Problem
If Volkswagen achieves its goal of manufacturing and selling 10 million vehicles yearly by 2018, it will move into first place as the world's largest automaker. With this in mind, Volkswagen is redesigning its vehicles so more parts fit more models, an important consideration for a company with facilities in so many countries. "We're creating a system that enables us to produce vehicles based on this architecture at any factory," explains a Volkswagen executive. The company's joint ventures in China are also a key advantage in its expansion plans. China has the potential to be Volkswagen's largest market within just a few years because of higher demand from the ever-growing middle class. Volkswagen is already the top-selling foreign car brand in China, and building on that success will only add momentum to the company's global growth.
Questions
1. Can Volkswagen be considered a multinational firm? Explain your answer.
2. Do you agree with Volkswagen's CEO's statement that a car company has to be successful in the United States if it wants to be number one in the industry? Why or why not?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.