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Cost-Cutting Programme

Cost-Cutting Programme. Erstaunliche Autos. Tompkins & Kosters inc. Table of Contents. SWOT Analysis Cost-Cutting Recommendations Sales-Increasing Recommendations Expectations Q&A Session. SWOT. Strenghts : -Experienced car manufacturer -Established brand name Weaknesses:

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Cost-Cutting Programme

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  1. Cost-Cutting Programme Erstaunliche Autos Tompkins & Kostersinc.

  2. Table of Contents SWOT Analysis Cost-Cutting Recommendations Sales-Increasing Recommendations Expectations Q&A Session

  3. SWOT Tompkins & Kosters • Strenghts: -Experienced car manufacturer -Established brand name • Weaknesses: - Production costs are too high

  4. SWOT Tompkins & Kosters Opportunities: -Fast growing market in China Chinese car sales growth is32% -Many countries offering cheap labour Threats: -Fierce international competition

  5. Productivity Chart Tompkins & Kosters

  6. Cost-Cutting Recommendations Tompkins & Kosters • Close Belgium factory: • Offer Belgium quality managers jobs in Indian factory • Employment programme for Belgium factory workers

  7. Cost-Cutting Recommendations Tompkins & Kosters Introduce 5-day workweek: Increase of productivity Decrease of production costs

  8. Cost-Cutting Recommendations Tompkins & Kosters Select Indian Suppliers: Lower costs Quality agreements in contract Quality checks Transport by ship

  9. Cost-Cutting Recommendations Tompkins & Kosters • Establish factory in India for Chinese Market • Near China • Low labour costs • Sent quality managers

  10. Factory Location Tompkins & Kosters

  11. Sales Increasing Recommendations Tompkins & Kosters Engineer fuel-efficient cars: Discounts in European countries Sales will increase Boosts reputation and brand name

  12. Sales increasing Recommendations Tompkins & Kosters Luxury cars for Chinese market: Produced in India Rolls-Royce sales growth: 53% Bentley sales growth: 43%

  13. Car Sales China Tompkins & Kosters Source: The Economist

  14. Sales-Increasing Recommendations Tompkins & Kosters Covert Advertising: Sponsor films by giving cars Examples: James Bond, Mission Impossible

  15. Expectations Tompkins & Kosters Tompkins & Kosters

  16. Q&A Close Belgium Factory Open Indian factory Select Indian suppliers Engineer fuel-efficient cars Enter Chinese market Covert Advertising

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