Wednesday, February 6, 2008

VW unveils new minivan to be built in Windsor

German engineering Volkswagen- a car manufacture is planning to rise up to the top by having its new minivan built in Windsor. With a starting price of under US$25,000 Stefan Jacoby, VW's president and CEO expects that VW's new minivan will be between 3 and percent of the North American minivan market. That means Toyota and Honda would loose part of their sales because of Volkswagen's new and upcoming minivan. With such of a big percent, that would mean they would have a production of 30,000 to 40,000 minivans which would help out for the big loss on the Pacifica (Chryslers' minivan) With Volkswagen having this much hype for its new minivan, it just might be enough to bring Volkswagen into the mainstream of the auto market.
Link: http://www.financialpost.com/story.html?id=290435

With Volkswagen selling its new minivan at an amazing price of under US$25,000, sales would rack in as minivans leave the dealership. How this would relate to ch 3 would be how many accounts are linked together. Its like a domino effect in a good way. Customers buy, vehicles leave the dealership, and the manufacture builds more. That gives VW a higher sales revenue and eventually a net income topping last years. With more income coming in, that would mean more and more workers are hired due to the demand. This directs to wages expense to pay for their workers and the jobs that they do. The pricing for parts and shipping of parts are also included as expenses which deducts income. But having Volkswagen build their minivan in Windsor, the cost for shipping wouldn't have a big effect on their overall success.

Having Volkswagen selling their new minivan at a price like this, I wouldn't mind having a VW. Since I'm only 16 and about to get my driver license in March, I could save up the money that I'am making and buy a Volkswagen. Why wouldn't I buy a VW just because its brand doesn't compete as well as the other German companies. (BMW, Audi etc.) As well, it would be a great commuter around the city and Volkswagens' fuel efficient engines. What more could I really ask for? Decent price for a car with a lot of goods and especially the German engineering. I believe that Volkswagens' new and upcoming minivan would put Volkswagen in the main stream of automotive technology.