Competitive advantage at BMW: An analysis

Date

2011

Authors

Morrison, Kurtis

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Volume Title

Publisher

Bachelor of Commerce Best Business Research Papers

Abstract

BMW is one of the world’s most successful auto-manufacturers, and is one of Germany’s most important companies. Success or lack of success at BMW dramatically affects the automotive industry, specifically the premium segment, and would also affect the German economy’s current account. I reviewed several dozen sources, and conducted personal interviews with those knowledgeable on the topic. As a result, the paper is able to provide an understanding of competitive advantage at BMW. It proposes four advantages that BMW holds which allow the company to compete, and identifies four critical sources of these advantages. It then considers the sustainability of these sources and is able to identify two sources as key strategic sources of sustainable competitive advantage: the ability to create an emotional connection with consumers, and the organizational behaviour characteristics (informal employee networks, cross-functional teams, and organizational culture) that facilitate innovation at BMW.

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Citation

Morrison, K. (2011). Competitive advantage at BMW: An analysis. Bachelor of Commerce Best Business Research Papers, 4, 116–129.