Jul 24, 2009 7:35:55 PM
- Emperor
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- Loc: London & Gothenburg
- Posts: 1013, Gallery
- Registered on: Jan 6, 2006
- Reply to: Ron (Houston)
Re: CEO Dr. Wiedeking and CFO Härter have left Porsche
RIP Porsche, Lamborghini and Audi.
The merger or VAG and PAG will be the first step of VAG walking its path to become the GM of Europe. Audi, Lamborghini and Porsche can impossibly co-exist in the same company portfolio without heavy cannibalisation. Matters have already turned sour with the R8 and Gallardo situation with the A8 next in-line to face competition from its cousin -- the Panamera.
I foresee stifled creativity as ever product decision will be a democratic decision between a staggering number of CEO, board members, product strategists and executives. Most cars will result in having as much personality as a product by Unilever or Proctor and Gamble. With VAG absorbing Porsche, the company will officially be too big and complex for its own good. This is exactly what brought GM down, not the competitors, but GM itself -- too many managerial levels, too many conflicting brands and loss or touch with essence of car manufacturing.
BMW AG is exemplary with its 3 brands that have distinguishable customers; low end segment – Mini, premium segment – BMW, prestige segment – Rolls-Royce. All three manufacturers can operate with an ample degree of independence without running the risk of conflicting with brands under the same umbrella.