COMPANY PROFILE -BMW
Business Sector :Automobile
Operating Geography :Germany, Europe, Global
About BMW :
BMW is German company, renowned for manufacturing automobiles and motorcycles. Founded in 1916, the company is headquartered in Bavaria, Germany. The BMW Group's special fascination lies not only in its products and technology, but also in its history, which was written by inventors, pioneers, and brilliant designers. Today, the BMW Group is the world's leading manufacturer of premium automobiles and motorcycles, as well as a provider of premium financial and mobility services, with 31 production and assembly facilities in 15 countries and a global sales network. The BMW 5 Series Touring received Best Estate Car Interior honours, the BMW 4 Series received Best Performance Car for Value honours, and the BMW iX3, the brand's first fully electric SUV, received Best Large Electric SUV honours. BMW has released Edition ColorVision models of the 1-Series hatchback and 2-Series Gran Coupe sedan. The special edition models feature exterior and interior design updates. Aside from that, BMW has made some performance-oriented changes. The BMW 1-Series and 2-Series Gran Coupe will go on sale in July 2022, according to the automaker.
The USP of BMW lies in it being best known around the world for producing excellent luxury automobiles. BMW’s mission statement reads, “To become the world's leading provider of premium products and premium services for individual mobility.”
BMW Revenue :
€111,239 million - FY ending Dec 31, 2021 (y-o-y growth 12.4%)
€98,990 million - FY ending Dec 31, 2020
Competitive Analysis of BMW
The SWOT Analysis for BMW is presented below:
Strengths | Weaknesses |
1. High focus on Research & Development leading to high quality products
2. Geographically diversified Target markets helps in expansion and to keep risks low
3. A Diversified Portfolio caters to a wide range of customers
4. Distinct multi brands such as Rolls Royce and MINI caters to many segments
5. Enjoys high rankings from global rating agencies
| 1. Limited brand portfolio causing untapped sales in commercial vehicle segment & mid income segments
2. Takata air bag inflators’ issues causing cars recall
|
Opportunities | Threats |
1. Growing market for Electric vehicles can lead to increase in sales
2. Huge potential of Developing nations can increase sales and profits
3. Strong growth in Global automobile and motorcycle Industry can boost sales of BMW cars and bikes
4. Increasing presence in China can tap in untapped demand
| 1. Intense market competition can threaten to decrease sales & profitability
2. Environmental and governmental regulations can increase costs and decrease profits
3. Slow growth of global economy leading to less demand from numerous countries
|
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Detailed SWOT Analysis of BMW
Strength
1. High Focus on Research & Development leading to high quality products: BMW relies heavily on technological development for its product development. For the Financial year ended 2021, the Research & Development expenses were € 6870 million. A total of 12,669 people were working at over 13 BMW R&D centers, in 2021. The company focuses on developing electric vehicles and automated driving software and technology, which ultimately gives the company a boost in its market position and sales figures.
2. Geographically diversified Target markets helps in expansion and to keep risks low: BMW has a highly diversified target market for its automobiles and motorbikes, as it has a strong market in its home country Germany, the USA, and Europe and Asia. The group’s biggest market is China with 33.6% of the sales, followed by the USA with 14.6%. As such, in today’s world where there are great risks in having a limited target market, BMW scores heavily because of its geographically diverse markets, which helps to keep its risks low. It has 41 sales subsidiaries and financial services locations around the world, 31 manufacturing and assembly plants, and 13 countries with research and development facilities.
The remaining section under "Strength" is available only in the 'Complete Report' on purchase.
Weakness
This section is available only in the 'Complete Report' on purchase.
Opportunity
This section is available only in the 'Complete Report' on purchase.
Threat
This section is available only in the 'Complete Report' on purchase.
The PESTLE Analysis for BMW is presented below:
Political | Economic |
1. Political uncertainty across Europe, Middle East and African (EMEA), and Latin American markets | 1. Strong GDP growth in emerging markets
2. Volatile currency movements
3. Disruptions in the economy is likely to affect BMW’s operations
|
Social | Technological |
1. Preference of the millennials towards environment-friendly vehicles
2. Employee training program
3. Paradigm shift towards personal transportation during pandemic
| 1. Moving towards digitalization for better customer orientation
2. Artificial Intelligence – new face of driving
|
Legal | Environmental |
1. Changing and inconsistent regulations regarding autonomous vehicles
2. Involvement in controversies and lawsuits
| 1. Integration of sustainability within the group’s operations
2. Hydrogen fuel technology to reduce carbon emissions
|
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Detailed Pestle Analysis of BMW
Political
This section is available only in the 'Complete Report' on purchase.
Economic
This section is available only in the 'Complete Report' on purchase.
Social
This section is available only in the 'Complete Report' on purchase.
Technological
1. Moving towards digitalization for better customer orientation: Digital technologies provide an excellent opportunity for any company to improve its existing processes, develop new solutions, and engage with customers in a seamless manner. Following this trend, BMW offers remote software upgrades to BMW owners, as well as the opportunity to participate in new digital business models such as "functions on demand." These offers have already gotten a lot of positive feedback. With the introduction of the new, all-electric BMW iX in autumn 2021, the BMW Group also unveiled its new BMW Operating System 8 as well as a new display and control system. The main design goal was to achieve clarity and simple, intuitive usability. The large BMW curved display has a touchscreen that allows drivers to customise the content of their display. The number of buttons and switches has been kept to a bare minimum. Outside of the vehicle, digitalisation enables innovations, simplifications, and advancements. Since 2020, the My BMW and MINI apps for smartphones have been available. They provide a connection from the user's location to the vehicle – or, if necessary, to the service partner. During the year 2021, both apps were updated with new features. A digital tyre diagnosis feature has been added to the My BMW app, which uses artificial intelligence to assess the condition of the vehicle's tyres. Users can now use the MINI app to access a wider range of services, such as making appointments and paying for services without having to use their hands.
The remaining section under "Technological" is available only in the 'Complete Report' on purchase.
Legal
This section is available only in the 'Complete Report' on purchase.
Environmental
This section is available only in the 'Complete Report' on purchase.
On purchase the BMW SWOT and PESTLE Analysis PDF report will reach you within minutes. At rare times, a slight delay not exceeding 1 hour might be caused.
TABLE OF CONTENTS
DELIVERY AND FORMAT
WHY CHOOSE US?
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References used in BMW SWOT & PESTLE Analysis Report
1. Annual Report - https://www.bmwgroup.com/en/report/2021/index.html
2. Press Release - https://www.bmwgroup.com/content/dam/grpw/websites/bmwgroup_com/ir/downloads/en/2022/bericht/BMW_Group_PR_Annual_Conference_2022.pdf
3. Investor Presentation - https://www.bmwgroup.com/content/dam/grpw/websites/bmwgroup_com/ir/downloads/en/2021/Investor-Presentation/BMW_Investor_Presentation_2021.pdf
4. Newsroom - https://www.bmwgroup.com/en/company/news.html
5. Paradigm shifts caused by the COVID-19 pandemic - https://www.ncbi.nlm.nih.gov/pmc/articles/PMC7648497/
The detailed complete set of references are available on request in the 'Complete report' on purchase.
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