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Originally Posted by Tleong
I'm also having trouble finding threats and weaknesses that are inclusive to BMW only. ....Are there no threats/weaknesses unique to BMW or am I just missing something?
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While not unique to BMW, I think that BMW is exposed because of their overdependence on the US market, which pays much less for the same vehicle than other markets do. The US is essentially a price driven market for these types of vehicles (sport/luxury/prestige).
I also think BMW is exposed because of the perceived or real quality of their dealer network. The US commonly refers to BMW dealers as "stealerships". That is, and should be, insulting to those who work in dealerships. You are only as good as your distribution chain, and US BMW customers don't appear to value the contribution of BMW dealerships. BMW knows this, and it explains their focus on customer surveys in an effort to weed out the lower quality dealers.
BMW knows that they can't compete on manufacturing competence or volume, so they are going for more niche products. Makes sense. Lots of variations of similar themes. That is why they rebuilt the US plant, to introduce more flexible manufacturing tooling to handle multiple products with less retooling costs. The trouble is that endlessly pursuing niches introduces new problems for a smaller manufacturer. Look at the amount required to certify new models, at the testing costs, at the technical and sales training costs for the distributor and dealer network. In addition, there is the risk of brand dilution.
I would focus on these types of issues over the product issues. BMW is a purchaser of parts and components, an integrator of parts and components, a designer, a product developer, a manufacturer, an assembler, a distributor, and the manager of a dealer network. Which of these can they do really well, and which are more of a challenge? Don't just think of driving a shiny new model, that represents just the tip of the iceberg that is readily visible. It is the bulk of the above list (the stuff under the water) that matters as well.
Just my $0.02