It is a European based company which expanded its production by not only producing bicycles but also manufacturing ploughs of farm, cars and airplanes as well Bensoussan, They have a non-dependent system of dealers having certification with them, which is the most outstanding approach used by Skoda. In almost all the countries he commonly used analysis is the PEST analysis which includes the analysis of Political, Economic, Social and Technological factors affecting the external macro environment of an organization. Now we are going to discuss the effect of each factor on an organizational external environment.
Strengths Presence all over the world: It has its largest factory in German, second largest in China, and third largest factory in Brazil. By these factories, they produce most of the cars and export from here to rest of the world.
World Wide Manufacturing Plants: VW a large skilled employee base in its factories. It has approximatelyworkers in 11 countries in Asia, 20 European nations, and in the Africa and Americas. They Skoda pestel been allocating bigger funds Skoda pestel year.
It also suggests that the Volkswagen will increase the allocation of funds to its Research and Development department more.
It possesses the strongest market share in China. At present, it has 13 factories in China. Volkswagen has been in China almost four decades. The Puebla producing factory is the largest employer in the city which employs 15, employees.
The cars such as Passat, New Beetle and, Jetta are produced here and exported to countries.
Volkswagen has been thoroughly developing well-performed cars among all other brands. The number of employees: It hasemployees working hard make it a stronger brand. With such variety of vehicles it builds a strong brand. Weakness Weak position in Indian Market: It has only three factories here .
Though it has the most modern production facilities, still it is not enough to grab a large market like India.
Some experts are saying, it should come out of American market after the VW diesel emissions scandal. Most of their cars are not environment-friendly: Three of their most active brands named Porsche, Lamborghini, and Bugatti emits excessive carbon-dioxide.
And if any government takes any action against it, it may harm the company drastically. Not a strong brand like Toyota: It could not build a presence similar to that of other known brands. VW produces and sells luxurious cars which mean they do not produce cars for middle class people which are really a big weakness for the company as it is a large market in the world.
As a result, it could not grow other car companies like Toyota. They will have to recall approximately 8. It will obviously create a weak position in the global car market.
In the internal strategic analysis part of the Volkswagen SWOT, we found more strengths than the weaknesses. It was said that VW was affected by diesel scandals. It can change its technology to more environment-friendly cars which can give more opportunities to build strong image again and avoid uncertainties.
Hopefully, it will be able to developed more tech advanced vehicle in future. India is a hugely populated country and a developing country as well. The demand of luxurious cars is increasing here.
VW has the scope to grow in the emerging market like India. Moreover, the Indian government encourages foreign investment in this sector.
India allows per cent FDI for this sector. Till now, VW could not grab targeted market share in United States. The cars which are more fuel dependent, and will be grabbing more market shares. Volkswagen manufactures fuel dependent cars.
So, it may experience more sales in future. Rooms for Social Responsibility:skoda case study Skoda is an automobile manufacturer that originates from the Czech Republic.
The car manufacturer was founded in by Laurin & Klement, it then became Skoda and became an owned subsidiary of Volkswagen.
Skoda Auto Case Study Uploaded by Fathi Salem Mohammed Abdullah This is a comprehensive case analysis of Scoda Auto includes: Five forces framework PESTEL SWOT QSPM BCG and other5/5(5).
STRATEGIC MANAGEMENT: VOLKSWAGEN. INTRODUCTION. Volkswagen is an automobile manufacturing company from Germany. It has three cars in the top ten best selling cars of world: Volkswagen Golf, Volkswagen Passat and Volkswagen Beetle. PESTEL analysis is a structure of macro environmental factors that will help the firm to know the markets situations in the CZ that are recommending for its international investors (see appendix 1).
Major competitors in Czech automobile industry Skoda %, TCPA 13%, Hyundai 10% and Kia 10% (Skoda presentation, ). High number of. SKODA - CASE STUDY This case study focuses on how Skoda UK's management built on all the areas of the strategic audit.
The outcome of the SWOT analysis was a strategy for effective competition in the car industry. The audit provided a summary of the business's . The SWOT analysis of Volkswagen will be helpful to understand the strength & weakness of and opportunities & threats for Volkswagen Company.
This analysis will elaborate more rooms to analyze the current position in the market.