While Gm and ford are implementing the
strategy which toyota and honda employed in Usa the latter are just repeting
the mistakes of the former in India and china.So what is the result Gm is
doing the best in China while the strategy is under use at prsent in India.
Let me begin with the mistake toyota is making.We may all have heard of
the latest problems at toyota india and the dissapointed with Toyota india
over Innova sales.Well toyota have only themselves to blame.They were
supposed to know the customer's choice in India the best.So why did they
think that a high priced Innova would drive up volumes.This is the same
mistake gm and ford had made in USA and where toyota and honda cashed in by
coming in with cheaper and low priced models with good fuel efficiency.
Take the Indian case now while gm and ford have found the perfect vehicle
namely the aveo sedan and the ford fiesta ,toyota has no plans for
anything soon while honda plans only an expensive model[honda civic].Toyota
is only depending on models in the luxury segment[note not premium like
mercedes,bmw etc].This is precisely the mistake which Gm and ford found
itself in USa where it is not in the entry segment or the premium
segment.It is only in these two segments wherea car company can make
profits.This would mean nothing but disaster for toyota and honda.
Although honda is relatively better of than toyota it is not safe either
since its main model[honda city] in India is also under threat.
Hopefully toyota is able to recognise this fact immediately take corrective
measures immediately or else it would be too late for it to catch up in
India and china[The economies of the future] because large US market share
alone will not be sufficient in the future.
Monday, May 01, 2006
Toyota and Honda doing a Gm/ford in india
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this is the reply i got from toyota india.
Dear Mr. Rahul Kumar,
We thank you for your interest shown towards Toyota products.
We have received your feedback and noted the content carefully and it is evident from your mail that you are a well-wisher of Toyota. We fully understand that it is customers such as you, upon whose motivation, we have been growing and prospering in this highly competitive marketplace.
We would like to share that before introduction of new models, various parameters and conditions are considered. This is undertaken to meet the local weather conditions, Indian regulations, competition and market dynamics.
Toyota does have a vision of having a much more competitive market share. Accordingly, based on the above-mentioned criteria, we do have certain model to be launched at appropriate periods. However, you would appreciate that it is not possible for us to share our proposed product line-up at the moment. We would be keeping all Toyota patrons informed through mass-media at appropriate time.
We once again thank you for sparing your valuable time & provide us your suggestions.
Warm Regards,
H Lalitha
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CUSTOMER RELATIONS DEPARTMENT
TOYOTA KIRLOSKAR MOTOR PVT. LTD
Tel.No.: - 080 - 5529 2108 (Direct Number)
080 - 5529 2929 (Board Number)
Fax No.: - 080 - 27287078/79
email:- voc@tkm.co.in
website:- www.toyotabharat.com
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