By the end of 2009 the Volkswagen / Porsche merger will be completed with VW purchasing almost 50% of Porsches shares. Then the real work begins! Integrating Porsche and nine other brands under the VW Group (Also known as “Auto Union”) will not be easy.

Porsche originally hoped to take over the VW Group, but due to German state laws and its own debt, it was forced to turn to VW for help. VW board chairman Martin Winterkorn described the company’s merger, saying; VW and Porsche have excellent know-how at their disposal and can use their resources even more efficiently by combining them for additional growth opportunities. Porsche’s American “cousin” would operate autonomously keeping in mind not to offend concerned Porsche enthusiasts.

Volkswagen is also said to be buying 20% of Suzuki Motor of Japan, giving VW a big step forward in compact car markets in Asia and Suzuki benefits in environmentally friendly vehicle technologies. Neither VW nor Suzuki is commenting on the proposed merger at the moment. It is suspected that they will develop hybrids and electric vehicles together

Volkswagens car industry mergers are aimed at reducing costs and developing new technologies in the face of fragile economic economy, in hopes of becoming the world’s largest car maker, overtaking Toyota, by 2018.