|
This article highlights what every car manufacturer has always faced.
To fuel growth: must reaching towards every potential market segment and customer. Product mix becomes more complex increasing costs. "Top line absolves the sins of the bottom line".
GM tried to be everything to everyone but could not for many reasons, including many which were self-inflicted during Roger Smith era.
To reposition and compete: the required investment comes from 2 sources - internal cost savings and corporate debt.
BMW is no different than any other car manufacturer.
"Reducing engine variants and options for different vehicles, scrapping features customers don't use" must be executed very carefully in order not to alienate core customers.
|