This research study has been designed with the objective of identifying Volkswagen’s strategies in the Asian markets during financial crisis. In order to do that a brief analysis of the automotive industry has been stated in the study so as discuss the effect of economic slowdown on the regional automotive market and the condition of the Asian automotive market during such situation. It was found that Volkswagen faced challenging situation in the European and American market during 2008-09 due to financial crunch. However, they focused on launch of small car segments for the Asian market as the demand for such products were high. Further they also developed and research innovative strategies to make them their core competencies so as to get an edge over the competitors. Moreover, the Asian market was so much affected by the economic crisis as that of the European market, so countries like China, India, South Korea, Indonesia, Japan, Vietnam, and Thailand showed potential of growth and demand.
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