Quote:
Originally Posted by carnuts3
Another way to address the currency problem is the do the opposite - that is lower the price (or keep the MSRP significantly lower than the competition) which would increase unit sales, thereby increase profits as well as market share.
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I believe this to be the most accurate of statements. We must remember that BMW is a global company with global competitors. There are many things a global company can do to offset profits as it relates to the exchange or interest rates, such as purchasing specific bonds or options.
A good way to look at things is a grocery store. Grocery stores do not make huge profits on food. what they make is a small percentage over and over creating larger profits. BMW has said it wants to sell more, and this should be an indication they need to increase profit margin. So how does a company sell more cars? i think you can fill in the blank there.