Purchasing Power
Reading an article from Top Gear recently which indicates how the Volkswagen/Audi group will go about cost cutting. Due to their stronger purchasing power, which covers over 10 different brand names, VAG have purchased a super-jig machine capable of making up to 30 different chassis types - this includes transverse and longitudinal layouts (I.e. VW/Skoda - Audi). It has been suggested that VAG will be able to make vehicles up to 20 percent cheaper than the likes of BMW, Mercedes, etc. The 20% saving will be divided up into thirds: 1/3 on interior quality; 1/3 on price reduction; and 1/3 profit to VAG. This is already evident in the cheaper price for the Polo and Golf R in comparison to other makes of vehicle of similar type. This is in addition to improving the build time and process in developing VAG vehicles and motors - not neccessarily cost cutting.
Cheers
WJ
Reading an article from Top Gear recently which indicates how the Volkswagen/Audi group will go about cost cutting. Due to their stronger purchasing power, which covers over 10 different brand names, VAG have purchased a super-jig machine capable of making up to 30 different chassis types - this includes transverse and longitudinal layouts (I.e. VW/Skoda - Audi). It has been suggested that VAG will be able to make vehicles up to 20 percent cheaper than the likes of BMW, Mercedes, etc. The 20% saving will be divided up into thirds: 1/3 on interior quality; 1/3 on price reduction; and 1/3 profit to VAG. This is already evident in the cheaper price for the Polo and Golf R in comparison to other makes of vehicle of similar type. This is in addition to improving the build time and process in developing VAG vehicles and motors - not neccessarily cost cutting.
Cheers
WJ
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