Click to go to Forum Home Click to go to maXbimmer Home

Go Back   maXbimmer Forums > Misc > Off-topic
User Name
Password


Welcome to Maxbimmer.com!

You are currently viewing our boards as a guest which gives you limited access to view most discussions and access our other features. By joining our free community you will have access to post topics, communicate privately with other members (PM), respond to polls, upload content and access many other special features. Registration is fast, simple and absolutely free so please, join our community today!

Reply
 
Thread Tools Rate Thread Display Modes
Old 05-06-2005, 12:56 PM   #1
dozorca
2nd Gear Member
 
Join Date: Oct 2003
Location: Toronto
Posts: 127
Hyundai competing with BMW???



Quote:
SEOUL -- Hyundai Motor Co. aims to set up a luxury sales channel in the United States as early as 2007.

South Korea's upwardly mobile carmaker is developing a luxury sedan in a plan to mimic Toyota's Lexus and Nissan's Infiniti offshoots.

"Basically, our plan is to launch a brand that is strong enough to compete with BMW and Audi and Lexus," says a senior executive in South Korea. He says Hyundai wants to establish the channel in the United States "in three or four years."
Lexus and others are still having trouble competing with bmw, so what makes them think that hyundai will be able to?

the rest...

Quote:

Hyundai's quality has improved, and its U.S. sales are rising. Sources at Hyundai Motor America say parent company executives believe the time is right for a prestige brand.

"It's more a question of when, not if," says a Hyundai Motor America official who asked not to be identified. "Hyundai's next generation of Korean-market luxury cars is arriving in 2007. They don't want to wait for the generation after that to launch a luxury brand in America."

Hyundai engineers are tearing apart BMW and Mercedes models to better understand European luxury cars, according to the U.S. insider.

"We are now developing a 3.5-liter rear-wheel-drive luxury sedan that will be offered with the luxury brand in the U.S.," says a Hyundai source in South Korea. "The development is in an initial stage in the Namyang r&d center. We hope it will greatly enhance Hyundai's brand image in the U.S. market."

He says the sedan will fill the gap between the rwd, V-8-powered Equus sedan, which is sold in Korea and Europe, and the XG350, which tops Hyundai's range in the United States. The new model will be sold in the United States and Europe through a Lexus-like channel. But it will not be the only model in the luxury lineup.

A high-line sales channel long has been an element of Hyundai's U.S. expansion plans. Now Korean executives think it is time to act. Sales have been growing, and Hyundai's brand image got a big boost from a strong showing in the J.D. Power and Associates Initial Quality Study in April.

Another Hyundai Motor America official - who declined to be named - was cautious about the time frame. He called a 2007 launch "optimistic" and said it could occur as much as two years later. He says Hyundai Chairman Chung Mong-Koo is aware the main brand still needs time to build credibility in the United States.

"But there's only so far we can go with the Hyundai brand," the official says. "To be a full-service car company that wants to be in the global top five or six automakers, we have to go upmarket. There's money to be made there. It's just that there's a ceiling for how much someone will pay."

Although South Korean executives have mulled the idea for a long time, Hyundai officials in the United States have been reluctant.

"Hyundai Motor America has been able to forestall it until now, but the Americans will probably get a luxury brand before we're really ready for it," according to a U.S. source.

But he adds: "The Koreans are not fools. They know the financial challenge and marketing challenge of launching a luxury brand here."

The luxury brand likely would have to have at least three vehicles at the outset, the source says. The lineup also might include the 2007 redesign of the 4.5-liter Equus.

Because it is equipped much in the Korean style, the current Equus is not considered ready for the global luxury wars. Engineers are trying to make it more like a BMW or Mercedes.

"Hyundai is trying to make a global luxury vehicle, not the typical Asian luxury boat," a Hyundai U.S. executive says. He says the Equus was delayed from 2005 until 2007 because it was "too Korean."

A Hyundai executive in Korea says Hyundai hasn't decided whether to sell Equus in the United States alongside the new 3.5-liter sedan.

Some U.S. dealers are wary of Hyundai's quest. Don Hicks, who owns Hyundai, Kia, Subaru and Suzuki franchises in the Denver area says it is hard for a luxury brand to take hold.

"A lot of Acura guys came and went in the first wave," Hicks says. "Denver has been able to sustain just one Infiniti store. So we need to learn from history. A standalone facility for a Hyundai luxury car might be a stretch, even though Hyundai has made great strides and gotten great press.

"I'd rather they concentrate their efforts on giving all Hyundai dealers a truck," he says. "I think we could sell more trucks than luxury Hyundais."
dozorca is offline   Reply With Quote
Old 05-06-2005, 01:25 PM   #2
chia
Keepin' It Fake.
 
chia's Avatar
 
Join Date: Apr 2004
Location: St. Catharines/Toronto
Posts: 1,268
even so, i don't think hyundais' status will ever rise.
__________________
chia is offline   Reply With Quote
Old 05-06-2005, 01:40 PM   #3
Bmwstylz
6th Gear Member
 
Bmwstylz's Avatar
 
Join Date: Oct 2004
Location: Nurburgring
Posts: 1,370
Lexus and others having Trouble competing? Last I heard the Japenese luxo brands had stolen the luxury market from The Eurobrands....

This ain't 1980, as sad as it is to contemplate a new Asian Luxury brand - they could be very competitive in North america & elsewhere.

I wouldn't be caught dead in a Hyandai period, but there's a lot of breeders who would appreciate the money savings in a 'luxury' car.
__________________
"Get rich or die tryin!"
Bmwstylz is offline   Reply With Quote
Old 05-06-2005, 02:16 PM   #4
krp_e36m50
3rd Gear Member
 
Join Date: Apr 2004
Location: Toronto (Scarborough)
Posts: 321
It'll never take off in North America....
__________________
'95 BMW 325i Schwarz II SOLD
krp_e36m50 is offline   Reply With Quote
Old 05-06-2005, 02:55 PM   #5
dozorca
2nd Gear Member
 
Join Date: Oct 2003
Location: Toronto
Posts: 127
Quote:
Originally Posted by Bmwstylz
Lexus and others having Trouble competing? Last I heard the Japenese luxo brands had stolen the luxury market from The Eurobrands....

This ain't 1980, as sad as it is to contemplate a new Asian Luxury brand - they could be very competitive in North america & elsewhere.
I'm the first guy to give props to Lexus for quality, but as good as the cars are, they still don't have the BMW/Benz authority/appeal.

This is my point when looking at the proposed Hyundai-Luxury idea.
Lexus has been fighting to take away bmw/benz customers for a long time now. So even if Hyundai meets the quality levels of Lexus, it will need to not only steal customers from BMW or benz, but from Lexus also.
dozorca is offline   Reply With Quote
Old 05-06-2005, 03:22 PM   #6
chopper
2nd Gear Member
 
chopper's Avatar
 
Join Date: Sep 2004
Location: Toronto
Posts: 149
Yeah, I doubt HYundai will ever be able to take any real market share any time soon. BUt, good for them for trying to make better cars. That's what a competitive market place is for...to ensure no one company monopolizes the customer base. Just like the way BMW is finally jacking up its HP numbers because of competition. Good for us.
chopper is offline   Reply With Quote
Old 05-06-2005, 03:33 PM   #7
BMVV
2nd Gear Member
 
Join Date: May 2004
Location: Toronto
Posts: 262
I am old enough to remember the first Hondas, datsuns, now nissan and toyotas. They were crap. Look at them now. I don't think hyundai will be a BMW rival but may give the other Japanese companies a run. They are a huge company making everything from computers to ships to nuke plants. With enough money anything can happen.
BMVV is offline   Reply With Quote
Old 05-06-2005, 03:38 PM   #8
AMG_POWER
500HP Member
 
Join Date: May 2002
Location: Toronto, Canada
Posts: 9,691
I wanna see M version of tiburon rofl...
__________________
AMG_POWER is offline   Reply With Quote
Old 05-06-2005, 03:48 PM   #9
dozorca
2nd Gear Member
 
Join Date: Oct 2003
Location: Toronto
Posts: 127
^ Maybe a Hyundai ///Accent M?... hehe
dozorca is offline   Reply With Quote
Old 05-06-2005, 03:48 PM   #10
saix
rawr
 
saix's Avatar
 
Join Date: Jul 2004
Location: under a bridge
Posts: 2,270
Send a message via AIM to saix
why must they copy every car.. since they are going to be going luxury are they going to take the i-drive and call it the r-drive *rice-drive*
saix is offline   Reply With Quote
Old 05-06-2005, 04:15 PM   #11
mpower1226
6th Gear Member
 
mpower1226's Avatar
 
Join Date: Jun 2002
Location: Toronto
Posts: 2,903
see, what you guys are doing right now, bashing hyundai etc is what ppl did in the past to honda, toyota etc. right now, no matter what, these japenese company are sharing a big market. Honda used to copy everything, then they learn from that and started to make their cars. Probably hyundai will like that soon. All I know is that, when toyota lunched lexus, everybody was bashing like theres no tomorrow.
mpower1226 is offline   Reply With Quote
Old 05-06-2005, 04:24 PM   #12
skillton
3rd Gear Member
 
Join Date: Apr 2003
Location: Scarborough
Posts: 363
Send a message via ICQ to skillton
They can probably make a good car, but that doesn't mean they'll sell unless the're a lot cheaper than the cars the're competing against. VW tried it, and didn't sell many phaetons
__________________
skillton is offline   Reply With Quote
Old 05-06-2005, 04:26 PM   #13
NOTORIOUS VR
6th Gear Member
 
NOTORIOUS VR's Avatar
 
Join Date: Mar 2004
Location: Toronto
Posts: 3,166
Quote:
Originally Posted by dozorca
I'm the first guy to give props to Lexus for quality, but as good as the cars are, they still don't have the BMW/Benz authority/appeal.

This is my point when looking at the proposed Hyundai-Luxury idea.
Lexus has been fighting to take away bmw/benz customers for a long time now. So even if Hyundai meets the quality levels of Lexus, it will need to not only steal customers from BMW or benz, but from Lexus also.
Exactly...

And really, all you have to do is look on the road... There are far more big Benz's and BMW's then there are Jap. counter parts.

Some will argue that the Jap cars are (reliability wise, some even performance number wise)... better. But they will never have the "status" of Euro cars. Never. Anyone that wants to have "presence" on the road and with lots of money will buy a euro car over a jap car.
__________________
E36 DYNO TUNING WIRING PARTS
NOTORIOUS VR is offline   Reply With Quote
Old 05-06-2005, 04:31 PM   #14
m3polack
3rd Gear Member
 
Join Date: Jun 2002
Location: Whitby ,On
Posts: 322
german cars are worse than american cars when it coems to reliability.. check the stats . its no lie.. id take a new Acura RL over a 7 series..

m3polack is offline   Reply With Quote
Old 05-07-2005, 12:05 AM   #15
Mystikal
Moderator/Event-Coordinator
 
Join Date: Feb 2002
Location: Stance
Posts: 12,867
Quote:
Originally Posted by mpower1226
All I know is that, when toyota lunched lexus, everybody was bashing like theres no tomorrow.
Exactly. And in the early 90's when Acura/Lexus/Infiniti were taking off, Mazda backed off its Amanti brand name (with which the Millenia was to be the premier model), and they lost their chance at the huge market shares Honda/Toyota/Nissan are enjoying today.

Hyundai is now what, the 5th largest importer of cars to North America or something like that? Insane. Mitsubishi should take note.
__________________

@stancejay
Mystikal is offline   Reply With Quote
Reply

Thread Tools
Display Modes Rate This Thread
Rate This Thread:

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On

Forum Jump


All times are GMT -4. The time now is 08:36 AM.


Powered by vBulletin® Version 3.8.1
Copyright ©2000 - 2015, Jelsoft Enterprises Ltd.
Maxbimmer Copyright 2001 - 2015