Mitsubishi Profit Up / Scandal still hurting Japan market
#1
Mitsubishi Profit Triples / Scandal still hurting Japan market
Mitsubishi profit up 3x according to the Washington Post.
It looks like their strategy of investing heavily in the US market is paying off handsomely, as Japanese are less and less interested in buying Mitsubishis.
It seems that cover up scandal is still stinging them in Japan (please take note everyone who didn't believe me or flamed me for mentioning this about a month ago):
"In North America, Mitsubishi Motors sold 360,000 vehicles, up 6.5 percent from 338,000 vehicles a year ago. But in Japan, vehicles sales dropped 12 percent to 354,000 vehicles from 404,000.
Mitsubishi Motors' image has been tarnished in Japan by a scandal that surfaced in 2000 involving a systematic cover-up of auto defects for more than two decades."
Link to Washington Post Article
It looks like their strategy of investing heavily in the US market is paying off handsomely, as Japanese are less and less interested in buying Mitsubishis.
It seems that cover up scandal is still stinging them in Japan (please take note everyone who didn't believe me or flamed me for mentioning this about a month ago):
"In North America, Mitsubishi Motors sold 360,000 vehicles, up 6.5 percent from 338,000 vehicles a year ago. But in Japan, vehicles sales dropped 12 percent to 354,000 vehicles from 404,000.
Mitsubishi Motors' image has been tarnished in Japan by a scandal that surfaced in 2000 involving a systematic cover-up of auto defects for more than two decades."
Link to Washington Post Article
Last edited by kurichan; May 27, 2003 at 05:34 PM.
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though i was quite disappointed to hear about the scandal, its kinda good for anyone who bought mitsubishi automobiles manufactured AFTER 2000. nothing like a uncovered scandal makes quality control push itself to the max.
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Re: Mitsubishi Profit Triples / Scandal still hurting Japan market
kurichan, do you have some vested interest in reporting only on the scandal which is old news now? You conveniently neglected to mention the other factors cited as being responsible for the slow sales in Japan. Here is the remainder of the article:
Mitsubishi Motors' image has been tarnished in Japan by a scandal that surfaced in 2000 involving a systematic cover-up of auto defects for more than two decades.
Mitsubishi Motors, which controls just 6.6 percent of the Japanese market, also faces strong competition in Japan from domestic rivals Toyota Motor Corp., Honda Motor Co. and Nissan Motor Co.
The Japanese auto market has grown intensely competitive lately because of the nation's economic slowdown.
Eckrodt said Mitsubishi Motors did not expect to break even in Japan until fiscal 2005.
Efforts to slash costs with DaimlerChrysler will continue, he said. The number of platforms, the basic part on which cars are built, will drop from 15 now to 10 in fiscal 2007, he said.
Vehicles built per platform will go up from 1.5 million to 2 million, a change that will add to savings. Mitsubishi hopes to sell 2 million vehicles worldwide by fiscal 2007, up from the current 1.5 million.
As part of its revival plan, Mitsubishi Motors has trimmed jobs and closed plants. It posted a huge loss for recall and restructuring costs in the fiscal year ended March 2001 but returned to profitability the following fiscal year.
The company spun off its truck division and set it up as a separate company in January, allowing the company to focus on passenger cars.
Mitsubishi Motors, which controls just 6.6 percent of the Japanese market, also faces strong competition in Japan from domestic rivals Toyota Motor Corp., Honda Motor Co. and Nissan Motor Co.
The Japanese auto market has grown intensely competitive lately because of the nation's economic slowdown.
Eckrodt said Mitsubishi Motors did not expect to break even in Japan until fiscal 2005.
Efforts to slash costs with DaimlerChrysler will continue, he said. The number of platforms, the basic part on which cars are built, will drop from 15 now to 10 in fiscal 2007, he said.
Vehicles built per platform will go up from 1.5 million to 2 million, a change that will add to savings. Mitsubishi hopes to sell 2 million vehicles worldwide by fiscal 2007, up from the current 1.5 million.
As part of its revival plan, Mitsubishi Motors has trimmed jobs and closed plants. It posted a huge loss for recall and restructuring costs in the fiscal year ended March 2001 but returned to profitability the following fiscal year.
The company spun off its truck division and set it up as a separate company in January, allowing the company to focus on passenger cars.
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Mitsu should thank the strong sales of the 3g eclipse and the lancer for pulling Mitsu out of red ink after 00.
Yes, the home market is fierce since Nissan lost its shares of self to their parent company Renault.
Are the home market still in recession from the mid 90's?
Yes, the home market is fierce since Nissan lost its shares of self to their parent company Renault.
Are the home market still in recession from the mid 90's?
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For mitsu of america it will get better than that when the new galant,the 4g eclipes, new diamante,the new mirage,and the lancer ralliart hit ths year.MMCA will be the new backbone of mitsu motors world wide
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The new galant and 4g eclipse . . . interesting to see.
new diamante . . . their sales have been extremely slow. I can barely see 1 per every 3 days. I've seen more RAV4 than any Diamantes.
New mirage . . . that's not possible, unless bringing the HB.
Don't forget the Outlander . . . they are selling them like hotcakes in the world of SUV's.
The RA lancer should sell good since it's a limited numbered production.
new diamante . . . their sales have been extremely slow. I can barely see 1 per every 3 days. I've seen more RAV4 than any Diamantes.
New mirage . . . that's not possible, unless bringing the HB.
Don't forget the Outlander . . . they are selling them like hotcakes in the world of SUV's.
The RA lancer should sell good since it's a limited numbered production.
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