Volkswagen AG Overview
Volkswagen AG (Volkswagen) operates through two business divisions, namely, financial services and automotive. The automotive division comprises its power engineering business and involves the development of vehicles and engines, production and sales of passenger cars, light commercial vehicles, trucks, motorcycles, large-bore diesel engines, gas engines, turbomachinery, special gear units, propulsion components, and testing system business. The company operates through four business segments, namely, passenger cars, commercial vehicles, power engineering, and financial services. It offers gas engines through its subsidiary, MAN.
Volkswagen offers its products through various brands, including Audi, SKODA, SEAT, Bentley, Porsche Automotive, Scania, and MAN commercial vehicles. It has 122 manufacturing plants worldwide. The company has a strong presence in North America, South America, Asia-Pacific, and Europe. MAN SE, TRATON SE, and RENK AG are a few of its subsidiaries.
Strategy
Volkswagen invests heavily in research & development to incorporate innovation in its products. Its research & development is focused on developing efficient and intelligent systems for vehicles. For instance, in 2017, the company invested USD 13,120 million in research & development for next-generation vehicles. It strategizes to strengthen its external network through partnerships, collaborations, and joint ventures with electric vehicle start-ups and gain a competitive edge over its peers in the global market.
