Essay
D4
- Module
- Unit 1 - Exploring Business
- Institution
- PEARSON (PEARSON)
Complete Unit 1 2016 course Got a Distinction
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Adam El Masmoudi GarciaD4
Political
Governments putting laws in place to reduce CO2 emissions
Volkswagen’s been developing new motors which produce much less CO2, they have also creating an
electric car called e-Up, in order to reduce all the emissions from the past and not break the rules
again. They have been focused on the innovative technology in its products. Blue Motion is a symbol
for interaction of several innovations for Volkswagen such as, Turbocharged Direct Injection (TDI),
Turbo Stratified Injection (TSI), and the start-stop system, the brake energy recovery system based
upon energy recuperation, NOx exhaust treatment, and improved aerodynamic spoilers, bumpers, and
grills as well as low suspension which reduce petrol consumption. So, the use of Volkswagen on this
will be to improve all their models with new technology such as the TDI and TSI. The government
has set up new regulations on emissions which have to be completed, and Volkswagen’s response to
this using innovation will be to use all the new technology in the next models both diesel and electric
vehicles, so they will be able to meet the standards and never cheat again and hopefully restore the
faith of their customers and come back as the highest automaker seller in the market.
Economic
Less spending on new cars in Europe, more demand for new cars in China and India
As the Brexit is everyday closer, Volkswagen will invest more in new cars for China and India as their
economy is growing up faster and they have more chances of getting more revenue and profit. In
Europe the price of cars will rise dramatically, as the value pound will drop dramatically and all the
businesses will raise their prices in order to not loss capital. When Brexit finally occurs, Volkswagen
will probably have loses if they keep producing large amounts of cars in Europe, so they will have to
transport them overseas in order to not make any more losses and try to recover all the money lost
from the Brexit. Volkswagen has the largest market share in China with a 14%, followed by the likes
of Toyota, Hyundai and Nissan.
Therefore, the Brexit will affect really negatively to Volkswagen as all their prices will go down and
the ones who will benefit from it is the consumers, Volkswagen use innovative ideas such as cutting
prices by creating the new cars with other materials, or producing them abroad as in China for
example, steel is really cheap compared to Europe or USA, and therefore they will save up more
money and cut costs, which means that they will not lose any money when transporting and selling
them in Europe.
Social
Customers wanting more communication technology in their cars and more environmentally friendly
cars I.e. fuel efficient or electric.
It is normal to say that customers want the latest technology on the cars they buy, but, apart from this,
they want cars which are environmentally friend and Volkswagen has been producing these cars after
the scandal. To gain the confidence again from their customers, Volkswagen has developed visionary
electric vehicle, and they present to the world “the day after tomorrow”. The latest generation of the e-
Golf, already guarantees customers a fascinating digital experience in the current generation model
with such technologies as the Active Info Display and head-up display. The Volkswagen I.D. will
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