Optimism and innovation are the new focus of BMW according to its Chairman, Dr. Norbert Reithofer, who recently spoke during the company’s annual shareholders assembly.
Aware of the difficulties brought by the current economic crisis, Reithofer wanted to reassure everyone by detailing part of BMW’s future strategy to overcome these challenges.
"Our vision is a long-term vision. We don’t plan on a quarterly basis. Our results for 2008 have been excellent; the entire company made profits and we will even pay dividends to shareholders. However, these dividends will be smaller than last year. On the flip side, high executives and employees alike have renounced to their benefits for 2008 in order to help BMW weather the storm," explained the Chairman.
Like every other automaker, BMW is not immune to the economic slowdown. So far in 2009, global sales have dropped 21 percent and a similar decrease is expected over the upcoming months. "Getting back on track will take a lot of time, but we’ve already taken significant actions, including the unfortunate decision to eliminate thousands of jobs. That said, the reduction in equipment and labor costs allows us to continue our development efforts," claimed Dr. Reithofer.
To wit, he announced a production increase at the BMW plant in Spartanburg, U.S., where the next-generation X5 will be built. Moreover, three of the company’s best-selling models will be revised within the next two years.
"The North American market still leaves plenty of room for development and that’s where we want to accelerate our progression -- Canada and the United States," he said.
Design and innovation
To cope with the challenges of tomorrow, BMW Group will introduce two new, all-important models in the next few months. The first one is the 5-Series Gran Turismo, which was unveiled in concept form at the 2009 Geneva Auto Show. "Available this fall, the Gran Turismo will pioneer an all-new genre of sport sedans and we’re confident it will also bring a new dimension to the brand," argues Dr. Reithofer.
The other new product set to be released is the X1 crossover, derived from the 1-Series Coupe. The latter is undeniably popular across Europe.
Finally, BMW will put an emphasis on technological advancements by expanding its joint venture with Peugeot, mainly for the development of the MINI, while searching for new partners to produce the MINI E electric car. Let’s not forget the new fully-hybrid variant of the current 7-Series sedan, which should come to market within a year or so.
"Now more than ever, BMW Group is banking on its unique personality to retain its leadership. Performance and innovation will be the keys to succeed," added the Chairman.
photo:BMW
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| Dr. Norbert Reithofer, chairman of BMW. |
Aware of the difficulties brought by the current economic crisis, Reithofer wanted to reassure everyone by detailing part of BMW’s future strategy to overcome these challenges.
"Our vision is a long-term vision. We don’t plan on a quarterly basis. Our results for 2008 have been excellent; the entire company made profits and we will even pay dividends to shareholders. However, these dividends will be smaller than last year. On the flip side, high executives and employees alike have renounced to their benefits for 2008 in order to help BMW weather the storm," explained the Chairman.
Like every other automaker, BMW is not immune to the economic slowdown. So far in 2009, global sales have dropped 21 percent and a similar decrease is expected over the upcoming months. "Getting back on track will take a lot of time, but we’ve already taken significant actions, including the unfortunate decision to eliminate thousands of jobs. That said, the reduction in equipment and labor costs allows us to continue our development efforts," claimed Dr. Reithofer.
To wit, he announced a production increase at the BMW plant in Spartanburg, U.S., where the next-generation X5 will be built. Moreover, three of the company’s best-selling models will be revised within the next two years.
"The North American market still leaves plenty of room for development and that’s where we want to accelerate our progression -- Canada and the United States," he said.
Design and innovation
To cope with the challenges of tomorrow, BMW Group will introduce two new, all-important models in the next few months. The first one is the 5-Series Gran Turismo, which was unveiled in concept form at the 2009 Geneva Auto Show. "Available this fall, the Gran Turismo will pioneer an all-new genre of sport sedans and we’re confident it will also bring a new dimension to the brand," argues Dr. Reithofer.
The other new product set to be released is the X1 crossover, derived from the 1-Series Coupe. The latter is undeniably popular across Europe.
Finally, BMW will put an emphasis on technological advancements by expanding its joint venture with Peugeot, mainly for the development of the MINI, while searching for new partners to produce the MINI E electric car. Let’s not forget the new fully-hybrid variant of the current 7-Series sedan, which should come to market within a year or so.
"Now more than ever, BMW Group is banking on its unique personality to retain its leadership. Performance and innovation will be the keys to succeed," added the Chairman.
photo:BMW