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Endless Crisis! Volkswagen Faces Mass Layoffs and Technological Crisis: Will It Be the Next Kodak and Nokia Case?

Written by Alisson Ficher
Published on 21/11/2024 at 21:32
A Volkswagen enfrenta desafios globais e internos que ameaçam sua liderança. Será que a gigante alemã repetirá os destinos da Kodak e Nokia?
A Volkswagen enfrenta desafios globais e internos que ameaçam sua liderança. Será que a gigante alemã repetirá os destinos da Kodak e Nokia?
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In The Middle Of An Automotive Market Revolution, Volkswagen Struggles To Adapt To The Future Of Electric Cars. Internal Problems And Chinese Competition Put Its Survival At Risk. Will The German Giant Manage To Reinvent Itself In Time Or Follow The Steps Of Kodak And Nokia?

The Global Automotive Market Is Experiencing A Radical Transformation, Putting The Survival Of Even The Largest Automakers At Risk.

Amidst this turmoil, Volkswagen, One Of The Industry Leaders, Faces Challenges That Raise A Disturbing Question: Is The Company At Risk Of Repeating The Fates Of Giants Like Kodak And Nokia, Who Were Overtaken By Technological Innovations?

According To The Channel DW Brasil, Volkswagen Announced Drastic Measures To Tackle The Crisis, Such As Cost Reductions, Factory Closures, And Mass Layoffs.

The Situation Of The German Automaker Mirrors The Stories Of Kodak, Which Dominated The Photography Market Before Digitalization, And Nokia, A Leader In Mobile Telephony Before The Rise Of Smartphones. But Is Volkswagen Really Fated To The Same Destiny?

The New Automotive Paradigm

The Automotive Sector Is In The Midst Of A Technological Revolution. Today’s Cars Are Computers On Wheels, And External Design And Combustion Engines, Once Major Attractions, Have Lost Their Prominence.

The Current Focus Is On Electric Vehicles, Defined By The Quality Of Their Batteries And The Integration Of Intelligent Systems, The So-Called Software Defined Vehicles (SDVs).

According To DW Brasil, Volkswagen Faces Intense Competition In The Battery Market. “Chinese Manufacturers Together Hold An Overwhelming Dominance In This Sector,” Reports The Channel.

This Means That Western Automakers, Including Volkswagen, Struggle To Compete With The Competitive Prices And Production Scale Of Asian Companies.

A Practical Example Is The Electric Model Volkswagen ID.7. Although Its Battery Can Last Over 700 Km On A Single Charge, The High Price Of Around €55,000 (Approximately R$350,000) Makes It Unaffordable.

Internal Conflicts And External Challenges

In Addition To Technological And Market Issues, Volkswagen Faces A Serious Internal Crisis, With Worker Protests Demanding A 7% Salary Increase And Job Security.

According To DW Brasil, Employees Question The High Dividends Paid To Shareholders While The Company Plans Significant Cuts To Save Up To €5 Billion.

On The Other Hand, The Competition With Chinese Manufacturers And Companies Like Tesla And BYD, Who Are Already Digital Natives, Intensifies The Pressure.

“Electronic Platforms For Vehicles, Which Function As The Brain Of Modern Cars, Are The Future,” Explained The Channel.

However, Volkswagen Still Struggles To Adapt To This Model, With Its Software Subsidiary, Cariad, Delivering Results Below Expectations Despite High Investments.

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Inevitable Comparisons

What Is Happening To Volkswagen Is Similar To What Happened To Kodak And Nokia, Argues DW Brasil.

“The Transition In The Automotive Sector Is Slow, But The Consequences Can Be As Dramatic As Those Seen In Mobile Telephony,” Say The Experts Cited By The Channel.

Kodak, For Example, Led The Market In Photographic Film But Could Not Adapt To Digitalization And Ended Up Practically Extinct.

Nokia, A Telecommunications Giant, Lost Its Relevance With The Arrival Of Smartphones And Companies That Dominate The Market Today, Such As Apple And Samsung.

Thus, The German Channel Warns That Volkswagen Needs To Acknowledge Its Problems And Adopt A “Reality Shock” To Avoid A Similar Fate.

Future Perspectives

Despite The Crisis, Volkswagen Remains The Second Largest Car Manufacturer In The World, Behind Only Toyota.

In 2023, The Company Sold Over 9 Million Vehicles And Employs Approximately 680,000 People Globally.

However, To Maintain Its Competitiveness, The Automaker Will Have To Transform Into A Technology Company To Compete With More Agile, Innovative Rivals.

According To Experts, The Path For Volkswagen Will Be To Invest In Strategic Partnerships.

Recently, The Company Formed Alliances With Rivian, Focused On The North American Market, And Xpeng, Targeting The Chinese Market.

These Collaborations Aim To Accelerate The Development Of Software Technologies And Electronic Platforms.

But Will These Changes Be Sufficient To Ensure The Future Of The German Giant?

While A Definitive Answer Is Still Nonexistent, One Thing Is Certain: The Automotive Market Is Transforming, And Only The Most Innovative Will Survive.

An Uncertain Future At Volkswagen

As Highlighted By DW Brasil, The First Step To Solving Any Problem Is To Acknowledge It. Will Volkswagen Be Able To Reinvent Itself In Time? Or Will We See Another Industry Giant Succumb To Market Changes?

The Revolution Of Electric Cars And The Rise Of Chinese Technologies Represent A Threat Or An Opportunity For Volkswagen? Join The Discussion In The Comments And Share Your Opinion!

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Ronaldo
Ronaldo
22/11/2024 21:46

O artigo e parcial ao colocar a falência do grupo Kodak como inadaptacao a novas tecnologias, mera falácia. A Kodak foi a inventora da câmera digital e não querer desenvolve-la foi uma opção mercadológica ou seja um erro administrativo devido ao vasto portifólio da empresa em implementos para fotografia analogica.

António Sousa
António Sousa
22/11/2024 02:39

Acho que o autor da Nokia, só deve conhecer o celularzinho que teve no passado. A Nokia é atualmente a empresa com maior portfólio de equipamentos de comunicações profissionais. Transmissão Ótica, Rádio, GPON, MPLS, etc.
Tem que ler mais…

Alisson Ficher

Jornalista formado desde 2017 e atuante na área desde 2015, com seis anos de experiência em revista impressa, passagens por canais de TV aberta e mais de 12 mil publicações online. Especialista em política, empregos, economia, cursos, entre outros temas e também editor do portal CPG. Registro profissional: 0087134/SP. Se você tiver alguma dúvida, quiser reportar um erro ou sugerir uma pauta sobre os temas tratados no site, entre em contato pelo e-mail: alisson.hficher@outlook.com. Não aceitamos currículos!

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