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Corporate strategy > Audi at a glance > Investor Relations > Audi Worldwide

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Investor Relations Corporate strategy

Vision: Audi the premium brand
The Audi Group first unve ile d its Strate gy 2020 in 2010, the n re fine d it in the following ye ar. The corne rstone s of this strate gy re m ain unchange d and place the e m phasis on sustainable , continuous corporate succe ss. The aim is to e quip Audi for the challe nge s of the future along its pathway to be com ing the le ading pre m ium brand, and to de light custom e rs worldwide . The issue s and m e asure s we re furthe r substantiate d in 2012 and adjuste d to re fle ct the pre vailing e conom ic and busine ss e nvironm e nt. In particular, que stions about growing e nvironm e ntal aware ne ss, the future availability of fossil fue ls, ongoing urbanization and incre asing digitalization and conne ctivity play an im portant role in this conte x t.

The Audi brands strategy 2020

Mission: We delight customers worldwide

The Audi brand has place d e vok ing custom e r de light worldwide at the ve ry he art of its strate gy, as the k e y com pone nt of its m ission. The brand value s sportine ss, progre ssive ne ss and sophistication are convincingly e m bodie d by the products of the Audi brand. In addition to supplying te chnologically advance d, innovative autom obile s, it aim s to ge ne rate custom e r de light in a wide varie ty of othe r ways. The Audi brand has de fine d its unde rstanding of custom e r de light in gre ate r de tail in the following four are as of action, which it e x am ine s, form ulate s and substantiate s as part of an ongoing proce ss: W e de fine innovation

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W e cre ate e x pe rie nce s W e live re sponsibility W e shape Audi We define innovation

Corporate strategy > Audi at a glance > Investor Relations > Audi Worldwide

The Audi brand has se t itse lf the task of offe ring its custom e rs sporty, high-quality and innovative ve hicle s and m obility solutions. That am bition is e x pre sse d in the brand e sse nce Vorsprung durch Te chnik and is e m phasize d by the cle ar, distinctive de sign idiom . Im portant te chnologie s that will play a k e y role in the future , such as e le ctric drive syste m s, lightwe ight construction and conne ctivity are brought to production m aturity. All activitie s involving e le ctric m obility are brack e te d toge the r and de ve lope d unde r the Audi e tron nam e . Lightwe ight te chnology, too, e njoys a spe cial status at the brand with the four rings. Audi has playe d a pione e ring role in this are a e ve r since the introduction of the Audi Space Fram e Audi Space Fram e The Audi Space Fram e is a high-stre ngth alum inium fram e structure into which all pane ls are inte grate d so that the y also pe rform a loadbe aring function.Audi Space Fram e (ASF) in 1994. Its solutions for paving the way for lighte r ve hicle s have be e n gradually re fine d e ve r since . The nam e Audi ultra he adline s this approach. Ve hicle we ights are ste adily be ing re duce d thank s to inte llige nt com binations of m ate rials which include alum inum , carbon fibe r-re inforce d polym e rs (C FR P), m ode rn ste e l alloys and m agne sium . For instance , the ne w Audi A3 Sportback is up to 90 k ilogram s lighte r than its pre de ce ssor m ode l. R e fle cting the incre asing conne ctivity and digitalization of our socie ty, the C om pany use s the um bre lla te rm Audi conne ct to group toge the r all functions that conne ct the drive r with the Inte rne t, the car and the world around him or he r. As we ll as trailblazing assistance and infotainm e nt functions, drive r-frie ndly Inte rne t and sm artphone applications are inte grate d into the ve hicle . We create experiences The C om pany aim s to cre ate spe cial, positive e x pe rie nce s to de light its custom e rs tim e and tim e again. Mode rn sale s conce pts such as Audi C ity, the cybe rstore for urban ce nte rs, are part of this approach. The first location was ope ne d in July 2012 in London, close to Piccadilly C ircus; the com pact pre m ise s allow the growing m ode l range to be pre se nte d com ple te with all color and e quipm e nt com binations, for custom e rs to e x pe rie nce individually. Following the ope ning of the se cond Audi C ity in Be ijing in January 2013, the conce pt is now to be rolle d out in othe r m e ga citie s in orde r to ge ne rate de light am ong pote ntial custom e rs for the Audi brand. The Audi brand can also be e x pe rie nce d close up at e x clusive e ve nts stage d in Ge rm an citie s, which in 2012 include d the Audi C lassic O pe n Air Fe stival in Be rlin and the Ham burg Stadtpark R e vival historic car race . Em otion-pack e d m om e nts are also provide d by the Audi driving e x pe rie nce , with its various driving and safe ty training e ve nts acting as a gate way to m e m orable e x pe rie nce s of the Audi brand. To m ak e the range e ve n m ore attractive for our custom e rs, the ne w Audi driving e x pe rie nce ce nte r is curre ntly be ing constructe d in Ne uburg an de r Donau on a 47-he ctare site . The ne w car colle ction facilitie s at the Audi Forum s in Ingolstadt and Ne ck arsulm offe r our custom e rs anothe r e m otional highlight. In addition to re ce iving insights into the historical progre ss of the brand with the four rings, custom e rs le arn all about the she e r pre cision and care that goe s into the m ak ing of an Audi brand car. Accom panie d by a custom e r re lationship m anage r throughout the e ntire day, custom e rs are give n a pe rsonal tour of the factory, m ak ing the occasion a truly m e m orable one . We live responsibility Audis corporate se lf-pe rce ption e x te nds be yond busine ss succe ss to also include social and e cological aspe cts as part of be ing a balance d contributor to socie ty. The Audi Board of Manage m e nt approve d approx im ate ly a doze n corporate proje cts in the course of the 2012 fiscal ye ar. The se range from the de ve lopm e nt of drive e ne rgy from re ne wable source s, through the first Audi Stak e holde r Forum , to support for voluntary e m ploye e activitie s and a pilot study of the corporate carbon footprint a calculation of how m uch C O 2 is e m itte d throughout a products e ntire life cycle . AUDI AG adopte d various dialogue form ats in 2012 as part of its ne w ve nture into stak e holde r m anage m e nt. The aim is to channe l the opinion of all stak e holde rs that are re le vant for Audi into the C om pany and to we ave the ir e x pe ctations into the corporate re sponsibility strate gy. Ele m e nts of that dialogue include d a se que nce of inte rvie ws with 17 inte rnal and 17 e x te rnal stak e holde rs, an online surve y of alm ost 500 participants and a stak e holde r forum in Ingolstadt atte nde d by 60 re pre se ntative s from the worlds of busine ss, scie nce , non-gove rnm e ntal organizations (NGO s) and politics. By way of gauging its own sustainability pe rform ance , AUDI AG m ore ove r took part in the re nowne d rating proce ss of oe k om re se arch. The C om pany was awarde d the distinction of C orporate R e sponsibility Prim e Status in re cognition of its above -ave rage contribution to social and e nvironm e ntal com patibility. C orporate de cisions as we ll as future activitie s and guide line s are base d on the findings of the stak e holde r surve y and the sustainability rating, as a m atte r of corporate re sponsibility. We shape A udi

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Corporate strategy > Audi at a glance > Investor Relations > Audi Worldwide

In orde r to m aintain our sustainable and profitable growth in the future , our structure s and proce sse s are constantly be ing re fine d and de ve lope d. As we ll as our continuing m ode l initiative and volum e growth, we are placing the e m phasis on incre asing inte rnationalization and the de ve lopm e nt of ne w te chnologie s and are as of busine ss. It is the re fore vital to have an organization that is e quippe d to handle such task s. Product and inve stm e nt de cisions are m ade spe cifically on the basis of custom e r be ne fit. W ith the ir e x pe rtise in and passion for the products of the Audi brand as the starting point, all e m ploye e s play a k e y role in the succe ssful re alization of qualitative growth.

Superior financial strength

The C om panys financial stre ngth is m e asure d in te rm s of a sustaine d, ste ady de ve lopm e nt in profit. In k e e ping with a value -orie nte d corporate m anage m e nt approach, growth the re fore only m e e ts the pre m ium standards of the Audi Group if it is sim ultane ously profitable . Q ualitative growth is the re fore a top priority for us as a strate gic corporate obje ctive . This is achie ve d above all through e ffe ctive and e fficie nt structure s and proce sse s, syste m atic inve stm e nt m anage m e nt and the ongoing optim ization of costs. A high le ve l of se lf-financing he lps to pre se rve the C om panys scope to inve st and act. The obje ctive of fundam e ntally cove ring inve stm e nt from se lf-ge ne rate d cash flow the re fore re m ains a k e y pillar of our corporate strate gy.

Continuous growth
In a challe nging m ark e t e nvironm e nt, the Audi brand se t a ne w de live rie s re cord in 2012 in handing ove r m ore than 1.45 m illion ve hicle s to custom e rs. This positive de ve lopm e nt is prim arily attributable to the attractive , dive rse product range , which was again continuously re vitalize d and broade ne d in the pe riod unde r re vie w. Alongside the ne w Audi A3, which m ade its de but in the past fiscal ye ar, the Audi brand adde d m ode ls such as the A1 Sportback and the sporty S6, S7 Sportback and S8 to its product range . The C om pany inte nds to incre ase de live rie s of the Audi brand to 2.0 m illion ve hicle s by 2020. To that e nd it will m aintain its product initiative and furthe r incre ase its m ark e t share s in a large num be r of sale s m ark e ts. The Audi Group is conse que ntly adding to the num be r of its de ale r and se rvice outle ts worldwide . The Audi Groups worldwide production ne twork is also unde rgoing ste ady e x pansion. Be side s a ne w car production line , which is curre ntly be ing built at Gyr (Hungary), Audi is ste pping up its pre se nce with the construction of a ne w plant in Foshan (C hina) and the building of a ne w production location in San Jos C hiapa, C e ntral Me x ico.

Global image leader

A strong brand and a positive im age are k e y succe ss factors for a pre m ium m anufacture r. The y pave the way for lasting corporate succe ss. O ur goal is the re fore to k e e p ste adily im proving both our im age position and our attractive product range , while binding custom e rs e m otionally to the Audi brand. A large num be r of national and inte rnational awards in the 2012 fiscal ye ar again se rve d to confirm the positive im age and public e nthusiasm for the brand with the four rings.

Attractive employer worldwide

In orde r to re alize its strate gy of be com ing the le ading pre m ium brand worldwide , the Audi Group is re liant on the e x pe rtise and com m itm e nt of the be st and m ost highly qualifie d e m ploye e s. Espe cially in light of its continuing inte rnational e x pansion and global pre se nce , it is the re fore e x ce ptionally im portant for our C om pany to be pe rce ive d as an attractive e m ploye r worldwide . The Audi Group the re fore offe rs its e m ploye e s a challe nging work ing e nvironm e nt with a wide range of opportunitie s to de ve lop, as we ll as attractive , com m e nsurate pay couple d with high job se curity. To assure a consiste ntly high le ve l of e m ploye e satisfaction, we re gularly conduct inte rnal e m ploye e surve ys. The Audi Groups high attractive ne ss as an e m ploye r is m ore ove r confirm e d by a large num be r of e x te rnal surve ys conducte d both nationally and inte rnationally.

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