Trouble at Volkswagen

[gm1985]

Martin Winterkorn the chairperson at Volkswagen has threatened to resign if Porche (a majority shareholder) vote to take more control of the day-to-day operations of Volkswagen.


http://www.carbloguk.co.uk

[1931Chevy]

I bet that if Winterkorn resign Ferdinand Piech will put his name on the ballot to be named Chairman of VW

[EldoFan]

A big question in my mind: is Winterkorn just dicking around/playing politics, or is he actually trying to buy time for VW to turn around/fix problems (which would only be prolonged/exacerbated by Porsche's interference) ??

[SwampFoxZ71]

Originally Posted by EldoFan

A big question in my mind: is Winterkorn just dicking around/playing politics, or is he actually trying to buy time for VW to turn around/fix problems (which would only be prolonged/exacerbated by Porsche's interference) ??

Why is Porsche's control such a problem? Porsche seems to be doing okay financially so they must know how to do something right.

[syr74]

Originally Posted by 1931Chevy

I bet that if Winterkorn resign Ferdinand Piech will put his name on the ballot to be named Chairman of VW

Precisely. When I first heard this my first thought was of Piech muttering "What took him so long?"

Originally Posted by Eldofan

A big question in my mind: is Winterkorn just dicking around/playing politics, or is he actually trying to buy time for VW to turn around/fix problems (which would only be prolonged/exacerbated by Porsche's interference) ??

Power struggle. Right now Winterkorn has it and Piech wants it back. Winterkorn is fighting for relevance and is almost certainly fighting a losing battle.

[jry]

And now, an embarrassing recall. The new SUV having engine problems. Acceleration that cannot be controlled with the A/C on. So, they cannot sell any more of these until they get the problem corrected. If you already own one, leave the A/C off until the dealer can fix it.
Put that on your cute little "late night" commercial.
Wooo (cue the drummer chick) Ba boom boom boom.........

[ctaylorzl1]

VW has much to bennifit from Porsche, like their exempilary quality record! Something VW has had a tough time with as of late!!!!But I really like the direction that VW has went with their products, and I would hate to see Porsche change that!

[seeg]

Originally Posted by SwampFoxZ71

Why is Porsche's control such a problem? Porsche seems to be doing okay financially so they must know how to do something right.

They could interfere with Audi's product as well as the other brands so that they don't compete with Porsche's product.

[Ach]

Originally Posted by SwampFoxZ71

Why is Porsche's control such a problem? Porsche seems to be doing okay financially so they must know how to do something right.

Running a company with a narrow, niche-oriented product line is a far cry from managing a sprawling, full-service company like VW that produces cheap economy cars (Skoda), high end luxury cars (Bentley, Audi) and everything in between.

[benroethig]

VW needs someone running who can pick a direction and stick with it. Half the company wants them to be near lux and the other half wants to be a mainstream brand.

[Bravada]

Actually, everybody and their grandma wants to be near lux. I recently read the interview with the German head of SEAT (no other way to reverse the old "German passion, Spanish engineering" adage then send a German to run SEAT), and he is totally mentally lost as to what he manages. Previously, he was head of freaking procurement!

The result is a totally lost brand making KIA lookalikes with pig noses, plasticky interiors, costing the same as VWs, powered by 1.2 engines and posing as "sporty". Nobody cares, and it seems even VW doesn't.

They could at least bow down and say that even if VW is now "upmarket", Skoda is "upmarket" than at least SEAT is the Volkswagen of today and give them the Fox and Gol.

[SwampFoxZ71]

Originally Posted by Ach

Running a company with a narrow, niche-oriented product line is a far cry from managing a sprawling, full-service company like VW that produces cheap economy cars (Skoda), high end luxury cars (Bentley, Audi) and everything in between.

Maybe, but as someone else suggested...at least Porsche management understands their niche and how best to go about bringing the appropriate vehicles to bear in that niche, for profit. It seems like VW/Audi have lost that understanding. Too many of VW's and Audi's vehicles in the US cross over on price points and on the outside, appear too close in their respective niches.

I will venture to say that until this latest version of the Rabbit and Jetta, VW had lost its way completely. The whole company needs to better cater to their niche in the markets and that may be a focus Porsche can help bring.

This is something I still see GM struggle with at times, though they are starting to do this better.

And Audi would not overlap too much w/ Porsche since most of Audi is a lux-sport mix and Porsche primarily sport. I don't see them as on equal footing.