Sales Management Assignment: Increasing Pressure in BMW Sales Department

Question

Task

Write a research report on sales management assignment discussing the main reason for increasing pressure in sales department of BMW.

Answer

Abstract
Founded in 1916, Bayerische Motoren Werke, popularly known as BMW, is a German company that produces luxury motorcycles, LMV and HMV. As per the research on sales management assignment, BMW is now a leading manufacturer of the Automotive Sector. Recently the company is facing increasing pressure on sales that has an impact on company's economic strategy. The present research shows the increasing pressure of sales of new models of the car. Here, the research background, rationale, problems, and solution have been analysed with the budget of the new model cars. The project is done with the help of a survey among the employees and critical research in a short time. After the research, it can be concluded that the company is trying its best to produce more products to increase its sell.

Along with that, some employees are also thinking to quit their job because of high pressure. After doing the research some solutions to the problems are identified and the recommendations and benefits of the key solution are discussed as well.

1. Introduction

1.1 Research Background
In the last year, BMW had a press conference in which they stated about their progress around one year. Their selling is increased rapidly and which bring pressure in thei`r sale department. Every year they create a new record in sell. In the year 2018, BMW had sold 2,168,516 vehicles and in the next year, they break their record. And the sale rate was 2,520,357 in the year 2019. These records clearly show their rapid growth which needs more innovation. This change results in extreme pressure in the sales department to develop a new recommendation to maintain its profit rate in the competition.

1.2 Problem Statement
In the current report, the goal is identifying the reason for extreme pressure in the sales department of the BMW Company for developing a new model. When the profit rate is high the demand for innovation and developing a new strategy is also high. To maintain the standard sell rate developing a new model is effective. But this new model creates extreme pressure on the sales department. Developing a new model is affecting the economic growth of the company adversely. This situation demands new strategies to maintain the sale rate in business and decrease the pressure on the sales department.

1.3 Rationale
BMW is a well-known multinational company. Their business growth is increasing rapidly. Every year they break their previous record on selling. To maintain this market position they need more innovation. Their growth is so rapid so they develop a new model to maintain this sale rate. This creates extreme pressure on the sales department. BMW Company maintains a position that breaks the sales record every year so this puts extra pressure on the sales department and also develops a risk in sales. And developing a new model decreases their profit which affects their market position. New strategies are required to maintain their position in the market and decrease the pressure on the sales department.

2. Work Plan and Cost

3. Recommendation for Future Solution
BMW Company needs to develop some strategies to overcome their loss in business and maintain sustainability in business growth. As the company develop rapidly and increase their sale so they need to develop some strategies to maintain their sale. There is ongoing market competition for every sector and the development of a new strategy is necessary.

Pricing is an important factor in developing a business strategy to maintain business sales. If the price is high it does not maintain the customer number for their company. Capital management is an essential factor for financial growth (Sureshkumar 2019). A good capital structure is an important factor for maintaining the sale rate in market competition. But the pricing of the product should be appropriate according to the market price. Too low or too high pricing affects the sale rate of the company. If the pricing is too high it affects customer numbers and in case of too low, it affects business profit.

The manager of the company should maintain a business sale report to check business growth. A detailed financial report is an important factor to evaluate the investment, financial activities throughout the year (Al Awawdeh and Nour 2020). A manager can decide based on the detailed financial report. Detailed sales report also guides to analyze the performance of the staff. Because maintain of business sale depends on various things but the maintenance of the financial report is most essential. It also helps the manager to manage the whole strategies for the development of the company.

Business intelligence is an important tool for developing a new strategy for maintaining a business sale rate. This helps the company to create new value for developing a new strategy (Trieu 2017).BI achieve its full potential to help the company to maintain their business sale if the worker of the company knows the way of using it to develop a potential strategy and reduce the stress on the sales department.BI also guides to develop decisions for enhancing business sales (Arnott, Lizama, and Song 2017).BI data help the manager to analyze the current situation and to find solutions in developing business. Its efficiency depends on few steps which include data collection, storage, analyzing, and reporting. If the BMW Company develops this tool with accuracy it will help them to find a way to maintain their sale record and develop business.

Through these factors like appropriate pricing of the product, maintain financial reports to decide on developing strategy, and using the business tool are the factors that will help BMW company to develop new strategies to maintain their business standard and reduce the pressure on the sales department

4. Conclusion
The current research has shown the increasing pressure for sales on new models of the BMW vehicle company. The problems are identified and solutions to the problems are also recommended in the research work. The price of cars and motorcycles should be affordable and business intelligence tools should be implanted in the company. A detailed annual report of sales should be prepared to examine the growth in sales. The research has been done with the adaptation of some methodologies. A complete survey has been done among the company employees to identify the problem and its solutions. The detailed work report and timeline along with the budget of the t have also been analyzed in the report.

5. References
Arnott, David, Felix Lizama, and Yutong Song. 2017. “Patterns of Business Intelligence Systems Use in Organizations.” Decision Support Systems 97:58–68.

Al Awawdeh, Hanan, and Mahmoud Nour. 2020. “Factors Affecting Earnings Response Coefficient in Jordan: Applied Study on the Jordanian Industrial Companies.” Investment Management & Financial Innovations 17(2):255–65.

Jun, Sunghae, and Sangsung Park. 2016. “Examining Technological Competition between BMW and Hyundai in the Korean Car Market.” Technology Analysis & Strategic Management 28(2):156–75.

Singh, Fulwinder Pal. 2019. “Importance of Research Methodology.” 14.

Sureshkumar, V. 2019. “IMPACT OF CAPITAL STRUCTURE ON PROFITABILITY OF AUTOMOBILE COMPANIES IN INDIA (WITH SPECIAL REFERENCE TO TATA MOTORS LTD. AND MAHINDRA & MAHINDRA LTD.).” 1105–14.

Trieu, Van-Hau. 2017. “Getting Value from Business Intelligence Systems: A Review and Research Agenda.” Decision Support Systems 93:111–24.