BMW predicts that next year will still be strong even as many are forecasting a gloomy outlook. It is pinning its success on new models like the revamped 3-Series saloon that arrives at showrooms this February. Due to a quickly rising standard of living in China, BMW is able to break many records with its lineup of lean sport coupes and stunning SUVs by catering to an expanding population of young and rich consumers who are conscious about their status in society.
At an event in Munich, Chief Executive Norbert Reithofer told reporters that next year, the BMW brand would have the youngest model lineup of all its core rivals by far. BMW said that it seeks to report earnings before interest and tax (EBIT) of between 8% and 10% of revenue at its core Automobiles division sustainably, beginning next year.
Reithofer doesn’t think that the euro zone will collapse. He said that the group considers the arrival of the 3 Series saloon on Feb. 11 to be crucial to its plans.
That’s because every third BMW that’s bought belongs to the model family that would later have an estate, a full hybrid and a performance M3. BMW said that the demand in China (the most populous country around the world) is a key factor. Twice many consumers in China want to spend significantly more on their next car purchase than those in the U.S. or Europe.