“The main goal is not to increase sales,” said Arno Antlitz, the German company’s chief financial officer, according to the Financial Times.
“We are focused on quality and margins, rather than volume and market share.” According to him, Volkswagen will reduce its range of petrol and diesel cars – which consists of at least 100 models from several brands – by 60% in Europe over the next eight years.
VW’s new strategy is a sign of profound change in the automotive industry, which for decades has tried to sell as many cars as possible each year by relying on lower-cost products.
Severe chip shortage caused by the coronavirus pandemic has forced carmakers to cut production last year in the face of growing demand. This has allowed brands such as Mercedes and BMW to demand more for their models and make record profits in 2021, despite the fact that they have sold far fewer vehicles.
A similar strategy has catapulted VW to the top of the German Dax earnings rankings, with pre-tax profits of over € 20 billion. The company has prioritized the more expensive vehicles produced by its Audi and Porsche brands.
–
For the most important news of the day, broadcast in real time and presented equidistantly, LIKE our Facebook page!
Follows Mediafax on Instagram to see spectacular images and stories from around the world!
The content of the website www.mediafax.ro is intended exclusively for your personal information and use. It is prohibited republishing the content of this site in the absence of an agreement from MEDIAFAX. To obtain this agreement, please contact us at [email protected].
