Taking a Look at the BMW Group

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The BMW Group, with its main quarters in Munich, Germany, manufactures and sells BMW, MINI, and Rolls Royce cars. Also, the company offers motorcycles and financial services, which engage in car leasing, fleet business, retail customer and dealer financing, customer deposit business, and insurance activities. Primarily, the BMW Group has its sights set firmly on the premium sector of the international automobile market and targets affluent middle aged men and women. Although the corporation’s products contain the full range of size classes and car types, BMW’s international product line consists exclusively of premium-class cars. In terms of worldwide strategy, BMW focuses on mass customization to tailor products, prices, and distribution for consumers’ personal selection. For example, some of BMW’s product line includes the 3 series ($20,000 to $50,000), 5 series ($40,000 to $50,000), and the 6 series ($60,000 to $70,000). Although BMW emphasizes the targeting of premium markets, the organization has implemented different marketing mixes to sell cars to different socioeconomic segments. Thus, BMW’s global brand management platform takes into account and adapts to regional differences while still preserving the consistent value of high class and luxury. This system of ongoing dialogue between markets and central departments establishes transparency and mutual confidence and ensures that [the] brand is positioned and perceived as a premium brand globally (Interbrand 2). In general, BMW vehicles sell well to consumers who have high standards for luxury, quality and performance because BMW includes these attributes in its automobiles. In terms of volume, Europe remains their biggest market. However, the company seeks to expand its re... ... middle of paper ... ...ubsidy package which turned out to be only the beginning packages that the state was about to offer BMW. The company’s determination to keep the plants non-union triggered an angry response not only from the United Auto Workers in the United States, but also from Germany’s IG Metall Metalworkers’ union overseas. As increased investments for the subsidiaries continued, including a new package of more than $100 million in 2003, the company’s workforce rose to over 4,000 (GoodJobsFirst). However, recently, the company has depended heavily on workers hired through temp agencies to combat periods of increased production. As these events continue to progress, BMW also continues to utilize and invest highly in these cheap costs and profitable plants. In summation, BMW’s use of non-unionized labor adds to the trend of low-wage, hard labor throughout the U.S. auto industry.

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