German luxury carmaker BMW might be the world's biggest seller of premium cars, but the more it sells the less money it makes on every car.
BMW is losing out in the profits race to its rivals and might have to seek help in the form of new alliances to bring costs under control and face the competition.
And the company's image as a producer of fast, sexy cars might have to change, as European Union fuel economy standards ratchet down.
Profit margins have been eroded as the product range has expanded to include smaller, less profitable models like the Mini and 1-Series, and competitors like Mercedes and Audi are taking the lead in making money, as they leverage better economies of scale.
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