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Sunday, March 02, 2008

Chevrolet Tavera -The difference between GM and Toyota


You want to know why the Japanese manufacturer is such a dominant force in the automobile world and why GM is having such a hard time,look no further than the Chevrolet Tavera.

Toyota India initially identified the MUV space which could get them sales in the Indian market somewhere where they would have no competition but knew prices had to be kept on the lower side since this segment was totally new in India and people had not yet accepted the Toyota brand in India.So they bring the more than a decade old Toyota Qualis into the market and since they have no real competitor establish themselves well and are able to generate a good degree of sales.GM was fortunate enough to have a similar vehicle in its global stables and brought in the Tavera,which was good enough to take on the Qualis.

So what did Toyota do they upped the game brought the latest generation MUV the Toyota Innova into India inspite of very good sales of the qualis and repeated requests not to discontinue the qualis.Toyota realised that they could get into the luxury car segment as well and not only depend on the tourist/commercial segment if they do so.What it also meant that Toyota could make more profits from this luxury oriented and consequently higher priced MUV.

GM has alway had to play the catch up game with Toyota.Today sales of the Tavera have stagnated.The outdated nature of the Tavera has kept it out of the Private buyers radar.This really creates a bad image of the vehicle and the company.It is the Taxi/commercial segment who are the main segment of consumers of the Tavera today.The end result is Toyota is able to sell many more Innova's as compared to the Tavera but at the same time Toyota is making more money from each vehicle it sells.Its not only about fancy management concepts like Just in Time,its things like these what makes Toyota the company it is today.

Its high time GM stops the Tavera in India and brings in something that would be completely out of the box.

Also read:
Chevrolet Captivates The Indian Buyer

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