| Porsche is known for producing small but | | | | the Porsche family. Piech was also the former |
| immensely powerful engines. The same can be | | | | CEO of Volkswagen and now hold the chair of |
| said about the company---small but powerful. | | | | the upper supervisory board. And recently, in the |
| Porsche is a German automaker renowned for its | | | | most cunning display of power and influence, Piech |
| lines of sports car. News has it that the German | | | | and Wiedeking have conspired to oust Bernd |
| sports car maker is getting closer to its goal | | | | Pischetsrieder who is the former boss of BMW |
| which is to control Europe's largest automaker, | | | | and VW CEO. He was replaced by Martin |
| the Volkswagen Group. It should be noted that | | | | Winterkorn who is a protégé of Piech. |
| Porsche is one of the largest shareholders of | | | | |
| Volkswagen with a total of 27.4% and is planning | | | | Piech has also previously worked at Porsche |
| to further increase its stakes if not for the | | | | where he was responsible for the launching of the |
| Volkswagen Law. | | | | 917 racer. Afterwards he went to Audi and |
| The Volkswagen Law limits the voting rights of | | | | started the Quattro revolution. When finally |
| shareholders in the company to 20% regardless | | | | became the CEO of VW he foster quality |
| of how large their owned shares are. Another | | | | turnaround which helps VW and Audi to obtain a |
| provision on the VW law also gives the right to | | | | place in the premium car segment. He also |
| the State of Lower Saxony to appoint directors | | | | introduced a platform strategy to control costs. |
| regardless of the fact that they are not the | | | | There is a strong partnership between Porsche |
| largest shareholder of the company. The VW Law | | | | and Volkswagen not only because of family but |
| is nothing but unfair to Porsche. This is also the | | | | also of interest. Porsche wants to increase its |
| very reason why Porsche would like the VW Law | | | | stakes in Volkswagen to protect its investment |
| to be abolished. | | | | and also to make sure that its ongoing |
| The Volkswagen Law was ratified in 1960 during | | | | cooperative efforts with Europe's largest |
| the time of privatization following the postwar. | | | | automaker will not be jeopardized. At present, the |
| During that time Volkswagen was rescued by the | | | | German sports car maker is sharing production |
| allied and German authorities. The VW Law was | | | | facilities with Volkswagen. Europe's largest is also |
| created to protect the company from any form | | | | the supplier of quality parts to Porsche like |
| of takeover. | | | | Volkswagen pressure plate and others that are |
| But currently the European Court of Justice has | | | | used to build cars. |
| begun to criticize the VW Law stating that the | | | | Some of the vehicles produced by Porsche in |
| law hinders the flow of free capital which | | | | partnership with Volkswagen are Cayenne and |
| increases the possibility for it being cancelled. | | | | Touareg SUVs. The upcoming Panamera sports |
| Furthermore it is also expected that if ever the | | | | sedan will have its body built at the VW's Hanover |
| law is repealed the State of Lower Saxony might | | | | plant and will use VW Audi electronic bus systems |
| sell some or its entire 20.8% stakes in | | | | plus other parts such as safety electronics, |
| Volkswagen and the probable buyer is none other | | | | infotainment, security and climate detecting |
| than Porsche. | | | | gadgets. |
| Wedelin Weideking, Porsche boss has expressed | | | | But according to some reports the interest of |
| his desire to increase the company's stake in | | | | Porsche to Volkswagen goes beyond pure |
| Volkswagen to 8.6 billion Euros or $11.2bn. But | | | | business interest - some say that Wiedeking |
| why does Porsche has such care for | | | | thinks that he can do a much better job than any |
| Volkswagen? Even before, Porsche has already | | | | of the bosses in VW. The ousting of |
| have had a big influence at Volkswagen brought | | | | Pischetsrieder is seen by many as a means of |
| by the fact that part of Volkswagen takes its | | | | slowly taking control of Volkswagen. |
| root from Ferdinand Piech, who is a member of | | | | |