Adapting to Changing Market Conditions: BMW’s Strategy for Electric Cars
BMW is taking a flexible approach to the development and production of electric cars, aiming to adapt to fluctuating global market conditions. The company plans to retain its traditional combustion-engined and hybrid models alongside its new pure-electric cars.
According to BMW’s product boss, Bernd Körber, the company will continue to build cars on its natively front-wheel-drive and rear-wheel-drive platforms. This decision allows BMW to maintain its existing powertrain options and be responsive to changes in market demand.
This strategy is also evident at BMW-owned Mini, where petrol and electric Cooper models are identical in terms of style. However, they are built on different architectures—one on a bespoke electric platform in China and the other on a traditional combustion-engined structure in Oxford.
The rationale behind this approach is to have the flexibility to shift production based on market trends without having to close plants or reduce production capacity. Körber explained that BMW can easily switch between different drivetrains if a market shifts in one direction.
Jochen Goller, BMW’s sales boss, emphasized that while estimates on electric cars were previously too optimistic, the prevailing trend now is growth coming from electric vehicles. Goller believes that as more models with longer ranges and shorter charging times become available, many of the barriers to purchasing electric cars will be removed.
BMW’s strategy highlights the challenges automakers face when transitioning to electric vehicles. The uptake of electric cars is heavily influenced by regulations and customer needs, which can vary across different markets. By maintaining a flexible production approach, BMW aims to navigate these challenges effectively.
This approach also reflects the current state of the electric car market. While there is growing demand for electric vehicles, combustion-engined and hybrid models still play a significant role. Automakers need to strike a balance between meeting current market demands and preparing for the future.
In conclusion, BMW’s strategy of retaining traditional combustion-engined and hybrid models alongside its new pure-electric cars demonstrates its adaptability to changing market conditions. By maintaining flexibility in its production processes, BMW can respond to fluctuations in demand for electric vehicles while ensuring a smooth transition towards a more electrified future.
