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Toyota is on the Offensive. Will it work? - READ ONLY

786 messages,  Last post on Nov 17, 2010 at 1:17 PM

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What is this discussion about? Automotive News, Coupe

Messages Page 79 of 79

#781 of 786 Re: Toyota is on the Offensive. Will it work? [ateixeira] by hpmctorque

Nov 11, 2010 (2:22 pm)

Replying to: ateixeira (Nov 11, 2010 7:56 am)
You make a valid point, but then you say that Hyundai is above Kia, which seems to dilute your message. I'm really not clear on Kia's positioning in the marketplace. What does the Kia brand stand for, and how does it differ from Hyundai?

#782 of 786 Re: Toyota is on the Offensive. Will it work? [hpmctorque] by ateixeira

Nov 12, 2010 (9:38 am)

Replying to: hpmctorque (Nov 11, 2010 2:22 pm)
What I've heard is that Hyundai will try to be the more upscale brand, while Kia strives for sportiness. I'm not sure I believe the latter, but the former is arguably true (Genesis, Equus).
 
Interestingly, Kia made the 200hp engine standard on the Optima, while the base Soanta gets 198hp. Not a big difference, but it shows that they are not letting Hyundai limit what Kia can be.
 
On the surface it would seem Hyundai is "above" Kia, but not really, they are striving for different a character for each brand.
 
VW did the same thing - Audi went Sporty, VW tried to go upscale. The Phaeton and A8 coexist even today in Europe (and it will likely come back to the USA).
 
I'm not sure it has worked that well, so let's see if Hyundai can manage.

#783 of 786 Re: Toyota is on the Offensive. Will it work? [ateixeira] by hpmctorque

Nov 12, 2010 (4:04 pm)

Replying to: ateixeira (Nov 12, 2010 9:38 am)
The U.S. market VW/Audi positioning strategy makes sense, and is working, but the Hyundai/Kia strategy is still unclear to me. There's not enough differentiation between Hyundai and Kia, in my opinion.

#784 of 786 Re: Toyota is on the Offensive. Will it work? [hpmctorque] by ateixeira

Nov 15, 2010 (9:53 am)

Replying to: hpmctorque (Nov 12, 2010 4:04 pm)
VW sort of backed out of that strategy, though.
 
Look at the cheapened Jetta, for instance. They're going after volume now.

#785 of 786 Re: Toyota is on the Offensive. Will it work? [ateixeira] by hpmctorque

Nov 15, 2010 (4:04 pm)

Replying to: ateixeira (Nov 15, 2010 9:53 am)
Going after volume is consistent with the VW brand's objectives. While Europeans are willing to pay more for independent rear suspensions and quality plastics in the interior, Americans value size and relatively low price. VW didn't cheapen the European Jetta, just the American one.
 
Now, it would be surprising if they cheapen Audi, since that's VW's upscale brand, and Americans shopping in that category are willing to pay more for luxury and quality components.

#786 of 786 Re: Toyota is on the Offensive. Will it work? [hpmctorque] by dtownfb

Nov 17, 2010 (1:17 pm)

Replying to: hpmctorque (Nov 15, 2010 4:04 pm)
Isn't VW/Audi's goal to be the No.1 car company in the world based on sales? After watching GM and Toyota fall from grace, why would anyone want this title. it seems something has to suffer to attain this goal.
 
The auto market in the US is already tight. I'm not sure a "cheapened" Jetta is the right idea.

Messages Page 79 of 79

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