Threats and Recommendation of Bmw

Topics: Brand, China, Brand management Pages: 3 (810 words) Published: April 30, 2013
Threats and recommendations of BMW:
In this part, this report will focus on the discussion of BMW’ threats of brand equity, and contrapose the threats give some recommendations. Additionally, there are some considerations in brand equity that is a series of capital and liabilities related to a brand’s name and logo that plus or minus the value provided by a product or service to a group or that group’s customers (David A. Aaker, 1996) of BMW and is includes the BMW’ awareness, BMW’s recall, BMW’s image and BMW’s knowledge.

Next, this paragraph will discuss emphatically the threats of brand equity of BMW in China market: Firstly, there is a consideration about the threats of BMW’s awareness that is a well-known brand in the worldwide; however, the imports of cars and local BMW were sold in Chinese market. Additionally, the domestic BMW is not same as imported BMW in the technology and quality (Wei, Y. 2012). Moreover, there are others who have good brand equity no matter the global companies or local manufactures, which have entered into Chinese market. Nowadays, Mercedes and Audi are as the biggest foreign capital enterprises in China, which have similar experience and history with BMW. However, those companies have excessed BMW in the areas of model design, technology and cost in recent years (Reiter C., 2011). Then, there is a threat of brand equity from local manufactures. Some of Chinese factories yield the cars with the more advance technology, and sell the cars with a lower price; even the target positing can suit a number of customers. However, BMW is also suffer from a problem that is the local companies plagiarize the model, for example, the company double rings copy the BMW’ model X1 (Wei, Y, 2012).

In addition, the brand recalled influenced the market in 2010, although it was the obligation of BMW, there are 120,000 cars exist security risks. Some customers lose confidents for BMW (Wei, Y, 2012). Actually, the brand image of BMW is not good in...
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