Hyundai preparing competitor for Tata’s Nano

The Korean carmaker Hyundai is planning to make a car that will be priced like the Nano from Tata, although they are not intent on competing with the Indian car. Hyundai sees the Nano as an automotive market expander. It has joined Ford, GM and VW in seeking markets in India at such a trying time as this.

Hyundai claims that the 0.8 and 1-liter gasoline-engined vehicle will be offered when the basic model is released in the second half of next year. Meanwhile, there are reports saying that a small diesel variant will also be produced, particularly for the European market.
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izfuney - 5/19/2009 5:03:59 PM

+2 Boost

Looks is subjective as i find the nano better. The real test will be in the extremely price sensitive markets like India/Africa along usability. The nano is making waves not only because of its size but also its price. Traditionaly if one follows emerging markets for cars Hyundai has never made a compelling low purchase price arguement, so in terms of strategy this will be new and also comes along with significant pricing challenges. One example would be , they couldnt use the price advantage of the won to the dollar as most of these markets have semi or non floating currencies. Additionally, like China, they want in house production not just Kits that are assembled. In terms of logistics, engineering and financing it is a blue field venture for Hyundai. Having said that, its going to be an exciting competition that will enable a lot of people to get into small cars .

Lamborghini_vs_Ferrari_Racer - 5/19/2009 6:09:49 PM

+1 Boost

The Indians shall win this win as no one can make a car for 2000 bucks - No one. The Hyundai is expected to cost around twice what the Nano does...It is not how good the car is - It is the ratio with price which is tough to beat.