By 2017, Volkswagen plans to generate savings worth EUR5bn (US$6.8bn) in order to boost profitability at its namesake brand.

According to Bloomberg News, the company plans to increase productivity and cut costs to achieve this target. It plans to cut factory costs, reduce complexity and lower purchasing expenses.

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Further, Volkswagen intends to share parts and development costs among all its 12 brands for setting off the heavy wage bill. It also plans to outsource production of components to increase profitability.

Meanwhile, Volkswagen aims to record a margin of 6%.

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