From “Vorsprung” to vulnerable – how Bosch struggles for survival in an industry disrupted by China

Abstract

Bosch is facing major challenges: The EBIT margin is 4.3%, well below the target of 7.5%, with profitability in the mobility sector declining. Strategic mistakes, such as the withdrawal from battery cell production, have cost Bosch market share, while Chinese competitors continue to grow rapidly. Collaborations with German OEMs have been unsuccessful, as Chinese manufacturers are increasingly dominating their own value chains. The following report analyzes Bosch's situation and lays out strategic recommendations.