Audi Research Task PDF

Audi is a German Company and a leading car brand selling hundreds of thousands of cars every year, aiming to specialize in electric vehicles in the future, 'The AUDI AG stands for sporty vehicles, high build quality and progressive design'- Audi company. They have over 60,000 employees and 100 marke...

Audi is a German Company and a leading car brand selling hundreds of thousands of cars every year, aiming to specialize in electric vehicles in the future, 'The AUDI AG stands for sporty vehicles, high build quality and progressive design'- Audi company. They have over 60,000 employees and 100 markets, suggesting they have cars for many different segmentations of marketing. AIMS and OBJECTIVES: ==================== 1. **['AUDI UPS THE PACE:']** Audi is aiming to strengthen quality to its customers Aswell as 'breathe new life' into their new cars with innovation and technology and aims to bring this mindset to the whole company. **[Objective:]** Audi was the first company to ever win a Dakar rally (the world\'s toughest driving rally across dirt roads and gravel paths) with an electric vehicle. They have set milestones to put this innovation and momentum across the motorsport and their company to challenge the Mold of electric vehicles. 2. **['COMPLIENCE AND INTEGRITY:']** Audi wants to handle their manufacturing and legal processes and be in Complient with laws, they aim to have their cooperate values and be fully Complient and take full liability of their supply chain. **[Objective:]** to be able to uphold this compliance they have a CMS (compliance management system) that adheres to internationally recognized standards and stands for 'the principles and structures that must be permanently established and continuously improved on.' 3. '**[RESPONSIBILITY IN THE SUPPLY CHAIN]**:' 'As a major industrial enterprise' they are very conscious of their responsibility for the environment and society. For Audi 'the concept of being consistently sustainable means focusing holistically on environmentally friendly processes and social working conditions.' ("Greater sustainability together with suppliers - Audi.com") **[Objective:]** the Audi company tries to make sure that they are being as sustainable as possible Aswell as having the least possible impact on the environment, to do this they are trying to decarbonize their impact and adhere to be committed to the Paris climate agreement and all its goals and try move to an electric solution with their new innovation and technology. [Market research:] How large is the market? ======================== - Audi has a 2.61% market share with around £58 Bn in total revenue in 2023 and a reported £5.2 Bn in operating profit. Audi is reported to have an increase market share of 0.49% from 2024-2029 Aswell as a projected volume of \$5Bn usd. What are the current trends in the industry? ============================================ \-- There are many future trends for Audi: like autonomous driving, virtual reality and artificial intelligence, Audi wants to ensure that recent technology is used effectively and responsibly as well as making a 'comfortable and modern living space' with their cars. Who are the largest competitors in the market? ============================================== - Audi has a 25% sales revenue share (as of 2022) but only has a market share of 2.61% being a rather small share compared to its competitors. Toyota and ford have a combined market share of 19.3 % shadowing Audi as a competitor; however, it can also be argued Volkswagen and ford have Different markets probably focused on the 'family car' rather than Audis aim to be electric and technologically innovative. What are the main market segments? ================================== Audi has many different market segments, 'Audi' offers a distinctive design focusing more on higher end vehicles and the luxury market. They have a wide array of car types consisting of Sedans SUVs and electric vehicles. Audi wants to achieve exclusivity and premium positioning whilst still achieving a wide array of customers. How important is product innovation? ==================================== Audi is 'shaping the sustainable mobility of tomorrow,' aiming on combining innovative technologies with progressive design along the way. They believe now is exactly the right moment 'for courageous and creative minds to ask unfamiliar questions and leave well-trodden paths.' ("Product Innovation - Audi.com") suggesting that innovation of technology is especially important to Audi and a leading target of their business. What stage is it? Product life cycle extensions strategies? =========================================================== Audi was founded in 1909 in Germany and so clearly as a company they have a lot of history and have segmented themselves as a leading and institutionalized global brand. Audi has a product lifecycle planning for 15-20 years of use time for their cars and after which they can employ their strategy of the material loop where instead of using strategies to extend products, they will us the scrap materials like steel and glass to be used for further technological developments. [Pestle analysis:] Political factors: ================== As an automotive company, political factors are very crucial to be aware of with Audi, they must always be looking into health and safety regulations in case they must change how vehicles are made and the factories they are made in. They must also be conscious of different taxes for example taxes on CO2 emissions as they need to be aware of profit margins and government regulations in multiple international countries. Economic factors: ================= Economic factors are very crucial for Audi as a "for profit" business, they must be aware of future inflation fluctuations and make sure that as a business they can be the least affected to carry on with their aims as usual. They must also be looking at the economic status of each country and make sure that they are trying to be profitable through the growth of the economy internationally. Social factors: =============== Audi needs to respond to how customers are changing their buying habits, for instance moving from petrol and deiseal to a cleaner energy conscious way of driving that they are consuming. This type of conscious thinking has cause Audi innovations move to a more electric solution as it is in the socially acceptable movement of the modern day. Technological factors: ====================== Audi as an innovative and modern-day company need to be aware and prioritizing new ways to market their products and always be using new platforms to promote their products. They also need to invest in technology to stay newly innovative and technologically upgrade their supply chain and stay in competition of competitors whilst prioritising their goal of a cleaner future. Legal factors: ============== Audi need to avoid legal troubles as it would negatively affect their brand, for example being aware of how the brand operates and making sure every aspect of the supply chain is up to the standard of the brand that Audi wants to spread across the world, for instance making sure they limit the use of off shore labour forces that operate in unfair and poor working conditions. Enviromental factors: ===================== It is growing ever important to shift to more environmentally friendly and they must be very conscious of how they operate Aswell as the way they want to innovate their cars in the future. Audi have promoted many types of electric vehicles that can be used to lower your carbon footprint as a conscious driver suggesting they care about these environmental factors, and it is an aim of theirs to encourage them in their company.