BMW is leaning on premium vehicles to cope with a planned electric vehicle uptake - Business Insider

  • 📰 BusinessInsider
  • ⏱ Reading Time:
  • 37 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 18%
  • Publisher: 51%

Nigeria News News

Nigeria Nigeria Latest News,Nigeria Nigeria Headlines

BMW is taking a massive risk by leaning on premium new car sales as fears of an impending global recession continue to climb:

Despite the threat of a recession and worse-than-expected car sales in 2019, BMW CFO Nicolas Peter still believes the company's premium segment will experience growth next year, per Automotive News Europe. What is unknown though, is whether this growth will be enough to hold over BMW until the company begins to see returns on its EV investments.

BMW isn't the only company taking on risks with its EV investment strategy. Heavy investments in retooling factories for electric drivetrains are leading to fewer jobs in the auto industry because, in part, EVs require fewer parts to assemble.

Due to changing labor needs, automakers are risking alienating employees at a time they still need them to produce traditional gas-powered vehicles. This is a risk that GM took and is currently paying for — the company is experiencing a labor strike, partially in response to concerns over the shift to EVs. The strike has already cost GM over Join thousands of top companies worldwide who trust Business Insider Intelligence for their competitive research needs.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

A calculated risk that could yield a larger reward than the status quo automakers that choose to be cautious.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 729. in NG

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Volkswagen is in talks with other automakers to share its premium EV technology - Business InsiderVolkswagen is in discussions with other automakers to potentially share the electric vehicle technology it used in upcoming Porsche and Audi EVs.
Source: BusinessInsider - 🏆 729. / 51 Read more »

Apple is looking to become a studio - Business Insider - Business InsiderApple made two announcements that suggest it's seeking studio status, including a five-year content TV production deal with Alfonso Cuarón. For the time being apples cash rich advantage is offset by its reluctance to produce anything anyone wants to watch
Source: BusinessInsider - 🏆 729. / 51 Read more »