The competitive and digital business strategies within Audi are set with the goal of retaining the ‘ability to personalise customer experience and to simplify the way the services are delivered’, relaying ideas within a McKinsey Quarterly article (D’Emidio et al. , 2015). Within Audi there is a strategic position of the firm which are determined not only by the direct competitors but also by the four environmental factors such as new market entrants, substitute products, customers and suppliers.
All firms hold competitive and strategic elements, Audi and other automobile manufacturers are continuously elevating and adapting their products, services, efficiencies and goals. This creates the space in the market for competition and diversity however new companies such as Polestar (a Swedish electric car brand) would have new equipment, younger workers and a lower cost leadership due to little brand recognition, therefore products e.g. electric cars, will sell for less than Audi regardless of the quality of the vehicle.
Audi has created a name associated with luxury services and product in which customers feel that the costs of products match the level of opulence they are receiving. This allows the brand to stay competitive in the market simply due to their name and associations, using this to an advantage the price of products can continue to rise and there will be an acceptance within the clientele to continue paying those prices allowing Audi to advance development and to devise new products from the large profit.
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