BMW’s First Profit Warning in Decade Adds Fuel to Board Tension
- Carmaker said to set up sales working group to gain momentum
- Chairman said to be unhappy with executive departure to VW
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BMW AG’s first profit warning in a decade comes on top of existing leadership tension under Chief Executive Officer Harald Krueger, who’s tasked with reviving sales momentum and staving off encroaching competitors like Mercedes-Benz and Tesla Inc.
Sluggish growth was a problem even before BMW slashed its outlook on Tuesday and said it would rein in expenses. The Munich-based luxury carmaker has set up a special working group to help new sales head Pieter Nota get on the front foot, and Krueger is considering a broader shakeup of the sales structure, according to people familiar with BMW’s strategy.