Tuesday, July 23, 2013

Slumping VW rolls back US sales targets

Slumping VW rolls back US sales targets

After three years as one of the fastest-growing car brands in the US, Volkswagen has hit a sales rut, and it can't get out. In response, Volkswagen Group of America downgraded VW's 2013 US vehicle sales target to 440,000, from the original target of about 486,000, reports Automotive News. The stair-step incentive program under which dealerships earn bonuses also was restructured early this month, yet VW USA remains committed to its goal of producing 800,000 cars annually by 2018. Many VW dealerships rely on bonuses earned from an incentive program to make a profit, and the program was built around sales targets.

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