Should Hyundai Just Create A Premium Brand And Challenge The Establishment Head On?

Should Hyundai Just Create A Premium Brand And Challenge The Establishment Head On?
Hyundai Motor Co. may add two luxury models and create a luxury brand that would likely be called Genesis to compete directly with Toyota Motor Corp.'s Lexus and other upscale makes, Hyundai's top U.S. executive said.

The South Korean auto maker, which has boosted its U.S. market share 50% in two years, is evaluating whether to build a four-door sports car akin to BMW AG's 3 Series as well as a crossover utility vehicle like the Lexus RX 350.

Hyundai already sells the full-size, upscale Genesis sedan and this month will begin selling in the U.S. the ultraluxury Equus model, which starts at $58,000. It is unclear where else in the world the potential new models might be sold.



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pennfootballpennfootball - 12/13/2010 5:06:26 PM
+15 Boost
Who gives a F@#k


SteveSteve - 12/13/2010 5:07:10 PM
+5 Boost
I think Hyundai should do what it believes is right, without taking the advice of this site's members. So far, that's proven to be a winning formula :-)


0to600to60 - 12/13/2010 5:26:15 PM
-4 Boost
They should have bought Jaguar and Land Rover, then they could have extended the brand there. Are there any other Luxury brands they could look into purchasing. Think it would be easier that way.

Volvo would have been another good one for them.


g2okg2ok - 12/13/2010 5:31:16 PM
+11 Boost
Nope, still disappointed by the dealer network. Hyundai still catering to the lowest monthly payment crowd, even though they have some great cars now.


speed123speed123 - 12/13/2010 5:38:04 PM
+7 Boost
No, because they can't compete.


geoff448geoff448 - 12/14/2010 1:34:16 AM
+3 Boost
Hyundai is a massive worldwide corporation, cars are only a small portion of their business. IF they go about it properly they could definitely create a competative brand.

They are still fairly new and only started giving a shit about their cars in the past 2 years.. they are also taking everyone else to the cleaners right now in saless. Honda was in a similar position when they first came to north america and they didnt even have the funding or backing of such a massive corporation.

I think Hyundai is making all of the right choices lately and im very interested to see where they go in the future. I Believe Hyundai will become a very reputable brand, as well as an excellent stock investment.


WhelanWhelan - 12/13/2010 6:51:03 PM
-8 Boost
I already stated that they should and call the brand itself Genesis. The reason the car came without an emblem to me was because it was going to be part of a luxury brand by them.

Why the hate? Everyone thought Toyota was stupid for making Lexus, but look at them now. Considered luxury in every sense of the word. Say what you will about BMW and MB and Audi but those are more performance luxury brands.


AgentOrangeAgentOrange - 12/13/2010 7:27:47 PM
-4 Boost
Hyundai needs to set up a seperate division or sub which will have it's own identity apart from the Hyundai brand.
The demographic for $58K Hyundais is limited.


thstonethstone - 12/13/2010 7:56:53 PM
+8 Boost
Yes, Hyundai needs to make a clean break from its low rent history if they really intend to be a player in the upscale market.

And they need to remember the two cardinal rules of going upmarket:

(1) Genesis has to have unique vehicles (you can re-use a platform to start but everything else had better be new and engaging).

(2) Genesis has to have unique standalone dealerships (no using the spare building next door and have salesmen cover both lots to save overhead costs).

No one said it was easy or cheap to create an upscale auto brand.




nguyenvuminhnguyenvuminh - 12/13/2010 8:37:52 PM
+1 Boost
Sure. A separate luxury brand will require a "separate" dealer network with "distinct" service, which is good for the consumer. It will force other luxury mfrs to up their ante, which is good for the consumer and for the automotive industry as a whole. And ultimately, it will help draw more brand fanatics to this website to argue on behalf of their favorite car mfrs. Personally, I'm keen to see whether Hyundai is for real or not.


PlanBPlanB - 12/14/2010 9:58:49 AM
0 Boost
They're definitely ready. They just need to start building the network for it.


Larrybel2000Larrybel2000 - 12/14/2010 12:39:44 PM
0 Boost
I would say they need to do it. Hopefully keeping the RWD for all the sportier models.


EpikEpik - 12/14/2010 7:24:23 PM
0 Boost
No. Hyundai doesn't need to.

Hyundai is the best already it's just that some people don't know it yet.


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