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Ankit Punani 11BSPHH010131 MAGNUMOPUS INDEX

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Ankit Punani 11BSPHH010131 MAGNUMOPUS INDEX Ankit Punani 11BSPHH010131 MAGNUMOPUS INDEX Serial no Content Page no Introduction / Origin & Genesis of the brand 1 with associated brand stories and timeline 2-16 Structure & Corporate Management of brand 2 with principal executives and brand managers 16-22 Brand portfolio with a detailed analysis with 3 STP 23-35 Advertising Agencies associated with the brand 4 and covering all strategic brand campaigns 35-42 Market environment including sectoral & 5 industry analysis 43-51 Application of BCG Matrix, Porter’s five forces, 6 Mckinsey 7 s on the brand 52-69 Costing & Pricing analysis of brand portfolio 7 70-72 Consumer Behaviour elements related to the 8 brand and history of brand ambassadors and their 72-74 description. Brand repositioning campaigns (if any) and the 9 reasons for it . 74-81 Competitor analysis including market shares and 10 brand rankings as per interbrand /super brand 82-94 etc. 11 Future and Recommendation 95-107 12 Bibliography 108 2 | P a g e Introduction / Origin & Genesis of the brand A Brand is the "name, term, design, symbol, or any other feature that identifies one seller's good or service as distinct from those of other sellers." Initially, Branding was adopted to differentiate one person's cattle from another's by means of a distinctive symbol burned into the animal's skin with a hot iron stamp, and was subsequently used in business, marketing and advertising Branding started in Sweden in the middle age (476-1492) when the ruling economy was the agrarian and commodities were extracted from the natural world: animal, mineral, vegetables, etc. A brand was the action of burning a symbol into the flesh of a Norse in order to signify ownership of the animal. Entomology tells us that the word ―brand‖ is a degenerate of the old Norse word ―brandr‖. The Vikings may have spread the word ―brandr‖ in England, where it was eventually incorporated into daily language. Similarly this action was adopted in the late twelfth and early thirteenth centuries, through the practice of abjuration. The practice of abjuration meant rejecting or exiling a criminal from England forever. To communicate the status of the exiled person to the world-at-large and in order to identify them as not trustworthy, abjurers‘ thumbs were branded with an ―A.‖ 3 | P a g e In trade law, the term trademark is used instead of the word ―brand‖. Patents and Trademarks were legally recognized for the first time with the establishment of the Venetian Patent law in 1474. The meaning of a brand was later registered in the dictionary in 1552 as ―identifying mark made by a hot iron‖. It was in between the mid 16th century and the beginning of the 19th that the word ―brand‖ began to be related to trade, emotions and trust. A trademark was a symbol that would differentiate the goods between manufacturers. The oldest brands which exist today were introduced into the market in the 18th century and are from the alcoholic drinks sector. This is due to the fact that these products are non-perishable (because they are alcohol based) and thus needed a distinguishing name/symbol so that they could be marketed over a wider area and during a longer time period. Some examples of the oldest brands include ―Twining 1706‖, ―Schweppes 1798‖ and ―Ballantine‘s 1809‖. Even though the first brands had been launched, it was not legally possible to patent something in the U.S. until after the establishment of the Constitution in 1790 and in France with the establishment of the patent law one year later in 1791. In the preindustrial era (1760-1830), agriculture still formed the foremost source of income and employment and most ―consumers‖ produced their own food products. By the end of this era, in 1827, the word brand was broadened and registered in a dictionary as ―a particular make of goods‖. A consumer who perceives a brand as superior is willing to spend more money on it. But how is a brand defined? Kotler (2007, p.636) defines a brand as a ―name, term, sign, symbol or design or combination of them which is intended to identify the goods and services of one seller or a group of sellers and to differentiate them from those competitors‖. This evidence is supported by Doyle and Stern (2006, p.164) who add that ―a brand can be defined as a specific name, symbol or design ... [and] is used to distinguish a particular seller‘s product‖. This assumption reveals that the function of a brand consists of differentiation and identification. 4 | P a g e Volkswagen: Commodity, product, company, brand? Hollensen differentiates between a brand and a commodity by stating that ―Branding is associated with added costs in the form of marketing, labelling, packaging and promotion. Commodities are ‗unbranded‘ or undifferentiated products.‖ Doyle and Stern distinguish the difference between a product and a brand, by saying, that a product ―is anything that meets the functional [tangible] needs of customers. In this context, one can say that a commodity represents basic, unbranded products such as Steel or other raw materials. However, products represent the next level, in this case it is automobiles. As a result, the brand level, which has intangible benefits, is represented by a particular brand in the automobile industry: Volkswagen, the ―people‘s car‖. However, as Randall describes, Volkswagen is a company brand which means, that the ―name of the company identifies the brand. The Group The Volkswagen Group consists of two divisions: the Automotive Division and the Financial Services Division. The Automotive Division, in turn, comprises two business areas: ―Passenger Cars and Light Commercial Vehicles‖ and ―Trucks and Buses, Power Engineering‖. They combine with this structure the Passenger Cars and Light Commercial Vehicles segment and the reconciliation to the Passenger Cars and Light Commercial Vehicles Business Area. The activities of the Automotive Division are centred on the development of vehicles and engines, the production and sale of passenger cars, commercial vehicles, trucks and buses, and business comprising genuine parts, large-bore diesel engines, turbo machinery, special gear units, propulsion components and testing systems. 5 | P a g e The Financial Services Division, which corresponds to the Financial Services segment, combines dealer and customer financing, leasing, banking and insurance activities, and fleet management. The Volkswagen Group with its headquarters in Wolfsburg is one of the world‘s leading automobile manufacturers and the largest carmaker in Europe. In 2011, the Group increased the number of vehicles delivered to customers to 8.265 million (2010: 7.203 million), corresponding to a 12.3 percent share of the world passenger car market. In Western Europe over one in five new cars (23.0 percent) comes from the Volkswagen Group. Group sales revenue in 2011 totaled €159 billion (2010: €126.9 billion). Profit after tax in the 2011 financial year amounted to €15.8 billion (2010: €7.2 billion). The Group is made up of twelve brands from seven European countries: Volkswagen, Audi, SEAT, ŠKODA, Bentley, Bugatti, Lamborghini, Porsche, Ducati, Volkswagen Commercial Vehicles, Scania and MAN. Each brand has its own character and operates as an independent entity on the market. The product spectrum extends from low-consumption small cars to luxury class vehicles. In the commercial vehicle sector, the product offering ranges from pick-ups to buses and heavy trucks. The Volkswagen Group is also active in other fields of business, manufacturing large-bore diesel engines for marine and stationary applications (turnkey power plants), turbochargers, turbo machinery (steam and gas turbines), compressors and chemical reactors, and also producing vehicle transmissions, special gear units for wind turbines, slide bearings and couplings as well as testing systems for the mobility sector. The Group operates 100 production plants in 18 European countries and a further nine countries in the Americas, Asia and Africa. Each working day, 501,956* employees worldwide produce some 34,500* vehicles, are involved in vehicle-related 6 | P a g e services or work in the other fields of business. The Volkswagen Group sells its vehicles in 153* countries. It is the goal of the Group to offer attractive, safe and environmentally sound vehicles which are competitive on an increasingly tough market and which set world standards in their respective classes. Introduction about Volkswagen India With its headquarters in Pune, Maharashtra (India), the Volkswagen Group is represented by three brands in India: Volkswagen, Audi and Skoda. The Volkswagen Group is completing 10 years of its India journey which began with the entry of the Skoda brand in 2001, Audi brand and Volkswagen brand in 2007. Each brand has its own character and operates as an independent entity in the market. Group India is a part of Volkswagen AG, which is globally represented by 9 brands- Audi, Bentley, Bugatti, Lamborghini, Scania, Seat, Skoda, Volkswagen Commercial Vehicles (Volkswagen Nutzfahrzeuge) and Volkswagen Passenger Cars. The product range extends from low consumption small cars to luxury class vehicles and trucks. The Group operates 60 production plants around the world. In total more than 370,000 employees produce more than 26,600 vehicles or are involved in vehicle-related services each working day. The highest volume brand of the Group is Volkswagen. Europe‘s most successful car brand has made successful inroads into the Indian market. Volkswagen presents itself in a variety of segments as a premium manufacturer of high-volume models. As a first step, the Volkswagen brand launched the globally successful Passat in 2007. To expand its portfolio and cater to the mid segment, Volkswagen launched one of the brand‘s bestselling models, the Jetta, in India in July 2008. Both the sedans are being assembled locally.
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