A week before its general meeting, the German firm presented this Thursday, June 16 its new strategy for 2025 through its CEO Matthias Muller who says “Volkswagen has to be much more efficient to fund significant investments to demonstrate our leadership role «before retorting by the announcement of the group’s intention to launch by 2025 thirty new electric models to stimulate the ambition of the auto giant to dominate the world market.
The post – MEA CULPA
Since the famous Diesel Gate , Volkswagen’s international image has taken a big boost, according to the CEO of Volkswagen , “the future is the most ambitious , that is why we launched the proposed historic transformation of the firm, which is to see a car out of four of our plants that is electric . ” The models will be spread over the different
Group brands (Seat, Audi, Volkswagen,). As for batteries, the great need will be covered by a full production at the Group’s plants spread over 26 sites worldwide and employs 67,000 people. Thanks to this new strategy, Volkswagen wants pioneer of eco-mobility.
The funding ” how “?
The group has in assets 25 billion dollars of liquidity and investment strategy for 2025 requires no less than 10 Billion Dollars. Forcing the top management of the group to reduce selling and administrative costs to less than 12 % of revenues, enabling the group to improve its operating margin of 7 to 8% in 2025 from 6% current. Volkswagen will improve its profitability by 8 Billion after implementing these measures.
