VW-conquers-the-world

VWconquerstheworldWhenFerdinandPiech,grandsonofFerdinandPorschewhofoundedVWafterin1934,arrivedasVolkswagen’schiefexecutivein1993,thingslookeddire.However,lastyeartheVWgroup’sprofitsmorethandoubled,toarecord18.9billion.The8.5millionvehiclesVWmadelastyearcoverallcornerssuchasthemassmarket,premiumcars,sportscarsandcommercial-vehiclebrands.ThePiech-PorscheclancontrolsbothVWandPorsche,andVWisalsobuyingDucati,amakeroffancymotorbikes,andconsolidatingMANandScania,twolorrymakers,intoitscommercial-vehiclesdivision.However,IthaslongcovetedAlfaRomeo,apremium-cardivisionofFiat;andisrumouredtobeeyeingupNavistar,anAmericanlorrymaker.AsotherEuropeanvolumecarmakersseektoclosefactoriesandcutjobs,VWisseizingmarketshareinEurope,boominginChinaandstagingacomebackinAmerica.Volkswagenhasbeenbetterthanitsrivalsatreducingthenumberofcommon“platforms”thatitscarsarebuilton.Thisallowsittoofferafabulousvarietyofbrandsandstyleswhileslashingmanufacturingcosts.VW’ssizemeansitseldomneedspartnershipswithrivals.Inmanyofthe26countrieswhereVWhasfactories,ithasbeenaroundlongenoughtobeseenasadomesticfirm.Rivalsenvythestabilitythisbrings,especiallyjustnow.