This question is a reply to another students discussion board post. The instructions for re
uestion
This question is a reply to another students discussion board post. The instructions for replying are as
follows:
In responding to at least two of your peers, provide constructive peer review featuring a detailed discussion of the strengths of the paper as well as areas that could be improved. Ask questions designed to help your peers reflect upon their recommendations and deepen their analyses and support.
This is the students initial post that I need to respond to:
Business Project Teams: Based on your evaluation of the internal resources that are available to the company, how can business project teams be efficiently engaged to obtain the most favorable results for the company?
As far as Audi’s business teams, there is little that Audi publishes about its internal structure. Most of what can be learned is through Audi’s press releases. As Europe moves towards reducing emissions, Audi must adapt to these government regulations. In these respect, Audi has two teams actively working towards this goal. One team is Audi’s Marketing division, pushing Audi towards both luxury and innovation. Another team is Audi’s Research and Development division, producing the newest and energy efficient automobiles.
Research and development is the strongest core elements of Audi. It is the essence of its corporate culture and its mission statement, “Process through technology” (“Audi history“). Audi is always striving to be innovative and pushing the idea of what is possible. Their goal is going beyond the norm for a car company. This is the reason that research and development is vitally important to the company. Audi’s intent to become a challenger brand (explorer in greater detail below) hinges on Audi being able to create progressive engineering technology that will separate the company from other car manufactures (Lambert, 2017). This provides an added value to consumers, which will draw them to purchase Audi products. By offering superior technology and innovative products, this creates a consumer need and unfulfilled want. As car manufacturers decide whether or not to follow this new mandate, Audi will have to rely on its research and development to set itself apart from the competitors.
These changes should not cause a dramatic call to action for Audi. Audi has been developing electric car technology such as the e-tron Sportback. In addition, Audi is constantly planning for the future of driving and always striving to change what is possible. One of the ways that Audi is future thinking development is through autonomous driving (Savov, 2017). The project that Audi calls 25thHour, aims to do the impossible, create more time (Savov, 2017). The goal of this autonomous driving vehicle is give back the time that commuting takes away from us (Savov, 2017). The idea is that while the car is driving itself, the passenger could watch a movie or spend time with friends or family (Savov, 2017). Thus, giving back what Audi has deemed as time that is “essentially wasted.” (Savov, 2017) This comes after studying how different individuals commute in various cities (Savov, 2017).
This goes beyond just autonomous driving, but a car that is responsive to human interactions (Savov, 2017). Audi is currently testing on volunteers to see how the human brain reacts to different car stimuli, and then cater its engineering to those reactions (Savov, 2017). Audi is going further than just how the interior of the looks but are observing how different lights and noises would help to add productivity while in the vehicle (Savov, 2017). When referencing the project, premium was used to describe the project by Audi project leaders (Savov, 2017). This project shows just how advanced and forward-thinking Audi’s engineering has become (Savov, 2017). This projected is not anticipated to hit markets until 2030 at the earliest, and even then, would be limited to only select buyers (Savov, 2017). Audi isn’t just visionary; it has concrete findings to back its research (Savov, 2017). This proves that Audi is ready to innovate and create new technology to bring to market. These government regulations will not set Audi back. In addition, Audi has already been putting resources to develop electric powered vehicles, such as the e-tron Sportback and its standard electric vehicles (“The Audi e-tron Sportback concept“).
Communication: Based on your assessment of the business’s public image, recommend communication approaches or strategies designed to mitigate the impact of negative information about the business.
As far as communication, I don’t believe that Audi has to do much additional work. Audi is already working to comply with the new regulations. First, Audi can communicate to its consumers through its marketing. As Audi is marketing its brand as a Challenger brand already, it will be easy to market these new emission free vehicles to its consumers. Audi does this by creating exciting new features such as a wireless charging station. Negative repercussions could come from car enthusiasts who might prefer a traditional combustion engine. Audi has not released communication that it will solely sell electric vehicles yet. In addition, As the emission free regulations are a mandate from the government and not Audi itself, consumers understand why Audi might change its operations.
Solution: Based on the courses of action and their impacts that you previously described, determine an effective solution for the business in the situation it is facing. How does the solution address the governmental action(s) or political challenge(s) faced by the business?
An effective solution for Audi would be to comply with Europe’s regulations of becoming emission free over the next 30 years. Some countries have deadlines that are closer, so the faster that Audi is able to comply the better off the company will be. As alternative energy is forecasted to be one of the most profitable industries for the next twenty years, it will also be profitable to Audi to comply.
Political Influence: Based on your evaluation of external resources, how should the company utilize outside resources and approaches to advocate for the business and influence the political process?
As recalls are announced, the public puts further scrutiny on lobbyists within the automobile industry (Ransom, 2010). Such as the Toyota recall, drew attention to the relationship between lawmakers and lobbyists (Ransom, 2010). In the United States, the public is becoming increasing concerned with lobbyists interfering after the financial crisis and their interference of health care reform (Ransom, 2010). It is difficult for the public to know how much money is changing hands when lobbyists are involved without seeking out the information themselves (Ransom, 2010).
One of the reasons that the public is so fearful is that these lobbyists tend to be former lawmakers and regulators that get hired by those in the auto industry (Ransom, 2010). These lawmakers and lobbyists are friends or have previous work relationships (Ransom, 2010). It is difficult for the public to believe that lawmakers would have the best interest of the public in mind when their work friends are providing gifts (Ransom, 2010).
Interestingly, employees of the auto industry have been joining the lobbyists. After the Toyota in 2010, the plant workers went to lawmakers to convey that although Toyota is an Japanese automobile manufacturer, it does employ 33,000 Americans (Ransom, 2010). Those workers are directly affected by any new regulations to come through (Ransom, 2010). Fortunately, for the public, emission standards and fuel economy are no longer the biggest issues for contention (Ransom, 2010). The auto industry has been pushed to better fuel economy and more advanced safety features from consumer demands (Ransom, 2010). Wade Newton, a spokesman for the Alliance of Automobile Manufacturers states, “We’ve definitely been communicating a different message on the safety and environmental side in the last few years.” (Ransom, 2010) In addition, Newton added “The carmakers have really pushed for a lot of innovations, like hybrids, battery-powered cars, alternate fuels, etc.” (Ransom, 2010) This provides evidence that the public has great influence with automakers to influence change.
As governments push car manufacturers towards becoming emission free it is important to take stake of the business environment. Fortunately for Audi there is growing demand for electric cars. This is an area that Audi has been putting a large amount of resources into, taking form in Audi’s e-tron Sportback (“The Audi e-tron Sportback concept“). One of the more creative ideas for this electric car is a wireless charging station (“The Audi e-tron Sportback concept“). Growing volatility in oil prices and concerns over carbon emissions are pushing consumers towards electric powered and hybrid vehicles(“AUDI AG SWOT Analysis“). By 2020, it is an estimated that nearly 7.5 electric or hybrid vehicles will be sold (“AUDI AG SWOT Analysis“). It is important for Audi to keep these lobbyists as it will help by limiting regulators from changing rules too quickly, and not allowing the companies to catch up.
References
About Audi. (n.d.). Retrieved July 05, 2017, from https://www.audiusa.com/about
AUDI AG SWOT Analysis. (2016). AUDI AG SWOT Analysis, 1-10.
Lambert, F. (2017, June 14). Audi teases Tesla and Elon Musk in a new billboard ad for
upcoming electric vehicle. Retrieved July 09, 2017, from
Ransom, K. (2010, May 07). How The Car Companies Lobby The Government. Retrieved
March 25, 2018, from https://www.autoblog.com/2010/05/07/car-companies-lobbying/
Savov, V. (2017, July 10). Audi’s 25th Hour project makes time the ultimate driving luxury.
Retrieved July 17, 2017, from https://www.theverge.com/2017/7/10/15947784/audi-25th
-hour-autonomous-car-driving-work-time
The Audi e-tron Sportback concept. (n.d.). Retrieved July 05, 2017, from
Please formulate a response to this students post
Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"
