Preview

honda_arun_duggal

Satisfactory Essays
Open Document
Open Document
560 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
honda_arun_duggal
HONDA TODAY

Masami Kamimura has several decisions that he must make regarding the Honda Today and its future in the current Honda lineup. In the past few years, Honda invested ~5 billion in the Today and its R&D and production. Even with 22% of the market share for the Today, its total sales were only 100,660 units for the 1987 sales. The Honda today is known for its small size and compact vehicle. It is an economy car to cater to the low-middle class families. The return on this car is marginal compared to larger more luxurious cars. It would not be beneficial to redesign this car and start from scratch.

Honda has a one-year deadline to meet for this project before the new tax laws are in effect. Honda has a unique approach to redesign a car from the ground up. Not only do they redesign the body and chassis, they also build a new engine for the new car. They feel that it is the best way to get the best experience of the “new” car. There is not enough time for Honda to completely redesign the Today with the new frame, chassis, and engine. The average time is at least 18 months. Also if engineers are pulled away from other projects to redesign the Today, it could hurt future products and affect the market growth in those car sectors.

I believe the best approach in this case would be for Kamimura to choose the cost effective approach and increasing the engine displacement option. He would be able to guarantee that the Today would be ready in time before the new tax laws, as well maintain the image for Honda. If they were not able to release a new resigned model of the Today in time, they could lose some of the market share to other competitor and it could even damage its image.

I feel that Kamimura should keep the car the same, and invest in the minor tooling changes needed to make the engine with 650cc. That would be the most cost effective way, after already investing over 5 billion into the development of the current Today. I know this is not the
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Powerful Essays

    Integration Project of Analyst Preparation: Honda Motor Co. Ltd
    • 3054 Words
    • 13 Pages

    Integration Project of Analyst Preparation: Honda Motor Co. Ltd

    Oil prices have recently been rising and will probably continue to rise as the world’s oil sources are depleted. This could mean that there will be a fall in demand for regular fuel cars and a rise in demand for smaller more efficient cars. Honda is producing hybrid technology which will seem more attractive due to higher oil prices. Also, as consumer confidence returns to the US economy, fuel efficient SUV’s are also an alternative to consumers who aren’t comfortable driving smaller cars on America’s highways. As Honda adjusts its production to a more fuel efficient or hybrid/electric technology, they will have the potential to see increased revenue.…

    • 3054 Words
    • 13 Pages
    Powerful Essays
    Read More
  • Good Essays

    2115 Essay
    • 840 Words
    • 3 Pages

    2115 Essay

    In 1902, only 23,000 cars were in operation in America compared with 17 million horses. Yet, 50 small motor clubs had been formed by motoring enthusiasts across the country. The growth of the number of cars is incredible today. According to the Bureau of Transportation, there are 254,212,610 registered passenger vehicles. 1902 to today, the number of cars has grown about 254,189,610. Furthermore, imagine the number in car in the next century. The number of Cars in 1902 to 2015 is just the half of it. With current and/or new technology that is soon to come, the design of the car in a century would be dramatic as well. For example, some people in 1902 described automobiles as “horseless carriages”. Today some people describe as cars as efficient and high- quality. The safety in cars today is better for collisions. Although price increased by A LOT it is worth the pay. Moreover in 100 years, there would be a dramatic change in the number of cars in America, the design, and the price.…

    • 840 Words
    • 3 Pages
    Good Essays
    Read More
  • Good Essays

    Downsizing: Costs and Assigned Government Executive
    • 400 Words
    • 2 Pages

    Downsizing: Costs and Assigned Government Executive

    Honda made large cuts in its permanent engineering staff in response to the more volatile sales environment for automobiles since the mid-1980s. These cuts left Honda unable to keep pace with its competitors in the design of new automobiles. The results have been the loss of market share and profit for Honda, which now faces the difficult task of trying to catch up. The consequence of cutting fixed costs too far could be even more dangerous for a government enterprise like DoD.…

    • 400 Words
    • 2 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    2025 Mandate: A Case Study
    • 76 Words
    • 1 Page

    2025 Mandate: A Case Study

    Probably the biggest thing that conflicts with the work of automakers to reach the 2025 mandate is outlined the article and that is that a lot of people here in the U.S. don’t want smaller more vehicles. Many people still prefer larger more powerful vehicles and are unlikely to switch to more environmentally friendly vehicle. The only real way to combat this conflict is for automakers to continue to strive to make large vehicles more efficient.…

    • 76 Words
    • 1 Page
    Satisfactory Essays
    Read More
  • Good Essays

    Jesus take the wheel
    • 573 Words
    • 2 Pages

    Jesus take the wheel

    cars: performance, safety, and value, to get the seven design themes that guided designers and engineers working on the Element. Several different activities were then conducted simultaneously. Designers sketched several new versions of a bold new exterior appearance. Meanwhile, engineers worked on building in adaptability, focusing on fold-away seats that provided plenty of cargo or sleeping space when folded. Side doors were attached in such as way as to permit easier entry and exit, and the tailgate was also redesigned in a “clamshell” shape to improve access. A removable moon roof would allow the user to carry a tall piece of furniture vertically, with the top part sticking out. Armed with sketches of their progress so far, team members (both engineers and marketers) visited several universities and met with male students at frat houses. After obtaining feedback, they made adjustments and were able to achieve many “quick-turn” improvements. To get top management support for the Element, the product team invited Honda executives to San Onofre Surf Beach in California, together with several Gen Y university students, for a weekend camping trip. The group discussed Gen Y lifestyle as well as car issues. The team felt that top management would support the project if they “lived the life” of the target user. It worked. The top executives were convinced of the value of the Element to the Honda car line, and the project got approval. A launch date of late 2003 was chosen. Once the project was approved, stylists updated their sketches, quarter-size clay models were built, and eventually full-size prototypes were created and submitted to top executives for approval. At the same time, a user group of 30 men in the target age group, all living near Honda’s Design Center in Torrance, California, was selected. They also reviewed sketches and prototypes, and gradually a design that this group found really interesting was fi nalized. Here is where Honda’s platform experience…

    • 573 Words
    • 2 Pages
    Good Essays
    Read More
  • Better Essays

    How Did Gsm Failed
    • 993 Words
    • 4 Pages

    How Did Gsm Failed

    The demand for the big, heavy, and expensive gas-guzzlers of the past all but disappeared. American’s wanted small, efficient, and cheap cars. The Japanese automakers had already…

    • 993 Words
    • 4 Pages
    Better Essays
    Read More
  • Powerful Essays

    Electric Cars by Tesla
    • 1883 Words
    • 8 Pages

    Electric Cars by Tesla

    The concern for the environment has never been bigger than at the turn of the century. The growing acceptance of global warming, coupled with the growing green marketing galore gave impetus for the clamor for major auto companies to build a better and more affordable electric car. This plus the unpredictable oil price spikes and hikes, is intensifying the race to build the ideal car of the future at a greater height.…

    • 1883 Words
    • 8 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    The Honda Element
    • 331 Words
    • 2 Pages

    The Honda Element

    Honda which is a professional product platform is an extremely famous Japanese automaker. Honda is also the largest motorcycle manufacturers of all over the world. Moreover, vehicle production and scale are among the largest car manufacturers of the world. Nowadays, Honda is a multinational automobile, motorcycle production and sales group. In addition, Honda in the United States is representative of the popular. According to the article introduce that the technology, publicity, and ideas of Honda, the Element, the new light truck, that applied its expertise in product platforms. Furthermore, Honda's mode of operation is very flexible that embodied in the light truck, Element. Many kinds of their cars of Honda were popular with most people. However, no young men appealed them. Therefore, the product team of Honda was compelling new design. They made a clear positioning statement that the Element is for the single individual with freely and uncommon lifestyle. Moreover, the top management of Honda support that four design themes which were adaptability, authenticity, functionality, and attitude were identified for the Element. The Element success is also in their particular advertising. They broke the traditional ideas of advertisement to show their more characteristic, design, and technology to give more tangible benefits for the customers. Because they had four subsystems were used by exterior, interior, suspension, and power train, the Element was a unique design. For example, the exterior of Element, the unique side doors, clamshell tailgate, extra durability, saving oil, good engine be popular with groups of young men and energetic men. The product team of Honda not only did enough market research and obtaining feedback but also used technology in a technical reformation on the platform. Therefore, they realized success of the new product. The particular advertising, using technology in a technical reformation on the platform, and giving…

    • 331 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    Best Economic System
    • 921 Words
    • 4 Pages

    Best Economic System

    Now income the Japanese. They know in order to get your business they have to build better and or more appealing cars.…

    • 921 Words
    • 4 Pages
    Good Essays
    Read More
  • Better Essays

    The Future of Honda Manufacturing - Strategy and Planning
    • 1461 Words
    • 6 Pages

    The Future of Honda Manufacturing - Strategy and Planning

    For the past two decades, automakers around me world have analyzed Honda 's manufacturing methods, visited its facilities, benchmarked its operations and copied its moves. During the late 1980s, Chrysler Corp. executives even talked openly about the "Honda study," which was a blatant effort to duplicate the best of the Japanese automaker 's manufacturing techniques. But in fact, Honda typically obliged any competitor that wanted a first-hand look at its operations. Now that it has made the world comfortable with its old process, Honda is changing the rules.…

    • 1461 Words
    • 6 Pages
    Better Essays
    Read More
  • Good Essays

    Pest Analysis of Hong Kong
    • 903 Words
    • 4 Pages

    Pest Analysis of Hong Kong

    Oil prices have recently been rising and will most probably continue to rise as the world’s oil sources are depleted. This means that there will be a fall in demand for petrol cars and a rise in demand for Hybrid cars. On one hand, Honda produces a lot of hybrid technology and for this reason, they will be able to impose and introduce their new hybrid technologies, which will seem more attractive due to higher oil prices. On the other hand, the rise in oil prices will mean that consumers will be less likely to buy Honda’s petrol cars which means they will see a loss of revenue in this sector. This means that although Honda has Hybrid technology to offer, the fall demand for their petrol cars may cause them to break see no change in revenue (at least in the short…

    • 903 Words
    • 4 Pages
    Good Essays
    Read More
  • Powerful Essays

    Tools of Strategy Analysis
    • 2917 Words
    • 12 Pages

    Tools of Strategy Analysis

     Firm is a pool of resources and capabilities that are the primary determinants of its strategy  Capabilities are the “roots of competitiveness,” source of new products, and foundation for strategy  The greater the rate of change in a firm’s external environment, the more likely it is that internal resources and capabilities will provide a secure foundation for long-term strategy.  In fast-moving, technology-based industries, new companies are built around specific technological capabilities.…

    • 2917 Words
    • 12 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Industrial Dispute
    • 1316 Words
    • 6 Pages

    Industrial Dispute

    We would like to acknowledge the advice and guidance Ms. Preeti Bajaj, our lecturer of “Human Resource Management”, for her encouragement and patience throughout the duration of this project.…

    • 1316 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Good Essays

    Car Racing
    • 639 Words
    • 3 Pages

    Car Racing

    It is not only beneficial to the car owner but to the car maintenance shop as well. A racer would need to have his car modified as stock engines and other car parts will not suffice. It totally changes the car structure.…

    • 639 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Travel Quality Management
    • 13400 Words
    • 54 Pages

    Travel Quality Management

    do not seem to care. The consequences of such an attitude are lost customers and opportunities…

    • 13400 Words
    • 54 Pages
    Powerful Essays
    Read More

Related Topics