Advertising plan for BMW 3-Series Essay Example | Topics and Well Written Essays - 2000 words

Advertising plan for BMW 3-Series - Essay Example BMW Group, one of the 10 largest automotive companies in the world today, started as a manufacturer of aircraft engines in World War I and began building a reputation for reliability and excellence on that undertaking. Initially known as Bayerische Flugzeug-Werke in 1916,the firm changed its name to Bavarian Motor Works in 1917 as it grew rapidly during the war years. In 1923, BMW put together its first motor vehicle, a motorcycle, followed by its first car in 1928, a version of Austin 7, which was built and commercially sold under license. There was no stopping the company since then. Today, the Group operates in 150 countries through 26 production-assembly plants, 35 subsidiary markets and 12 R&D networks. Its flagship products consist of three automotive brands - BMW, MINI and Rolls Royce. All three vehicles share the same configuration, which suggest luxury, premium class, top-of-the-line quality. This is precisely the corporate culture that animates BMW, which is expressed in it s mission statement: "to be the most successful premium manufacturer in the industry." BMW built a solid reputation on this operational strategy.With this kind of philosophy underpinning all BMW's activities, the company produces nothing but premium-class vehicles, which are limited to exclusive sedans and luxury limousines. The side objectives are to set the industry standards for technology, environmental protection and safety, and providing outstanding customer services in the pre- and after-sale phases. These are enshrined in the firm's operations in its 10 R&D facilities worldwide (4 in Munich, 3 in the US and 1 each in Austria, Tokyo and Beijing), 15 production plants (1 in Berlin, 1 in Munich, 4 in UK, and 1 each in China, South Africa, US, Austria and Brazil), 5 assembly plants with local participation (1 each in Indonesia, Russia, Egypt, Malaysia and Thailand), and sales and marketing subsidiaries in 35 countries. In 2005, the company invested 2,597 million euros to boost its property, plant, equipment and other tangible assets, with emphasis on further expanding its production and sales networks. The amount was 81 percent higher than the 1,396 million euros sunk in the firm in 2004 as capital expenditures. A lion's share of this investment went to the company's R&D network, which has been tasked to come up with the BMW "cars of the future." This is part of an expansion plan that has preoccupied management from the start. In 1994, BMW acquired the Rover Group from British Aerospace in the hope that it could duplicate its earlier success with MINI, which used to be a British-owned firm too. For at least six years, some 1 million Rover vehicles were produced in UK yearly until the company suffered losses reaching $2 million per day as a result of the perceived lack of consumer confidence in the brand and the strengthening of the pound. BMW was then forced to sell Rover to the Ford group in 200 0. As for the MINI, BMW hang on to the more successful brand, which is manufactured in its Oxford plant. Market demand for the MINI has never let up, such that at the time BMW was selling Rover, it was pouring in another 50 million euros to increase MINI production. BMW fosters the core values of technology, quality, performance and exclusivity, such that its activities from R&D to sales are committed to achieving the highest quality for products and services. The overall strategy of the company is first, identify areas with growth potential, understand what they represent, recognize where its strength lies, then make the best of every opportunity by pursuing a clear strategy. These considerations guide BMW's structure and how decisions are made, and from the evidence it works like a charm.

Investing Money towards Retirement Essay Example | Topics and Well Written Essays - 1250 words

Investing Money towards Retirement - Essay Example In the United States traditionally parents assume the cost of putting their kids through college. Financing the college education of two kids can become a very expensive ordeal. Like most working adults Sam is struggling to get by, but he realizes he has to start saving towards these two goals or he won’t have enough time left to accomplish his goals. Sam’s master plan entails saving $150 a month for the foreseeable future in order to put his two kids through college and to be able to retire at the age of 60. His two kids are age 3 and 8 years old. Assuming his two kids will start college at the age of 18 like most teenagers Sam will have to start spending money on college tuition 10 years from now. Sam’s plan of saving 150 a month implies he will save $1,800 a year. Assuming he leaves the money in the bank and makes 1% rate on his saving Sam will have 10 years from now $18,919.25. This amount of money is not sufficient to put his elder kid through four years of college. Sam needs to make adjustments to his plan. The simplest way to adjust his plan is by making better investment options that will allow Sam to make a higher return on his investment. Depending on the banking industry for long-range savings is not a wise move due to the extremely low-interest-rate that this industry offers. Typically interest earns on a banking account is not sufficient enough to offset inflation. Mr. Johnson has to start an investment plan that is aligned with his long-term financial goals. Investing money is not a rocket science, but it requires a person to get educated on financial tools such as stocks, bonds, and mutual funds. Common stocks are one of the simplest types of investment options. A common stock is the transfer of a piece of ownership in a company in exchange for cash.