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Volkswagen feedback

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Due to its wide market coverage, Volkswagen has benefited from government incentive schemes around the world. The question remains as to how well a car company can maintain demand and service its heavy borrowing and capital requirements. Possible integration with Porsche poses serious risks to management focus given the identification of cost saving synergies drawn from the combined group, which may impact the customer experience. With these sources of uncertainty, the brand has been marked down. Still, it has a strong position in markets like China and Brazil and has announced its intent to become the number one carmaker worldwide in sales volume by 2018. There are signs that the road ahead looks good too. The Tiguan SUV success story confi rms that, despite being a latecomer in the small SUV segment, its quality vehicles meet customers’ taste like no other. Volkswagen is keeping pace in new driving technologies as well. With its BlueMotion program and its LPG and EcoFuel engines, it already offers a fuel-effi cient concept.

11 August 2010


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Halo, Lisa here


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