The car Beetle was.

able to make Volkswagen as the important name

around the world for more than 50 years. At this time, Ferdinand Piech,
CEO of Audi, was asked to take over as CEO of the VW group. The
company finished 1993 with a loss of nearly 1 billion Eurodollars. In 2001,
the groups net income improved to a record-breaking 2.9 billion
Eurodollars. Between 1993 and 2001, sales were up from 39.1 billion to
88.5 billion Eurodollars, with international sales increasing from 55% to
72%.
VW Groups reversion comprised making Audi a premium brand, saving
Seat from near insolvency, and transforming Skoda Auto from a cheap
eastern European car maker into a respected player. Based on Business
Week, VW was one of the worlds best car companies. Describes the
transition from 1993 to 2001. Takes readers through the successful
implementation of a platform making system, its globalization strategy,
the move upmarket, and many initiations along the business system of
VW
The Beetle had made Volkswagen (VW) a household name all over the
world for more than 50 years. But in the early 1990s the VW Group, with
its Audi, Seat and Skoda brands, was in bad shape: a high cost base, costly
duplications between the different car brands and a weak model line-up
had led profits to decline by 85% in 1992. At this point, Ferdinand Piech,
Chief Executive Officer of Audi, was asked to take over as chief executive
officer of the VW Group. The company ended 1993 with a loss of almost 1
billion euros. After almost a decade of Piech's leadership, the company
was barely recognizable. In 2001 the Group's net income increased to a
record breaking 2.9 billion euros. Between 1993 and 2001 sales were up
from 39.1 billion to 88.5 billion euros, with international sales increasing
from 55% to 72%. The turnaround of the VW Group included making Audi
into a premium brand competing directly with BMW and Mercedes;
saving Seat from near bankruptcy; and transforming Skoda Auto from a
cheap Eastern European car maker into a respected player. In addition, the
VW Group acquired the rights to coveted brands such as Bentley luxury
cars, bought an equity stake in Scania Trucks and revived the Bugatti car
brand. According to Business Week, VW was 'one of the world's best car
 companies'. The case describes the transition from 1993 to 2001. The case
takes readers through VW's successful implementation of a platform
manufacturing system, its globalization strategy, the move upmarket and
many innovations along the business system. Piech and his management
team succeeded in integrating where it made sense while differentiating
where it mattered to customers. Therefore, VW was able to reap
economies of scale over models, brands and regions
Beetle did Volkswagen (VW) a household name all over the world for over 50
years. But in the early 1990s, VW Group, with its Audi, Seat, Skoda and brands,
was in poor condition: the high cost base, costly duplication between different
brands of cars, and a weak lineup led profit to decline by 85% in 1992 . At the
moment, Ferdinand Piech, CEO of Audi, was invited to take the post of General
Director of VW. The company ended 1993 with a loss of almost one billion
Eurodollars. In 2001, net profit rose to a record 2.9 billion Eurodollars. Between
1993 and 2001, sales increased from 39.1 billion to 88.5 billion Eurodollars, with
international sales increased from 55% to 72%. Turn makes the VW Group
included Audi premium brand, saving space on the edge of bankruptcy, and
the conversion Skoda Auto from cheap Eastern European carmaker respected
player. According to Business Week, VW was one of the best companies in the
world car. Describes the transition from 1993 to 2001. Takes readers through
the successful implementation of the VW production system platform, its
globalization strategy, moving upmarket, and many innovations in the
business.

The Volkswagen Group comprises twelve brands from seven European countries: Volkswagen
Passenger Cars, Audi, SEAT, KODA, Bentley, Bugatti, Lamborghini, Porsche, Ducati,
Volkswagen Commercial Vehicles, Scania and MAN. Each brand has its own character and
operates as an independent entity on the market. The product spectrum ranges from motorcycles
to low-consumption small cars and luxury vehicles. In the commercial vehicle sector, the products
include ranges from pick-ups, buses and heavy trucks.

Our activities may focus on the automobile, but the Volkswagen Group is far more than just a
carmaker. A wide variety of mobility-related services round off our portfolio.

Uniting a wide variety of brands and companies with all their individual characteristics and
focuses under one umbrella is a great challenge, especially as the Volkswagen Group is
committed to maintaining their individual identities. But this is the only way all the brands and
companies can make their own contributions to the common value stream and form cornerstones
of the Group.
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More films and information about the Volkswagen Group are to be found:

On the Volkswagen Group Website: http://www.volkswagenag.com

On the Volkswagen Group YouTube-channel: http://www.youtube.com/volkswagengroup
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Zwlf Marken aus sieben europischen Lndern gehren zum Volkswagen Konzern: Volkswagen
Pkw, Audi, SEAT, KODA, Bentley, Bugatti, Lamborghini, Porsche, Ducati, Volkswagen
Nutzfahrzeuge, Scania und MAN.

Im Mittelpunkt unserer Aktivitten steht das Automobil, doch ist der Volkswagen Konzern weit
mehr als ein reiner Fahrzeughersteller. Vielfltige Dienstleistungen rund ums Fahren runden
unser Angebot ab.

Eine Vielzahl von Marken und Gesellschaften mit individuellen Eigenschaften und
Schwerpunkten unter einem Dach zu vereinen ist eine anspruchsvolle Aufgabe. Anspruchsvoll
auch deshalb, weil sie im Volkswagen Konzern gleichzeitig ihre Identitt bewahren sollen. Denn
nur so knnen alle Marken und Gesellschaften mit ihrem Beitrag zur gemeinsamen
Wertschpfung wichtige Sttzpfeiler fr den gesamten Konzern darstellen