Why is BMW the opposite of Peugeot? Because BMW has a very different strategy. While the BMW ads are all about “driving pleasure”, Peugeot goes a different route and advertises “travel pleasure” instead. Not quite the same, as I will explain today.
Peugeot just announced that they will launch a new car sharing service in the US. This approach is in stark contrast to BMW, who are focusing entirely on delivering a great driving experience for the person behind the wheel instead of creating a mode of transport for people who don’t own a car.
For this reason, buying Peugeot stock now (April 15, 2016), right after having bought BMW stock last week, could be seen as a special form of diversification. It’s a diversification of business strategies. What strategy will succeed? I don’t know, and neither do automotive experts. If they did, then they could immediately retire.
Apart from this rather theoretical justification, I also have emotional reasons. When I bought BMW last week, someone mentioned that they are a happy Peugeot driver. Coincidence? Perhaps, but still a good reason to buy a stock that is ranked first on Obermatt’s latest Top 10 stocks of France.