BMW A presentation by Arbab Ahmed and Mike Ogden

Who or what is BMW? BMW is currently a German automobile company. They are known for their high-quality automobiles specialized in luxury / high-class (expensive!) automobiles. BMW first started off as an aircraft-engine manufacturer in Munich. Although not the leading competitor in luxury automobiles, BMW continues to be one of the most recognized automobile companies, through their unique design and continuing success and tenacity to continue their business for the last 80 years.

The history of BMW Over 80 years of automobile history (1916-1999)

BMW History The early days 1916 1923 1924 1932 BMW is founded as an aircraft-engine factory in Munich, renamed from the “Rapp Motor Company” The first BMW motorcycle leaves the production lines. The first intercon-tinental flight to Persia powered by BMW engines. Dixi is the name of the first BMW car. It is developed in Munich, like all other BMW products. However, BMW cars are built in Eisenach into the 1940s. Ernst Henne is the fastest motorcyclist in the world for the first time on a BMW. BMW History

BMW History The record breaking years 1935 1936 1937 1940 1945 The BMW R 12 is the first motorcycle with a hydraulic front telescopic fork. In the year of the Berlin Olympic Games BMW launches the most successful European sportscar in the two-litre class - the BMW 328. Ernst Henne sets an absolute speed record for motorcycles (279.5 km/h, 174.7 mph), which remains unbroken for fourteen years. BMW 328 Roadsters win their class in the thousand mile Mille Miglia Italian road race, again. At the end of the Second World War, BMW lies in ruins. The factory in Munich is dismantled. The victorious Allies impose a three-year ban on production because of the company’s involvement in constructing aircraft engines and rockets. BMW History

The K 100 is the only motorcycle in the world to have ABS The eighties 1981 1985 1987 1988 BMW is the first European car importer to establish a subsidiary in Japan. BMW produces more than 37,000 motorcycles in the year of the centenary of the two-wheeler. BMW presents the first German twelve-cylinder automobile engine in half a century The Z1 roadster is launched. 1988 The K 100 is the only motorcycle in the world to have ABS BMW History

In the nineties.. full of introductions 1997 1997 1997 1998 1998 BMW introduces the BMW R 1200 C, BMW’s first cruiser. BMW introduces their most powerful M roadster. BMW introduces a new addition to the 3 series, the 3 saloon. BMW introduces the M5. BMW showcases the BMW Z9 gran turismo concept. 1999 1999 BMW introduces the Z8, which appears in “The World Is Not Enough” before its official release. BMW introduces the X5, the first ever “Sport Activity Vehicle.”

lexus BMW’s POTENTIAL THREATS jaguar

Competition: Jaguar Motors Since Jaguar is part of Ford Motor Company, their funding can be spread across the other companies that they own. (Over a dozen.) This causes a problem for BMW because their funding is not as sparse since they are not owned by anyone else, nor do they have any outside incoming cash. BMW’s only outside income could come from recently obtained MINI™, although it is not as widespread.

Competition: Lexus For the same reasons as Jaguar, Lexus has more of a financial fallback, Toyota. Since Lexus is the luxury name of Toyota, their cash can be spread out among the two companies. Since Toyota makes cars that fit into most budgets, unlike BMW which specializes in higher-income automobiles, there is always a higher probability that Toyota/Lexus will do good business.

Risk: The new BMW 7 series “...dissed in trade publications, and badmouthed on the Web.” - Fortune Magazine The 7 Series is BMW's most prestigious and expensive. Prices for the current model start at $64,000 and climb all the way to $93,000; the new 7 will probably cost more. Typically a new design establishes a theme that will be repeated for several years in later models. BMW plans to introduce 20 models over the next six years and boost sales volume by one-third, an astounding growth target for a luxury manufacturer in a mature industry. Unfortunately for BMW, it elicited instantaneous negative reaction. This new BMW series ignited criticism before it even left the factory.

THE UPSIDE TO IT ALL BMW’s success strategy

The BMW 3 series BMW’s most successful line

The 3 series The 3 series (sedan, convertible, touring, coupé and compact) has been BMW’s best selling line. This could be the fallout plan if their new 7 series fails. In Canada, BMW makes over 75% of their automobile sales on the 3 series, most likely because of its price, (lowest on the BMW full line) broad selection, and durability. Most of the other BMW lines are not meant for winter, and it would seem the 3 series is the only line to suit that environment. (Just for your own observations, when you see a BMW on the road, notice what model it is. If it’s a 3xx model, then it’s the 3 series.)

Other recent advantages BMW has released new advertising campaigns worldwide to promote their new 7 series as well as the 3 series. As always, BMW sponsors many automobile shows. BMW also has its own driving school and specialized assistance for BMW owners (BMW Assist)

In conclusion BMW started out as an airplane engine company and is now one of the most famous luxury automobile companies in the world. Terms like “I wish I had a beamer” and “I was beamin’” would not exist today if it weren’t for BMW. BMW is a great company which makes great cars and Heaven forbid it ever goes out of business.

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