German automobile concern Volkswagen (Volkswagen): composition, car brands

Concern Volkswagen is by far the largest in the world. VW Group owns many popular automobile companies and produces stunning cars that are in demand in all developed countries. Well, we should talk more about this largest concern.

Interesting Facts

Concern Volkswagen, or rather its headquarters, is located in Germany, in Wolfsburg. Translated this name as a "people's car." It is very symbolic, because these machines are really in great demand.

It is interesting that in September 2011, the voting shares of the concern in the amount of 50.73% belong to no less famous German holding. Which, as could be guessed, is the Porsche SE. However, it should be noted that the concern Volkswagen owns all 100% of the ordinary shares of this holding. For a long time negotiations were under way to connect VW and Porsche into a single structure. It was planned that it would be called VW-Porsche. But this did not happen (a little later about this will be told).

It is interesting that Martin Winterkorn was chairman of the board of both one and the second concern. But in September of last year, 2015, it ceased to be so.

Concern Volkswagen is a whole 342 companies that are engaged in the fact that they produce cars and provide other services related to cars. It's really impressive.

The beginning of history

So, before telling about what the Volkswagen Group has a team, it's worth briefly telling about its history. Its creator is Ferdinand Porsche. In 1938 the first VW plant was built. Naturally, it was in Wolfsburg.

In 1960, on August 22, there appeared an LLC under the name "Volkswagen plants". After the founding of the FRG, this society became part of Lower Saxony. And the name changed. On the traditional, which remains unchanged to this day. After that, Volkswagen AG began to deal not only with the manufacture of cars and motorcycles, but also with the provision of logistics and financial services. Moreover, even this small enterprise, which produces food products, had this concern.

Further activities

The nineties were difficult for many countries. Germany was no exception, and the concern - especially. Cars "Volkswagen" continued to be popular, but the company still had some difficulties. But Ferdinand Piech, hired by a crisis manager, literally saved the firm. Until 2015, he led the financial processes. And it was this man who decided to expand the concern Volkswagen. The composition, which we know today, could not have existed if Pieh had not been so enterprising and far-sighted.

In the late nineties the company became even more famous, since then there was a division of Volkswagen Bentley, which produced Rolls-Royce machines. However, together with the Munich BMW, which then owned the rights to this brand. Since 2003, "Volkswagen" is no longer engaged in this - the concern "BMW" finally bought the brand Rolls-Royce.

The contract with "Suzuki"

The brands of Volkswagen concern are diverse, but many were surprised by the fact that in December 2009 the German company decided to create an alliance with the Japanese firm Suzuki. But nothing special happened. Concerns simply exchanged shares (the German company withdrew 1/5 of all shares of the Japanese company). And then they made an announcement about the joint development of special cars that can be safely classified as eco-friendly. But the alliance did not last long. Even two years have not passed, as the press officially announced that the companies decided to break off business relations. It happened in 2011, in September.

Subdivisions created in the XX century

The concern Volkswagen in Germany is the largest. Its main subdivision is directly Volkswagen, which produces high-quality cars. This group is not registered as a subsidiary company. This company reports directly to the management of the concern itself.

One of the most popular brands is also "Audi". Its Wolfsburg concern bought from Daimler-Benz for a very long time - in 1964, to be more precise. Then, in the Audi Division came another company, bought five years later, in 1969. And it was the company NSU Motorenwerke. True, it existed on its own not so long - only until 1977.

In 1986 a new acquisition was made. The concern bought out a controlling stake in Seat (53 percent). To date, the Wolfsburg corporation owns 99.99% of all these shares. That is, in fact, the Spanish firm became the property of the German concern. Then, in 1991, VW bought and "Skoda."

Subdivisions that emerged in the late 90's

I would like to say a few words about Volkswagen Commercial Vehicles. This is an independent division, whose activities are controlled by the VW Group. However, it was only after 1995, thanks to the efforts of the previous chairman of the group, who was Bird Wadeaman. Prior to this, the current unit was part of the VW Group. To date, it produces tractors, buses and minibuses.

In 1998, the concern acquired a company that is one that produces really luxurious and rich cars. And this is Bentley. The British company bought the British company together with Rolls-Royce, which was later sold to BMW (as described above).

Immediately after the "Bentley" were purchased "Bugatti" and "Lamborghini." The Italian company was bought not by the Volkswagen concern, but by its subsidiary, Audi. 1998 was remembered by really significant and significant transactions.

Other units

Volkswagen cars are known all over the world. The tycoon produces really good, high-quality, reliable, comfortable and beautiful cars. But the concern is also involved in the sale of dump trucks, buses, trucks, tractors and diesel engines. They are produced by Scania AB, which VW Group bought in 2009. About 71 percent of the company's shares belong to the Wolfsburg concern.

Still no less famous manufacturer of truck tractors, as well as other vehicles - is MAN AG. His controlling interest also belongs to a German company, and for five years now.

Now about Porsche. About him was said at the beginning, but it's worth returning to this topic. 49.9% of the shares of this company belonged to VW Group in 2009. Then, negotiations were held to merge these two powerful companies into a single whole. But this did not happen. VW Group still bought the "Porsche". Thus, the popular producer became the 12th brand in the group. The purchase cost the Wolfsburg representatives almost 4.5 billion euros. Also we had to "attach" one of our shares (ordinary).

And the company owns the most popular motorcycle manufacturer (Ducati Motor Holding SpA) and the ItalDesign Giugiaro studio. He was bought not by VW Group, but by Lamborghini. The remainder of the shares (9.9%) continued to be owned by Giorgetto Giugiaro (one of the founders of the studio).

The case of 2015

In September last year, there was a major scandal around the concern Volkswagen. Then it turned out that about 11 million machines operating on diesel units had software that was activated during the testing. This software significantly reduced the amount of harmful gases released into the atmosphere. It turned out that the level of nitrogen oxides emitted is very high indeed. This scandal around the concern "Volkswagen" flared up very quickly. The company, by the way, admitted its guilt.

This software was installed on models with TDI units (series 288, 189 and 188). The cars were produced for 7 part-time years - from 2008 to 2015. Such "defective" models were well-known "Golfs" of the sixth generation, "Trade Winds" (the seventh), as well as "Tiguan", "Jetta", Beetle and even "Audi A3".

The violation was discovered at a time when a research team from the University of West Virginia was studying the composition of the exhaust gases that were released into the atmosphere while driving.

Penalty and punishment

Naturally, a fine for the concern Volkswagen was assigned for this. In total, the amount was about 18 billion dollars. The calculation was made based on the number of machines. And the amount that you need to pay for a "defective" car, is about 37 500 dollars. Yes, a lot was awarded to the "Volkswagen" concern.

Another of the consequences can be noted a significant decrease in prices set for the shares of the concern. Many experts said that the machine-building industry of the whole country could be affected by this case. Allegedly, the credibility of potential buyers may fall significantly in relation to machines produced in Germany, and the famous "German quality" will not be so much a reference now.

However, such forecasts have not yet come true. And it is unlikely to come true. After all, German companies produce really good cars in every way. "Volkswagen" has so far failed. Some recessions are still observed - sales due to the incident with this scandal decreased by 5.2 percent at the end of last winter. This is in Germany. World sales fell by two percent. However, no one doubts - this is a temporary phenomenon.