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STUDY ON STRATEGIES AND EPRG
FRMAEWORK ON
ALEKH NIRANJAN SAHU
Bayerische Motoren
Werke AG commonly
known as BMW
(founded in 1916.)
MISSION
“The BMW Group is the
world’s leading provider
of premium products
and premium services
for individual mobility”.
BUSINESS STRATEGY
VALUE FOR
MONEY.
CUSTOMER
SERVICE
BRAND
PROMOTION
STANDARDISED
PROCESSES
DIGITAL
MARKETING
EXCLUSIVE
SHOWROOMS
Marketing strategy
SEARCH ENGINE
MARKETING
ONLINE PUBLIC
RELATION
ONLINE TV ONLINE
GAMES
Promote brand ,ads
that link to the BMW
website appear on top
when specific
keywords are typed
Press release , third
party media
coverage,extension
to social network
Promotion of core
brand value ,
technology ,
performance,quality,
interaction among
viewers
Appeal to the
players ,enhance
awareness,influenc
e players
PRODUCTS
BMW RR,MINI, GINA
PLACE
MANUFACTURING PLANT
BMW produces complete
automobile at its factories in
• Germany (Munich, Dingolfing,
Regensburg & LeLeLeipzig
• US (Greer)
• South Africa (Rossalyn)
• China (Shenyong)
ASSEMBLE PLANT
• Thailand
• Russia
• Egypt
• Indonesia
• Malaysia
• India (Chennai) for 3,5,7
series & X3
PLANT LOCATION OF BMW
US (GREER)
THAILAND
UUUUU
INDIA(CHENNAI)
SOUTH AFRICA23 PRODUCTION AND
ASSEMBLY PLANT IN 13
COUNTRIES
GERMANY
RUSSIA
EGYPT
MALAYSIA
MARKETING STRATEGY
*BMW uses single segment marketing strategy
*They make high end cars for high class customer
*People who are looking for a decent ,strong car.
*People who think luxury is very important.
*For people who love horsepower.
*High performance sports car
*Has not been repositioned still has some position since it was first
produced in the early 1990’s
BMW-i Series
BMW’S PROMOTIONAL STRATEGY
Dynamic-Distinctive in their car design and
advertisement
Innovative- Always pushing the boundaries in terms of
technology
Exclusivity-Offering customer value in terms of
uniqueness
Focus on differentiation strategy based on being :
PROMOTION STRATEGY
FINANCIAL STRATEGY
Plan to launch I-Next
in 2021
Increase in production of
profitable SUV to cover
losses rapidly
Aims to sell morethan
2Lkhs. BMW bikes and
scooter.
Recapturing the luxury
crown
More investment in i-
Series
Company with its strong
portfolio will continue
to grow profitably and
successfully.
More investment in
R&D.
Unveil of 40 new vehicle
including X2 compact SUV &
X7 crossover
Low key Approach
HR STRATEGY OF BMW
• The main goal of HRM in BMW is to make people more
productive & creative for long term standing with them
Employee
relation
Training &
development
Checking
reference
TestingInterviewingScreening
Recruitment
& selection
HR STRATEGY
Training
academy ,30
work shop,20
training rooms
Planning to
increase 2k
dealers
Trainee
Promotion
Programe
(TPP)
Employee
loyalty
programe
OPERATION STRATEGY
• As its mission to be a leading premium product provider for
individual’s mobility
• Operating strategy of BMW has four important pillars .
• BMW has focus on all operation management area like Supply
chain mgt.,production,distribution
Etc….
Growth
Shapingthe
future
Profitability
Accessto
technology&
customers
Distribution strategy in the Marketing
strategy of BMW
Exclusive stores &
flagship stores
expanding the
number of
authorized dealers.
BMW is currently
operating its
business through its
6000+ dealerships
around the world.
The logistics partners
of the respective
country help in
making the product
available to the
customer @POS
(point of sale).
EPRG FRAMEWORK
POLYCENTRIC APPROACH
DRIVING SIDE
CHANGE TO RGHT
FROM LEFT.
CHANGE IN
SHOCK-ABSORBER
(HARD TO
SMOOTH)
GROUND
CLEARANCE
CHANGE IN COST
AS PER THE
COUNTR’S
CUSTOM DUTY
AND LEVY .
GEOCENTRIC APPROACH
BMW with offices in multiple nations that operate to achieve global
objectives as well local objectives.
The subsidiaries contribute unique competencies as part of a whole
rather a set of separate business unit.
BMW had complete its 10 years of assembly at Chennai in India,over
57,000 unit assembled as per the news article of “India Times”(Mar
29,2017) .
OUTCOME
After all of the above
successful
implementation BMW
manage to achieve
good market growth
and high market
share.
Result to BMW known
for its premium
luxurious brand with
production of
25,12,635 vehicles
comes with €94.163
Billion of revenue as
per the financial
report of 2016.
Net profit was €6.910
Bn. In 2016.
1,24,729 employees
were working as per
2016 report . It proves
that best HR policy &
career growth applied
Well in BMW
Recommendations
As we know that BMW is having competition in the market so they should not make the
prices of their products so high.
As we know that there is economic recession, increase in the price of fuel, more
automobiles companies are expanding in this period so it will be problem for the BMW if
they increase their prices and customer will look for the other competitive alternative in the
market which will slow down the business sales and performance of the employees.
HR team should develop some strategies to make sure that customer should not loose any
interest in buying their products.
• https://www.ukessays.com/essays/marketing/marketing-
strategy-and-pricing-strategy-of-bmw-marketing-essay.php
• https://www.ukessays.com/essays/business/examining-roles-
and-responsibilities-human-resources-in-bmw-business-
essay.php
• https://www.ukessays.com/essays/marketing/the-corporate-
strategies-and-objectives-of-bmw-marketing-essay.php
• http://brandchannel.com/2017/03/21/bmw-40-vehicles-
032117/
Competitive advantage in the
Marketing strategy of BMW
• Continuous process improvement & technological
advancement in its R&D is the core of the competitive
advantage of BMW.
• BMW known for its quality, reliability & superior customer
service support.
• BMW has adopted policy of customer service growth driver
as an underlying principle to grow its market.
• It is Present in 150+ countries around the world, Europe &
North America is the market from where 65% of its sales
come from but with the advent of growing developing nations
like Asian markets, company started focusing on these
markets aggressively to drive the future sales.
• It has a Strong product portfolio from BMW M –Convertible,
BMW – 3 & 5 series – sedan, touring to BMW X3 /X5 –SUV
and have strong presence in every segment.
CORPORATE STRATEGY
• Corporate level strategy
Stability Strategies Expansion Strategy Retrenchment Strategies Combination
Strategies
 No change
strategies
 Pause/proceed
with caution
strategy
 Profit Strategy
 Concentration
 Integration
 Diversification
 Internationalization
 Digitalization
 Turnaround
 Divestment
 Liquidation
 Simultaneous
 Sequential
 Combination of
Both

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Strategies of bmw

  • 1. STUDY ON STRATEGIES AND EPRG FRMAEWORK ON ALEKH NIRANJAN SAHU
  • 2.
  • 3. Bayerische Motoren Werke AG commonly known as BMW (founded in 1916.) MISSION “The BMW Group is the world’s leading provider of premium products and premium services for individual mobility”.
  • 5. Marketing strategy SEARCH ENGINE MARKETING ONLINE PUBLIC RELATION ONLINE TV ONLINE GAMES Promote brand ,ads that link to the BMW website appear on top when specific keywords are typed Press release , third party media coverage,extension to social network Promotion of core brand value , technology , performance,quality, interaction among viewers Appeal to the players ,enhance awareness,influenc e players
  • 8. PLACE MANUFACTURING PLANT BMW produces complete automobile at its factories in • Germany (Munich, Dingolfing, Regensburg & LeLeLeipzig • US (Greer) • South Africa (Rossalyn) • China (Shenyong) ASSEMBLE PLANT • Thailand • Russia • Egypt • Indonesia • Malaysia • India (Chennai) for 3,5,7 series & X3
  • 9. PLANT LOCATION OF BMW US (GREER) THAILAND UUUUU INDIA(CHENNAI) SOUTH AFRICA23 PRODUCTION AND ASSEMBLY PLANT IN 13 COUNTRIES GERMANY RUSSIA EGYPT MALAYSIA
  • 10. MARKETING STRATEGY *BMW uses single segment marketing strategy *They make high end cars for high class customer *People who are looking for a decent ,strong car. *People who think luxury is very important. *For people who love horsepower. *High performance sports car *Has not been repositioned still has some position since it was first produced in the early 1990’s
  • 12. BMW’S PROMOTIONAL STRATEGY Dynamic-Distinctive in their car design and advertisement Innovative- Always pushing the boundaries in terms of technology Exclusivity-Offering customer value in terms of uniqueness Focus on differentiation strategy based on being :
  • 14. FINANCIAL STRATEGY Plan to launch I-Next in 2021 Increase in production of profitable SUV to cover losses rapidly Aims to sell morethan 2Lkhs. BMW bikes and scooter. Recapturing the luxury crown More investment in i- Series Company with its strong portfolio will continue to grow profitably and successfully. More investment in R&D. Unveil of 40 new vehicle including X2 compact SUV & X7 crossover Low key Approach
  • 15. HR STRATEGY OF BMW • The main goal of HRM in BMW is to make people more productive & creative for long term standing with them Employee relation Training & development Checking reference TestingInterviewingScreening Recruitment & selection
  • 16. HR STRATEGY Training academy ,30 work shop,20 training rooms Planning to increase 2k dealers Trainee Promotion Programe (TPP) Employee loyalty programe
  • 17. OPERATION STRATEGY • As its mission to be a leading premium product provider for individual’s mobility • Operating strategy of BMW has four important pillars . • BMW has focus on all operation management area like Supply chain mgt.,production,distribution Etc…. Growth Shapingthe future Profitability Accessto technology& customers
  • 18. Distribution strategy in the Marketing strategy of BMW Exclusive stores & flagship stores expanding the number of authorized dealers. BMW is currently operating its business through its 6000+ dealerships around the world. The logistics partners of the respective country help in making the product available to the customer @POS (point of sale).
  • 20. POLYCENTRIC APPROACH DRIVING SIDE CHANGE TO RGHT FROM LEFT. CHANGE IN SHOCK-ABSORBER (HARD TO SMOOTH) GROUND CLEARANCE CHANGE IN COST AS PER THE COUNTR’S CUSTOM DUTY AND LEVY .
  • 21. GEOCENTRIC APPROACH BMW with offices in multiple nations that operate to achieve global objectives as well local objectives. The subsidiaries contribute unique competencies as part of a whole rather a set of separate business unit. BMW had complete its 10 years of assembly at Chennai in India,over 57,000 unit assembled as per the news article of “India Times”(Mar 29,2017) .
  • 22. OUTCOME After all of the above successful implementation BMW manage to achieve good market growth and high market share. Result to BMW known for its premium luxurious brand with production of 25,12,635 vehicles comes with €94.163 Billion of revenue as per the financial report of 2016. Net profit was €6.910 Bn. In 2016. 1,24,729 employees were working as per 2016 report . It proves that best HR policy & career growth applied Well in BMW
  • 23. Recommendations As we know that BMW is having competition in the market so they should not make the prices of their products so high. As we know that there is economic recession, increase in the price of fuel, more automobiles companies are expanding in this period so it will be problem for the BMW if they increase their prices and customer will look for the other competitive alternative in the market which will slow down the business sales and performance of the employees. HR team should develop some strategies to make sure that customer should not loose any interest in buying their products.
  • 24.
  • 25. • https://www.ukessays.com/essays/marketing/marketing- strategy-and-pricing-strategy-of-bmw-marketing-essay.php • https://www.ukessays.com/essays/business/examining-roles- and-responsibilities-human-resources-in-bmw-business- essay.php • https://www.ukessays.com/essays/marketing/the-corporate- strategies-and-objectives-of-bmw-marketing-essay.php • http://brandchannel.com/2017/03/21/bmw-40-vehicles- 032117/
  • 26. Competitive advantage in the Marketing strategy of BMW • Continuous process improvement & technological advancement in its R&D is the core of the competitive advantage of BMW. • BMW known for its quality, reliability & superior customer service support. • BMW has adopted policy of customer service growth driver as an underlying principle to grow its market. • It is Present in 150+ countries around the world, Europe & North America is the market from where 65% of its sales come from but with the advent of growing developing nations like Asian markets, company started focusing on these markets aggressively to drive the future sales. • It has a Strong product portfolio from BMW M –Convertible, BMW – 3 & 5 series – sedan, touring to BMW X3 /X5 –SUV and have strong presence in every segment.
  • 27. CORPORATE STRATEGY • Corporate level strategy Stability Strategies Expansion Strategy Retrenchment Strategies Combination Strategies  No change strategies  Pause/proceed with caution strategy  Profit Strategy  Concentration  Integration  Diversification  Internationalization  Digitalization  Turnaround  Divestment  Liquidation  Simultaneous  Sequential  Combination of Both