The Volkswagen family of brands includes such strong brands such as Beetle, Golf and Passat. The luxury car brands of the company include Audi, Lamborghini, Bentley and Bugatti. Volkswagen’s
Strengths Weaknesses
Leading regional player
Strong brand portfolio
Global production network
Weak performance in the US
Declining market share in China
Weaker margins
Opportunities Threats
New models
Increasing demand for hybrid electric vehicles
Booming car sales in China
Raw material prices
Economic slowdown in Europe