RABLA An 2010* 2009 2008 2007 2006 2005 Masini casate Volum disponibil Rata de succes 189.000 190.

000 99,5% 32.327 50.000 64,7% 30.466 40.000 76,2% 16.444 16.500 99,7% 15.110 16.500 91,6% 14.607 15.000 97,4%

HISTORY The first practical automobile with a petrol engine was built by Karl Benz in 1885 in Mannheim, Germany. Benz was granted a patent for his automobile on 29 January 1886, and began the first production of automobiles in 1888, after Bertha Benz, his wife, had proved with the first long-distance trip in August 1888 (from Mannheim to Pforzheim and back) that the horseless coach was absolutely suitable for daily use. Since 2008 a Bertha Benz Memorial Route commemorates this event. Soon after, Gottlieb Daimler and Wilhelm Maybach in Stuttgart in 1889 designed a vehicle from scratch to be an automobile, rather than a horse-drawn carriage fitted with an engine. They also are usually credited as inventors of the

first motorcycle, the Daimler Reitwagen, in 1885, but Italy's Enrico Bernardi, of the University of Padua, in 1882, patented a 0.024 horsepower (17.9 W) 122 cc(7.4 cu in) one-cylinder petrol motor, fitting it into his son's tricycle, making it at least a candidate for the first automobile, and first motorcycle;.[6]:p.26 Bernardi enlarged the tricycle in 1892 to carry two adults

BMW: was the best selling premium brand in Romania in 2010 and each balance time to praise accomplishments last year. BMW have the satisfaction that have performed best in 2010 in the premium segment. The press offers very interesting figures, with overall sales at the brand level, and sales models, so see how they were received by the Romanians the latest releases of BMW and Mini brands. So, BMW, Mercedes or Audi? In Romania, BMW clearly won in the past year. Bavarian brand has sold 1574 units in 2010 and has a 31% market share in the premium segment. BMW X5 is BMWs best selling model in Romania, with 395 units delivered in 2010. Not far away, was the model X6 with 326 units sold. In a full range, with models ranging from compact, very expensive SUV they sell best. Well normally that BMW wanted more SUVs in its range, and even planning another model! BMW launched in 2010 its first hybrid models. Romanians were not pleasing; these versions (with very powerful engines, but very expensive), if we are guided by the sales figures. BMW X6 ActiveHybrid Only 6 units (107,880 euro) have been sold and a single BMW 7 Series ActiveHybrid (109,120 euro). If Romanians did not like the hybrids , they were quite tempted by the M versions. In 2010, BMW X6 M 7 (113,708 euros), two BMW X5 M (Euro 111,166) and two BMW M3 (euro 74,772) were delivered to customers. Not even Mini went bad, the newest model, Countryman, sold Mini deliveries that led to 95 units. In 2010, BMW Group sales were 1,461,166 units, of which

1,224,280 BMW and 234,175 Mini. Total growth, compared to 2009, is 13.6 percent. Finally, an interesting statement, found in the press release: I was saying at first that BMW has a 31% market share in the premium segment. Well, who is reported when BMW says premium ? What manufacturers BMW considered a competitor? Well, the following: Alfa Romeo, Audi, Infiniti, Jaguar, Lancia, Land Rover, Lexus, Masserati, Mercedes Benz, Porsche,Saab and Volvo. NIS:NATIONAL INSTITUTE of STATISTICS In the first quarter, the number of passenger car registrations fell by 7.7% compared to first quarter 2010 and the number of vehicles for transport of goods increased by 57.9%, according to a National Institute of Statistics. National Statistics Institute (INS) states that the category of registration in November included a new vehicle registrations in the country or manufactured in other countries, imported used vehicles and lease vehicles sold, excluding vehicle re-registration due to change of ownership. In the first quarter of 2011 in category buses and minibuses were recorded 42.8% increase compared to first quarter 2010, and on mopeds and motorcycles and autoturismne categories have dropped by 12.4% and 8.0%. In November the number of registrations of new road vehicles for transporting goods, the most significant increase recorded under trucks, with 77.4%, compared with first quarter 2010. Compared to fourth quarter 2010, the number of registrations in November passenger road vehicles decreased by 65.1% and road vehicles for transporting goods by 5.2%. The first plus after three years on the car market. APIA estimated an increase of 8% in 2011 Romania car market in 2010 ended the third consecutive year of declines, but ... is preparing for increases. Experts speak of a further seven to eight percent this year. A long-awaited revival after sales of new cars fell by over 18% last year, about 100,000 units. New car dealers in Romania have 106,000 cars sold last year, a volume 18% lower than in 2009, when sales were halved. But optimism is back in market

after the results of the last three months of last year. What have been entirely positive. We are counting on a market in 2011 of 115.00 units of cars. RABLA programme will commence in a timely and significant contribution to the stabilization and market volumessaid vicepreledintele APIA, Brent Valmar. Beyond the piece new car dealers have received a breath of oxygen throughout the state. New car pollution tax favors and more new cars for the second hand. What did, however, car dealers for their own business?

We can talk about an adaptation of the commercial offer to the purchasing power so we can resume development in the immediate future said APIA. Regarding the purchase of new cars APIA representatives are expected in 2011 small cars and those who have low operating costs to be most popular with customers in Romania, whether citizens or about companies. PRODUCT

the physical features of the product, or the intangible aspects of the service covers things you do to make the product more attractive to buy

sd,. PLACE

decisions about where to sell the product or concerns about where the customers are, and how to get to them also includes the "channel of distribution" - meaning, all the different middlemen you use to get the product out to the customer

sdc. PROMOTION

telling the customer about the product promotion is typically sub-divided into o Mass Selling Advertising - which you pay for Publicity - which is free o Sales Promotion stuff you do in the store to get the customer to try the product contests, coupons, free samples o Personal Selling direct contact person2person with a

potential customer sometimes for large industrial sales sometimes for high quality consumer products, like selling a car

sdcc. PRICE

are you going to sell at a high price and make a lot of profit in the short term are you going to sell at a low price to beat the competition and stay in the long term

Car sales fell 51% in January 2010 Romanian car market has recorded a number of units sold in January 4013 with 51% less than the same period in 2009, according to figures APIA. Sales of new cars fell by 51% in January from the same month of 2009 to 4013 units, and compared with December sales fell by 59%, according to statistics of Automotive Manufacturers and Importers Association (APIA). In January 2009, vehicles sold in November 8187. In the first months of this year it sold 537 commercial vehicles, 47.3% fewer than in January 2009, while sales of buses declined by 45% after it sold 33 units. Also, in January 3443 were passenger cars sold, down 51.6% from the same month last year. In contrast, exports of cars has almost tripled in the first months of this year, advancing with 182% to 25,180 units compared with January 2009, when the cars were exported in 8943. Exports of passenger cars increased by 185%, while exports of commercial vehicles climbed 136.5%. Also, in January 3231 cars were imported, 48.5% less compared to the same month last year, when were imported 6724 units. The brands were sold in the first months of this year Dacia, with 782 units, 452 units, Ford, Volkswagen (367), Renault (283), Fiat (234) and Skoda (223). Of the cars sold, 91% were bought "with cash" or in installments, and lease the remaining 9%. Also in the first month of this year, nearly tripled the national car production (175.4%) to 26,117 units. Production of passenger cars

increased by 177% to 24,335 cars, while production of commercial vehicles increased by 152% to 1.782 cars. DACIA RENAULT CASE STUDY CONTENTS 1. Background 2. The Marketing Strategy 2.1. People 2.2. Product 2.3. Price 2.4. Promotion 2.5. Place 3. Goals and Objectives 4. Conclusion 3 1. Background In todays rapidly changing environment products and markets have a limited life expectancy. A company which does not update and change its products and markets is unlikely to be successful for long. This was at the core of Renaults decision to take over Dacia, a long established car producer in Romania, the heart of Romania's automotive industry. Renault has been present in Romania since 1966 and forged the country's automotive industry. Close ties have existed between Renault and Automobile Dacia for 35 years, with various Renault models being assembled by Dacia, under licence through to 1978, thereafter independently. Excluding the SupeRNova, the vehicles currently produced by Dacia are based on former models of the Renault range. On September 29, 1999, Renault acquired 51% of the capital of the Romanian car maker Dacia, amounting to $50 million. Renault has since increased its equity stake to 92.72% and put the entire company on track for rapid, wide-reaching modernization. Built in 1966, Dacia's Pitesti plant covers some 2.9 million sq. meters. More than 2.2 million vehicles have rolled off the production line since 1968. The plant has an annual production capacity of 120,000 vehicles, plus 120,000 engines and gearboxes, with operators working in two shifts. Fully computerized, Dacia is now hooked up to the RenaultNissan Alliance networks. To meet demand, the company has developed a monthly programming system that adapts production to demand forecasts. The modernization of production facilities and assembly lines is an ongoing process. The new Logan launching marked the Dacia brand revival. Once this was launched Dacia could run in its industrial commercial tool and define its new identity with vehicles like Solenza, the Diesel engine on the van, etc. 2. The Marketing Strategy

2.1. People At Pitesti, Renault is working with local players to combat unemployment. This partnership paved the way for the founding of the Development and Solidarity Foundation of the Pitesti-Mioveni region in 2001. The objective is to develop employment in the region by promoting business creation, capital investment and vocational training. Dacia's employees (12,000 employees) are the company's most valuable asset. The present focus on customers implies a veritable "cultural" revolution among employees, in management styles and work organization. The number of hierarchical levels has been reduced. A system to recognize individual performance (personalization of compensation) and collective achievement (bonus for quality progress) has been successfully introduced. Cross-functional work groups and basic work teams have been formed. The organization of the workforce into basic work teams has resulted in the development at the level of each unit of the "customer/supplier" principle. Each unit receives parts from its suppliers and delivers them to its customers with value added. Training was given to 1,200 employees in 2000, in Romania as well as in other countries, particularly in France. To complement its proactive training policy, Renault has set up theAutomobile Academy based in Bucharest. The academy consolidates managerial, commercial and technical training programs for the employees of Dacia, Renault and Nissan Romania. 2.2. Product Romanian car market represents a great case-study for analysts. Today there are in operation several motor vehicle manufacturers, and also a network of suppliers working both for the local assembly lines and for export. The production of motor vehicles over the last years since 1995 is presented in the chart below: In 2005, the local motor vehicle production went up by a strong almost 60% as compared with 2004. This increase was due mainly to the Dacia Logan's production and also to the success the model is already having on many export markets. The market of passenger cars is oriented firmly towards the lower-medium class of family cars (class C) which covers 58.6% of the market, certainly due first of all to the share of the domestic Dacia in the market, but also due to fact that among the imported cars (both new and second-hand) there is also the class C to prevail. Dacia, the leading Romanian brand with a domestic market share of 63.7% offers a complete line of passenger cars and light commercial vehicles at prices that put car ownership within reach of a great number of Romanians. The Logan car, completely of Renault origin (technology, development, rolling chassis, engine, gearbox, etc.) was conceived in the Renault Techno Centre near Paris and meets the Renault manufacturing standards. Logan was a pilot

program for the use of the new numerical technologies in the conception of the product, the tools and the manufacturing process. Another peculiarity of the conception process was that. Logan was a decisive step of the "design to cost" program, introduced by Renault in 1992. Logan meets European security standards. 2.3. Price The Romanian car market is characterized by very low prices: between $3,000 and $10,000. Price is a determining factor in the decision to make a purchase and shapes the market. Even if the purchase of a car is done almost breathlessly, Romanians are not too Western-like about the models they choose, since familycars are dominant, with large cargos. Statistics from APIA have revealed that Romanians favorite car is simple and conservatory. Romanian tastes are not very pretentious regarding aspect, color and price. Other considered elements are viewing consumptions, too. Less appreciated are safety and features, which come first in Western Europe. Within C class a harsh competition takes place among top models. Thanks to its price, Logan can be considered a winner. The young car-star of Romanians is followed by imported cars, with more features and higher quality: Megane Sedan (Renault), Octavia (Skoda), Peugeot 307, VW Golf, Opel Astra and Ford Focus. Following C class, mini A segment cars have attracted many clients, especially Daewoo Matiz and Fiat Panda, Smart and Citroen C2. Around two thirds of the Dacia's production and almost all the Daewoo's production goes to the local market. Dacia and Daewoo are covering together almost all the market for locally made vehicles. The 2005 passenger car sales of local manufacture are shown in the table below. On the local market the range of prices for Logan vary between 6280 Euro and 9620 Euro.

2.4. Promotion Dacias promotion campaign is relied both on direct and indirect marketing. The direct promotion is made through the sales promotions, radio broadcasting, and television commercials. The last promotion campaign was lanced at the end of March 2005, when Dacia initiated a test campaign for the Logan model in order to give its clients the chance to experience the Logan. More than 14,000 Romanians took advantage of the campaign to test the Logan. Dacia is, also, involved in sponsoring national sport events and cultural events. As a member of the Renault Group and an admirer of the French art and culture, Dacia co-sponsored the first substantial exhibition of French art in the last 30 years hosted at the Romanian National Gallery, between the July 15

and October 2nd, 2005, which consisted of 77 works of art (displayed in four sections) coming from the art collections of the most famous Parisian museums (the Louvre, Quai d`Orsay, etc.) and the art galleries in Bordeaux, Caen, Dijon, Lille, Lyon, Orleans, Pau, Rouen, Tours, Picardia Museum in Amiens and the Granet Museum in Aix-en-Provence. 2.5. Place The Dacia vehicles and parts distribution will be assured in most countries through the Renault network. In most countries of the world, repair and maintenance works will be carried out in the Renault Dacia outlets. In Western Europe, the after sale service will be assured by the Renault concessionaries as of January 1, 2005. The Project Logan provides 42 first rank suppliers from different countries: Romania, Turkey, Eastern and Western Europe and a supplier assistance program with the objective of improving the development, the organization, the technical capabilities and the cost management. Production, which began in Romania in 2004, started up in Russia, Morocco and Colombia in 2005, enabling Logan to be sold in 40 countries by the end of the year. In 2005 Logan was the best-selling vehicle in Central and Eastern Europe (over 106,000 units), ahead of the Skoda Fabia, and was available in three body styles. The other countries of West, Central and East Europe as well as those of Maghreb and Middle Orient will follow suite. Logan will be marketed at the end of 2006 in almost 40 countries.

3. Goals and Objectives The Logan Project is part of the international development strategy of the Renault Group, which plans to produce annually more than 700,000 units of this model by 2010. Here are some of the key figures: 350 million Euro budget invested for the development of Logan; sales in 35 countries in 2005; 5 Logan production sites by 2007; 42 first rank suppliers. Renault has embarked on a strategy of profitable growth to achieve its target of annual sales of 4 million vehicles by 2010, of which 50% will be outside Western Europe. The group therefore has to be strategically present in new automotive markets, deemed the principal drivers of growth over the coming decade. Renault has assigned Dacia the task of acting as a highly integrated, low-cost production base,capable of producing entry-level cars that are modern, high quality and robust and of meeting the needs of customers in countries where car ownership is still a remote dream. The plan has engaged Dacia in a process of long-term modernization. The year 2006 represents a new stage in the Logan programme. The Logan Steppe Concept show car,presented for the first

time at the Geneva Motor Show, demonstrates Dacia's intention to broaden the Logan range.

4. Conclusion The brand's purchasing strategy involves developing a culture of quality among its suppliers at the same level as it now insists on for its own production processes. The inclusion of Dacia in the Renault group has already attracted foreign suppliers to Romania, such as Michelin, Cabla, Continental, Johnson 7 Controls, Magnetto and Ficosa. This will help to improve the existing supplier panel, transforming the Arges Valley around Pitesti into a veritable "Automobile Valley".