On November 27, Thomas Schaefer, CEO of the German Volkswagen Group, announced at a staff meeting that the Volkswagen brand has lost its competitiveness due to excessive costs and declining production efficiency, and in order to cope with the difficulties, the group will reduce costs through layoffs. This decision has been seen as early as August this year, FAW-Volkswagen began to lay off employees and staff deployment, and now, FAW-Volkswagen is the first to start a wave of price reductions in order to rush sales. This article will provide an in-depth analysis of the current market situation of the Volkswagen brand, the decision to lay off employees, and the impact of price cuts on sales.
FAW-Volkswagen laid off employees and deployed employees.
Schaefer admitted at the staff meeting that the Volkswagen brand has lost its competitiveness in the competition due to high costs and reduced production efficiency. In response to this dilemma, the Group will cut costs through layoffs. This decision has been gradually implemented in FAW-Volkswagen in August this year, which means that FAW-Volkswagen will undergo a round of personnel structure adjustment in the future.
The implementation of layoff decisions may bring a certain degree of personnel anxiety and impact in the short term, but for enterprises, it is expected to maintain better competitiveness in the competition by reducing personnel costs and improving production efficiency.
FAW-Volkswagen started a wave of price cuts.
Behind the layoff decision, FAW-Volkswagen is also facing market pressure. It is understood that FAW-Volkswagen dealers generally have serious inventory pressure. At the critical moment of rushing sales at the end of the year, in order to alleviate the inventory problem, FAW-Volkswagen decided to take the lead in starting the price reduction tide. Here are some of the best deals on mainstream models**:
Suteng. 2023 300TSI Transcendence: Guide price 15890,000 yuan, the price of the naked car after the discount is 11490,000 yuan, down 440,000 yuan;
2023 330TSI Excellence Edition: Guide price 17290,000 yuan, the price of the naked car after the discount is 13090,000 yuan, down 420,000 yuan.
Magotan . 2023 330TSI Deluxe: Guide price 22690,000 yuan, the price of the naked car after the discount is 18080,000 yuan, down 4610,000 yuan.
Bora. 2023 200TSI Yuexing Edition: Guide price 12790,000 yuan, the price of the naked car after the discount is 8690,000 yuan, down 410,000 yuan;
2023 200TSI Yuexing Pro Edition: Guide price 13290,000 yuan, the price of the naked car after the discount is 9190,000 yuan, down 410,000 yuan;
2023 280TSI Shuxing Edition: Guide price 13590,000 yuan, the price of the naked car after the discount is 9290,000 yuan, down 430,000 yuan.
Tanyue. 2024 300TSI Deluxe Plus Advanced Edition: Guide price 20790,000 yuan, the price of the naked car after the discount is 15590,000 yuan, down 520,000 yuan.
2024 330TSI Deluxe Plus Advanced Edition: Guide price 21790,000 yuan, the price of the naked car after the discount is 16690,000 yuan, down 510,000 yuan;
2024 330TSI High Energy Edition: Guide price 22990,000 yuan, the price of the naked car after the discount is 17790,000 yuan, down 520,000 yuan.
Tano. 2023 280TSI Time Edition: Guide price 15890,000 yuan, the price of the naked car after the discount is 1160,000 yuan, down 4290,000 yuan;
2023 300TSI Chenguang Edition: Guide price 16990,000 yuan, the price of the naked car after the discount is 12990,000 yuan, a drop of 40,000 yuan.
Golf. 2023 280TSI Pro: Guide price 14980,000 yuan, the price of the naked car after the discount is 12980,000 yuan, a direct drop of 20,000 yuan;
2023 280TSI R-line: Guide price 16580,000 yuan, the price of the naked car after the discount is 13780,000 yuan, down 280,000 yuan.
Volkswagen CC2023 380TSI Eye-catching Edition: Guide price 26790,000 yuan, the price of the naked car after the discount is 19490,000 yuan, down 730,000 yuan.
2023 380TSI Hunting Suit Hunter Edition: Guide price 27490,000 yuan, the price of the naked car after the discount is 1990,000 yuan, down 7590,000 yuan.
Patrolling. 2023 330TSI 4WD R-Line Cruising Edition: Guide price 30590,000 yuan, the price of the naked car after the discount is 24590,000 yuan, a direct drop of 60,000 yuan.
Territory. 2023 380TSI 4WD Flagship Shengjing Edition: Guide price 35990,000 yuan, the price of the naked car after the discount is 28390,000 yuan, down 760,000 yuan.
There are differences in dealers in different regions, the price in this article is for reference only, and the actual price is subject to the local 4S store. ）
The price reduction action shows that FAW-Volkswagen is trying to stimulate sales by **, especially for some popular mainstream models, in order to solve the problem of inventory backlog.
Market status and future prospects.
Looking at the sales ranking of the automobile market in October 2023, FAW-Volkswagen is still the joint venture car company with the highest sales volume, but a large part of its share depends on models such as Sutar, Magotan and Bora. However, the market performance of former mainstream models such as Tanyue and Golf has declined significantly recently, and the inventory problem has intensified.
This price reduction decision may lead to sales growth in the short term, but it is still necessary to pay attention to the impact of layoffs on employees and the long-term development of the company. In the future, whether FAW-Volkswagen can effectively respond to market challenges through layoffs and price reductions will remain the focus of the industry.