Tuesday, September 16, 2008

Porsche now has controlling stake in VW, Looking to buy Audi what does it mean?

After the air has settled, VW will once again be under Porsche control. Something which hasn't been since World War 2. Many fear Porsche taking control of the VW Audi Group and using it for their own gain, for example the Cayenne chassis which is a Toureg, and miscellanous parts from the VAG bin and Porsche using other companies underpinnings in a cost saving move to make them more profitable by using existing chassis designs. All of which is becoming the industry standard as Peugeot, Citeron, and Mini (BMW) have a global engine, the newer 1.6litre turbo. And Ford with its P1 chassis which is shared among Ford, Mazda & Volvo. But what keeps Porsche a Porsche is their commitment to quality and the boxer engine design. But in all honesty from a German industrialist/nationalist perspective, it makes sense. Porsche has managed to keep VAG 100% German and protecting it from any future takeovers from entities from the MiddleEast, Europe or the Americas. With Audi competing in the Lemans Prototype 1 category and Porsche the LMP2 I think we are going to see a German marque become one of the biggest car markers in the world which is what in my opinion is the goal. Put favortism and classism aside from a business point of view I think its great.
From an enthusiasts view point I'm in with the crowd who thinks Porsches control could stop Audi or VW from putting out some great vehicles. But with Audi distancing itself from VW with cars such as the R8, RS4 we could see a big shake up in Germany. It seems with the economy in the United States effecting the world and affecting carbuyers, we are going to see more consolidation with Car companies the world over and even see a US car company fall into Foreign control. With current US business managment going the way it is I'm sure we will see something similiar to what has happend with Porsche, VW, Audi.

The game plan from what I can tell is Porsche has always been a toptier player and brought itself back in the early 90s where as VW/Audi brought themselves back from the brink also in the late 90s, mainly due to the 1.8T engine which is an enthusiasts favorite motor to tinker with alongside the B & K-Series Hondas.

The move by Porsche has put them in a position to control some of the greatest marques the world has. The Porsche 911 has always been the pinnacle of performance and the standard by which, the Corvette, Nissan GTR, Audi R8 have all come to compare to. I think we are about to see the birth of a newer German Auto industry with the right people at the helm.