Comments on: About Porsche and Volkswagen http://strat.in/2009/07/about-porsche-and-volkswagen/ strategy, management and all that follows ... Wed, 28 Jul 2010 16:25:14 +0000 hourly 1 http://wordpress.org/?v=3.0 By: CSlater http://strat.in/2009/07/about-porsche-and-volkswagen/comment-page-1/#comment-2017 CSlater Fri, 31 Jul 2009 03:21:13 +0000 http://strat.in/?p=1739#comment-2017 This outcome serves Porsche right. I'm a VDUB head for life and couldn't stand the thought of Porsche snaking it way into controlling VW just to plunder VW's coffers. It a shame that the 78 year history of Porsche being independently owned is going to end but Mr. Wiedeking should have know better than underestimate the Mafia Don of the auto industry, Mr. Piech. Time and time again Ferdinand Piech has proven to be a powerful and clever CEO. His only major misjudgment was the VW Pheaton. Sad outcome for Porsche but as they say "if you mess with bull you get the horns". This outcome serves Porsche right. I’m a VDUB head for life and couldn’t stand the thought of Porsche snaking it way into controlling VW just to plunder VW’s coffers. It a shame that the 78 year history of Porsche being independently owned is going to end but Mr. Wiedeking should have know better than underestimate the Mafia Don of the auto industry, Mr. Piech. Time and time again Ferdinand Piech has proven to be a powerful and clever CEO. His only major misjudgment was the VW Pheaton. Sad outcome for Porsche but as they say “if you mess with bull you get the horns”.

]]> By: Anup Joshi http://strat.in/2009/07/about-porsche-and-volkswagen/comment-page-1/#comment-1799 Anup Joshi Mon, 27 Jul 2009 06:50:19 +0000 http://strat.in/?p=1739#comment-1799 Sorry guys for the delay in response. Porsche could have sold the VW stocks. But raising $10B through stocks would have required selling a considerable lot of those shares. And once Porsche had started selling its stocks, the stock prices would have definitely gone down, creating a problem for Porsche in selling the rest and raising the money. About the 51% stocks in VW, though it did mean Porsche had taken over VW, however, it still did not give overall control of the company, managerial and otherwise to Porsche. VW still had its own independent management running the company. In order to get complete control Porsche needed a 75% stake. It was in this effort that ultimately Porsche ran huge debts. Sorry guys for the delay in response.
Porsche could have sold the VW stocks. But raising $10B through stocks would have required selling a considerable lot of those shares. And once Porsche had started selling its stocks, the stock prices would have definitely gone down, creating a problem for Porsche in selling the rest and raising the money.
About the 51% stocks in VW, though it did mean Porsche had taken over VW, however, it still did not give overall control of the company, managerial and otherwise to Porsche. VW still had its own independent management running the company. In order to get complete control Porsche needed a 75% stake. It was in this effort that ultimately Porsche ran huge debts.

]]> By: jagdish http://strat.in/2009/07/about-porsche-and-volkswagen/comment-page-1/#comment-1790 jagdish Mon, 27 Jul 2009 03:37:43 +0000 http://strat.in/?p=1739#comment-1790 Same questions as Shubham asked. Same questions as Shubham asked.

]]> By: shubham http://strat.in/2009/07/about-porsche-and-volkswagen/comment-page-1/#comment-1754 shubham Sun, 26 Jul 2009 08:40:01 +0000 http://strat.in/?p=1739#comment-1754 Very nice article. I did not know the entire twist and the hunter becoming the prey is quite amazing. However I did not understand that why raising $10 B was difficult for Porsche? Couldn't they just sell their stake in VW and get somewhere close to that figure? Plus isn't owning 51% in a company basically means owning it? Very nice article. I did not know the entire twist and the hunter becoming the prey is quite amazing. However I did not understand that why raising $10 B was difficult for Porsche? Couldn’t they just sell their stake in VW and get somewhere close to that figure? Plus isn’t owning 51% in a company basically means owning it?

]]> By: shailendra http://strat.in/2009/07/about-porsche-and-volkswagen/comment-page-1/#comment-1749 shailendra Sun, 26 Jul 2009 08:20:52 +0000 http://strat.in/?p=1739#comment-1749 a great article...never knew so much was happening in the automobile industry .... a great article…never knew so much was happening in the automobile industry ….

]]> By: Mani http://strat.in/2009/07/about-porsche-and-volkswagen/comment-page-1/#comment-1658 Mani Fri, 24 Jul 2009 23:45:37 +0000 http://strat.in/?p=1739#comment-1658 Interesting article Anup, and CONGRATS on your 10th post !! Interesting article Anup, and CONGRATS on your 10th post !!

]]> By: Natrajan http://strat.in/2009/07/about-porsche-and-volkswagen/comment-page-1/#comment-1649 Natrajan Fri, 24 Jul 2009 16:40:03 +0000 http://strat.in/?p=1739#comment-1649 I don't think the whole industry is struggling. Only mismanaged companies like GM and Chrysler are. Ford Motors just posted $2.3b profits. Companies like Toyota are still profitable. So it's not an issue of a struggling industry but struggling companies. I don’t think the whole industry is struggling. Only mismanaged companies like GM and Chrysler are. Ford Motors just posted $2.3b profits.

Companies like Toyota are still profitable. So it’s not an issue of a struggling industry but struggling companies.

]]> By: directory http://strat.in/2009/07/about-porsche-and-volkswagen/comment-page-1/#comment-1636 directory Fri, 24 Jul 2009 11:13:52 +0000 http://strat.in/?p=1739#comment-1636 very interesting as car/automobile indistries are struggling its a good sign :) very interesting as car/automobile indistries are struggling its a good sign :)

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