Over the past few years, Volvo has emerged as one of the most revered automobile brands in the prospective global market and thus now they are aspiring to launch small-segment cars in the markets. Volvo is in search of a supporting automobile magnate to assist Volvo in the development of its small car variants.
Volvo was earlier owned by Ford Motors but was then bought by a Chinese firm by the name of Geely. This transfer of ownership has made Volvo a bigger enterprise now and thus Volvo is seeking compatriots who can help them with the production costs involved for manufacturing their costs. A joint business enterprise and undertaking is something that Volvo is highly anticipating and there are many offers of alliance but Volvo considering its brand name and brand value will be conducting meetings to ascertain which conglomerate auto-maker should be made an ally and can aggravate the sales of their newest edition of cars in the global market.
There are many factors that Volvo is considering for allying up with another bigwig from the automobile industry. There are certain terms and conditions that Volvo has placed for alliance and the primary one of them says that the profits from the prospective sales of the units will be equally distributed amongst Volvo and the subsidiary ally collaborating in the manufacturing and mass production units. Volvo plans to jointly manufacture new cars and design an engine which can be accepted by both the companies without any second thoughts. Though Volvo will be conducting meeting over short-listing the perfect ally, there has not been any latest update on the fact as to when such a meeting would take place and what outcomes can possibly come up. There have been many potential companies which Volvo is considering as ally but many factors are being worked upon by the core group of Volvo so that they can easily join hands and collaborate together to give an impressive and commendable percentage of sales.
There are many aspirations that Volvo head and Chief Executive Mr. Stefan Jacoby is considering and the primary one is to modernize the brand and expand it in lucrative markets where the demand of cars exceeds the surplus estimate. Volvo have already taken the first step towards modernizing their brand name by giving shape to their all new engine varieties and adding to that they have also designed a new sort of platform which has the capability of strengthening hatchback models to large saloon models. Now the company wants to shift focus towards the booming small car market after selling saloon cars and SUVs.
Very soon Volvo will pull V40 out of its garage following its anticipated response at the prestigious Geneva Motor Show about to be held in March, 2012 after successfully achieving sales targets with SUV and XC90 models.