1. In your new role as Director General of Volkswagen, you have been tasked by the board...
Question:
1. In your new role as Director General of Volkswagen, you have been tasked by the board with producing a ten-year strategic plan to position Volkswagen as one of the top three international auto makers. Volkswagen, like several other automakers, has focused much of its recent efforts toward the development of fully electric vehicles. This strategy has shown some promise with increasing adoption rates in the European market. Toyota, a major competitor, has instead focused on hybrid ICE/Electric technology that may prove better for the important US market, where vehicle "range" is much more important. Should Volkswagen continue to focus its engineering efforts currently directed at fully electric vehicles? Or should it divert resources to the concurrent development of hybrid technology? Produce a SWOT analysis to guide your response. Also, speak to the relative merits of a focused versus a diversified strategy.
2. As a new entrant, Tesla has enjoyed a competitive advantage over Volkswagen and other automakers in the US market by virtue of being able to sell directly to customers. How might Volkswagen adapt its distribution model to counter this advantage? What stakeholders would be impacted and how? How would this recommended solution "increase value"?
3. Volkswagen is considering expansion of its manufacturing facility in Chattanooga Tennessee (USA). Volkswagen has retained a consulting firm to evaluate the ESG impact of this project. Your task is to clearly articulate at least one specific question for the consultants to evaluate for each of the ESG components. After each question, briefly explain why this question is relevant to Volkswagen's decision as to whether to pursue this project.
Intermediate Accounting
ISBN: 978-0132162302
1st edition
Authors: Elizabeth A. Gordon, Jana S. Raedy, Alexander J. Sannella