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Failures teach better lessons than successes. This was true with Porsche, one of the finest carmakers in the world. Since the 1960s, the Japanese car makers, with their unprecedented production acumen were becoming a real threat to Porsche. Porsche''s decision to take on the competition head on only with increased production, proved fatal as it jeopardised its technical innovation, which Porsche had long been known for. The new Chief Executive Officer, Wendelin Wiedeking, who took over the reins of the loss making Porsche in 1993, initiated the turnaround at Porsche. The case highlights the turnaround strategies of Porsche under the leadership of Wendelin Wiedeking. A structured assignment ''304-197-4'' is available to accompany this case.