The ranking is an excellent opportunity for Honda to promote its cars in Europe, where people (especially in Germany) are obsessed with the environment and are burdened with high taxes. In addition, Honda introduced the Civic Hybrid in 2003. It is a gasoline-electric power train, fuel-efficient car with a low Co2 emission level. Although the car has an electric engine, it does not need to be plugged in and recharged. The battery pack recharges itself automatically as the car is running.
Aimimg at further business expansion in Europe, Honda is promoting product development that meets regional needs by establishing a broad-based local network of company facilities and R&D offices. In 2004, Honda released a diesel version of the Accord, the first car to be fitted with Honda’s own diesel engine and designed to meet EU environmental performance standards for emission control (Euro 4). The diesel lineup expanded rapidly thereafter with the addition of diesel CR-V,FR-V, and Civic models. Targeting local customer needs, Honda subsequently launched a European version of the Civic in 2006, which has been well received by a wide range of customers. Further, in July 2008 at the British Motor Show, Honda unveiled its low-emission roadster concept, the OSM, the design of which was out of the company’s R&D facility in Offenbach, Germany.
The Issue. Honda is currently at the crossroads of its European expansion in the automobile market. It has been successful in managing to market essentially the North American and Japanese markets. Honda executives are wondering whether or not they should adopt more localized product development in Europe.
Discussion Questions
1. Does adapting the promotion of its motor vehicles to suit each country’s culture make sense for Honda?
2. Is it wise for Honda to market its products the same way in every country?
3. Is pricing its vehicles similar to the competition a good strategy for Honda?
4. Should Honda change its product mix from country to country?
5. Is distributing its motor vehicles together with its motorcycles a good strategy for Honda?
6. Is the European market too competitive for Honda?
The ranking is an excellent opportunity for Honda to promote its cars in Europe, where people (especially in Germany) are obsessed with the environment and are burdened with high taxes. In addition, Honda introduced the Civic Hybrid in 2003. It is a gasoline-electric power train, fuel-efficient car with a low Co2 emission level. Although the car has an electric engine, it does not need to be plugged in and recharged. The battery pack recharges itself automatically as the car is running.Aimimg at further business expansion in Europe, Honda is promoting product development that meets regional needs by establishing a broad-based local network of company facilities and R&D offices. In 2004, Honda released a diesel version of the Accord, the first car to be fitted with Honda’s own diesel engine and designed to meet EU environmental performance standards for emission control (Euro 4). The diesel lineup expanded rapidly thereafter with the addition of diesel CR-V,FR-V, and Civic models. Targeting local customer needs, Honda subsequently launched a European version of the Civic in 2006, which has been well received by a wide range of customers. Further, in July 2008 at the British Motor Show, Honda unveiled its low-emission roadster concept, the OSM, the design of which was out of the company’s R&D facility in Offenbach, Germany.The Issue. Honda is currently at the crossroads of its European expansion in the automobile market. It has been successful in managing to market essentially the North American and Japanese markets. Honda executives are wondering whether or not they should adopt more localized product development in Europe.Discussion Questions 1. Does adapting the promotion of its motor vehicles to suit each country’s culture make sense for Honda?2. Is it wise for Honda to market its products the same way in every country?3. Is pricing its vehicles similar to the competition a good strategy for Honda?4. Should Honda change its product mix from country to country?5. Is distributing its motor vehicles together with its motorcycles a good strategy for Honda?6. Is the European market too competitive for Honda?
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The ranking is an excellent opportunity for Honda to promote its cars in Europe, where people (especially in Germany) are obsessed with the environment and are burdened with high taxes. In addition, Honda introduced the Civic Hybrid in 2003. It is a gasoline-electric power train, fuel-efficient car with a low Co2 emission level. Although the car has an electric engine, it does not need to be plugged in and recharged. The battery pack recharges itself automatically as the car is running.
Aimimg at further business expansion in Europe, Honda is promoting product development that meets regional needs by establishing a broad-based local network of company facilities and R&D offices. In 2004, Honda released a diesel version of the Accord, the first car to be fitted with Honda’s own diesel engine and designed to meet EU environmental performance standards for emission control (Euro 4). The diesel lineup expanded rapidly thereafter with the addition of diesel CR-V,FR-V, and Civic models. Targeting local customer needs, Honda subsequently launched a European version of the Civic in 2006, which has been well received by a wide range of customers. Further, in July 2008 at the British Motor Show, Honda unveiled its low-emission roadster concept, the OSM, the design of which was out of the company’s R&D facility in Offenbach, Germany.
The Issue. Honda is currently at the crossroads of its European expansion in the automobile market. It has been successful in managing to market essentially the North American and Japanese markets. Honda executives are wondering whether or not they should adopt more localized product development in Europe.
Discussion Questions
1. Does adapting the promotion of its motor vehicles to suit each country’s culture make sense for Honda?
2. Is it wise for Honda to market its products the same way in every country?
3. Is pricing its vehicles similar to the competition a good strategy for Honda?
4. Should Honda change its product mix from country to country?
5. Is distributing its motor vehicles together with its motorcycles a good strategy for Honda?
6. Is the European market too competitive for Honda?
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