The Automobile Industry Assignment Example | Topics and Well Written Essays - 1500 words

The Automobile Industry - Assignment Example BMW began off as a manufacturer of aircraft engines. In the year 1918 following the end of World War 1, the Versailles Armistice Treaty forced the company to cease the business of aircraft engine production. It thus changed the line of business to start producing motorcycles in the year 1923, and later automobiles in 1928 when the treaty’s restrictions began to be lifted. The very first car successfully produced by BMW and which actually propelled the company’s automobile business was known as Dixie. It debarked again to the production of engines for aircraft in the 1930s producing engines such as BMW 132, BMW 801 and BMW 003. The Quandt family has since the year 1959 owned a controlling stake of 46% of the company’s stock and the rest is public. BMW bought Has Glas Company in the 1966 and in 1992 acquired a controlling stake in Designworks USA and went on to fully acquire the company in 1995. BMW also acquired the Rover Group for six years and sold the group off to the Phoenix Consortium as it was making losses. It retained the rights of building the new Mini brand which entered the market in 2001. The company’s long-serving lead designer Chris Bangle left in 2009 and his place was taken by Adrian Van Hooydonk. BMW bought the Husqvarna Motorcycles. In 2012 Bavaria Motor Works was listed by Forbes as world’s most reputable company. The Forbes ranking system bases a lot on the willingness of people to buy, invest in, work for and recommend the firm to others. 60% of the Forbes raking points is driven by the perception of people about the company while 40% is the perception of the company’s products. Specializing in the production of automobiles, the BMW Group has earned itself brand recognition as the worlds most successful. The group runs with three major brands, MINI, BMW and Rolls-Royce all of which are targeted for different market segments. The company has for a long time continued to be among the major players in luxury automobile section and registering consistent sales growth even with the crisis in the European markets.