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      07-31-2019, 11:51 AM   #106
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Quote:
Originally Posted by Mo@BMWofFairfax View Post
Quote:
Originally Posted by BeamerandBimmer View Post
Porsche is still around is because of their SUVs.
I don't believe that for a minute. Maybe certain models like the 918 and a couple models like the GT2/GT3/GT4 , but the entire brand does is in no way dependent on a single model.
This is the reason Porsche is still around: PEG and the VW Group's 9 Brands

Porche Engineering Group (PEG), Porsche made its wide-ranging expertise in the development and production of vehicles available to clients from a variety of industries. PEG was considered Porsche's "secret weapon, enabling it to employ more engineers than if it worked alone, giving it an edge in product development.

The ability to scale and create synergies across a number of areas were two driving forces that led Porsche to secure its partnership with VW. As Wiedeking explained, electronics was one area of particular interest: "Electronics account for 30% to 35% of our development costs. Spreading this investment over 2 million cars instead of Porsche's 100,000 will make a big difference and the components will be cheaper." Furthermore, the capital intensity of R&D and required fixed assets in new technologies would be increasing, making it increasingly difficult for a premium-only OEM to survive unless operating in the context of a larger OEM.

Check out the entire article below...

https://mitsloan.mit.edu/LearningEdg...g-Porsche.aspx
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