Bloomberg Story Focuses on Pressure Felt by BMW from Strong Audi Competition
by, 12-06-2010 at 02:58 PM (2998 Views)
The financial website Bloomberg.com has published a fascinating story about BMW and the ramping competition from Audi. The story, more about BMW than Audi, is still quite interesting to us because it zeros in on a fundamental advantage Audi has over its rivals from Germany and we're not talking about quattro. Audi is the key volume premium brand in the portfolio of the Volkswagen Group, one of the largest manufacturers of automobiles in the world. While a post-Chrysler era Daimler is challenged when it comes to numbers that company has pushed share trades and working agreements with other key manufacturers to help keep its economies of scale in line with larger companies such as Volkswagen and Toyota. BMW has remained more independent which will not help its long-term costs in production.
In the story Bloomberg begins by focusing on quotes from the reclusive Quandt family, the clan that owns 46% of the Munich-based automaker. The story goes further to place the competition from Audi more into perspective. It's worth a read if you're interested in the business side of the Audi brand and how it relates to its competitive market. Check it out after the jump.