Cheli Filippo 876241

Bijin Babu 876654

Baggio Michela 876690

Short history of Porsche

Ferdinand Porsche founded

the company

1948Ferry Porsche launched the Porsche 356

1964Porsche 911

was presented

1990introduction of

the lean manufacturing 2007

A revolutionary model was launched:

Porsche Cayenne

2014Porsche announced

several hybrid models

1984The company goes public

1931

What Now?

Index 1. Questionnaire «1» - Electric cars'

market;

2. External analysis: Porter’s five forces;

3. Internal Analysis;

4. S.W.O.T;

5. Porsche Mission e;

6. Questionnaire «2» - Porsche’s perception;

7. The business model;

8. Our proposal.

Questionnaire «1»: electric cars’ market

How many Km do you think you can drive with a full charge battery?

What do you think about EV cars' performances?

What main advantage will you look for if you choose an EV car?

Porter’s Five Forces

New Entrants

1. Medium concentration with high attractiveness of this industry;2. Incentives by governments to reduce the CO2 emissions;3. Continuous innovations in battery technology;4. EV cars are easier and cheaper to build compered to the gasoline-

powered ones.

1. Existence of strong brands (i.e. Tesla Motors);2. Economies of scale are not so profitable yet. The cost for the battery of

an EV car is the 27% of the entire cost of the vehicle;3. The existing partnerships between the electric cars’ makers might

discourage new entrants.

Hydrogen cars ICEs cars Hybrid cars Solar cars

Substitutes

Real actors on the EV industry are not so numerous until now.

There are no consistent exit barriers.

Nations around the world have plans to increase considerably the number of electric cars in their own country.

Internal Rivalry

The industry is still young but characterized by a fast expansion of the market.

Medium

concentration

BARGAINING POWER OF BUYERS:

moderate→ Direct consumers in the EV industry

generally less price sensitive.→ Customers have growing

expectation about range and chargetime met today.

→ Through partnerships with newentrants, incumbents are allowed toshare and increase their profit withthe earnings made by their buyers.

Bargaining Power

BARGAINING POWER OF SUPPLIERS:

high→ Strong partnerships between automakers

and batteries manufacturers.→ This young industry is creating some very

dominant suppliers.→ To be more competitive, automakers have

to accelerate the process of innovation byacquiring technology externally.

→ Possible increase in using some specificresources . One of them is the lithium.

Internal Analysis

Internal Analysis – what is driving Porsche?

“If everyone drives a Porsche, it’s not a Porsche”.

lean organisation

innovative features

technologies difficult to imitate

exceptional styling

performances and prestige Luxury

Performances

S.W.O.T.

S.W.O.T.

• Global presence thanks to exportation

• Well performing brand & iconic design

• Already existing full portfolio of hybrid cars

• High quality of products offered

• Waiting list & low volume production

• Specialized employees

• Huge investements requirement

• Very targeted customers

• New market segment focused on fully electric cars (Environmental issues)

• Tax reduction for companies offering EV

• away the shame of dieselgate

• Many potential substitutes

• Competitors are expanding their products’ gamma

• New disruptive technologies

Strenghts Weaknesses

ThreatsOpportunities

Porsche Mission e 16

“Efforts aimed at offering unmistakable emotional design withexcellent performance for the first Porsche four-seat batterypowered; this is the new Porsche Mission E.”

«Creating Tomorrow»

Questionnaire «2»: Porsche’s perception

How long do you think it will take you to completely charge the battery?

How important are extra services unique for the owners of electric Porsches?

How important is it to stipulate directly with Porsche an insurance for the battery?

The Product

→ 600 CV full electric engine (440 Kw);→ From 0 to 100Km/h in less than 3,5 sec;→ Energy recovery during braking.

The car

→ Full charge provides an autonomy of 500km;

→ 80% charge in 15 min sufficient for 400 km

The battery

→ Digital key opens the car to the owner andpeople authorized;

→ Eye Tracking System and instrumentationeye commands;

The extras

Things are going to change…

Porsche is one of the few brands that hasalready presented a prototype ready to beproduced: Mission e.

- Expected growth of EV industry -

The histogram shows the expected growthof the industry: electric vehicles will be35% of global new cars sales by 2040.

The global luxury marques are making plans to compete more directly with Tesla Motors.

0

5

10

15

20

25

30

35

40

45

Price [10^4 $] Speed 0-60mph [sec]

Autonomy[10^2 km]

Charging time[min]

Porsche Mission e Tesla model S Karma Revero

Direct Competitors

Switching Cost

Panamera S Panamera hybrid Mission e

Fuel [€/10’000km]

9,4[L/100km]*1,6[€/L]*100[10^2 km] =

1504€5,8[L/100km]*1,6[€/L]*100[10^2 km] =

928€2,5[€/120km]*10000/120[120km] =

208€

Panamera S Panamera hybrid Mission e

Taxes ↑ ↓ ↓↓

Insurance * = ↑ ↑↑

Maintenance** ↑ ↓ ↓

(*) The insurance price of hybrid and EV vehicles ishigher due to:

→ Higher price of these cars;→ The payout is higher when these cars are

stolen or damaged.

(**) The maintenance cost for gas vehicles is higherbecause the check up for ICE’s car is more frequent.

Business Model

Business Model – company side

Key partnersDevelopment of new coretechnologies internally.Ppartnerships to create a networkfor charging its new all-electriccars.

Key resourcesPorsche will hire 1,400 newpeople to complement its staff.IT and electronics will accountthe 30% of value added share infuture Porsche cars.

Cost→ In the plant in Zuffenhausen;→ In training people;→ In new patents right;→ In R&D;→ In new investment ICT;→ In marketing & promotion.

Key activitiesExpansion of the plant inZuffenhausen.Porsche has created its ownDigitalization CompetenceCentre.

Business Model – customer side

ChannelMotorsport events to presentits new all-electric car,available in 2020 in all itscentres around the world.

Value propositionCustomers will be able to drive aincredibly powerful car withamazing acceleration and to savea lot on fuel cost.

Customer relationshipsPersonalized communications through a unique sales contactoperator for each customer.Global Porsche CRM system to manage customer interactionsand data throughout the customer lifecycle.

CustomerLooks for luxury and high sportperformances;Belongs to the middle-upper class;Needs a very reliable product.

RevenueExpected annual sales of about 20,000 € for the new all-electric car, the Mission e.

Our proposal:

1.The purchase combination;

2.Porsche green network.

Customer property Porsche property Type of contract

Customer

Insurancecontract for thecar’s battery

Leasing contractfor the car’sbattery

Full leasingcontract

Purchase Combinations

Insurancecontract for thecar’s battery

Leasing contractfor the car’sbattery

Full leasingcontract

Porsche Green Network1. The customer who shares its own recharge station

gets some Porsche coins;

2. The number of recharge station available increase;

3. The future extension of electric technology to other

Porsche models can rely on well structured

infrastructure;

4. The customers create a social-network based on

similar value and needs;

5. The company looks more closed to its clients.

Guest Host

Porsche Mission e 28

Thanks for your time…