Any chance of Isuzu returning to market

[vt_maverick]

The USA accounts for 23% of the total world consumption of goods, no other country is even close. How do you stay out that market and succeed in a global economy?

Just because you're not in the largest market doesn't mean you can't be successful. You just have to look at what "successful" means to your company. Is it simply turning a profit, or is it seeing sustained revenue and profit growth over time? A stand on the side of the road that produces 50 cups of $.05 lemonade a day and sells them for $.25 a cup is successful for a 10 year-old, but obviously not for Minute Maid. It all depends on how much profit Isuzu desires to make.

Not being in the largest market in the world means that they don't have the tremendous footprint and expenses associated with doing so, namely property ownership for dealerships and plants, salary and fringe packages for employees manufacturing cars, etc. In theory that means they can sell substantially less vehicles each year and still make the same amount of profit as GM, so long as they keep their expenses lower per vehicle. Staying in its home and lower expense markets (without US labor unions and export/import duties to weigh its vehicles' price down) maintaining a much lower production cost is very attainable.

And true, sadly not in this market, nor in the fuel requirement and federal regulation. The day of the SUV is over.

I wouldn't say that. Regulation tends to drive innovation, since car manufacturers will never abandon market segments for which there is still demand. Cylinder deactivation technology, hybrid-drive systems, CVT technology, smaller displacement turbo-charged engines, variable valve technology, and direct injection are all technologies that have come about as a result of the need/desire to squeeze more HP and/or MPG out of existing engines. Nissan's new Juke is a good example of what can be achieved; it's projected to achieve 26-30 MPG in the turbo 4-cylinder / CVT model, which is nearly 7-10 MPG better than any other SUV or cross-over currently made by Nissan or Infiniti.

I suppose you could argue that increased fuel costs and emissions regulations in the 1970s lead to a generation of crappy cars (Mustang II for example), but then again they didn't have the computer technology that we have today. Given no other options, manufacturers simply downsized engine displacement, resulting in significantly less power. But I just can't see that happening again.

[WormGod]

I wish Subaru would have taken over Isuzu. Subaru known for reliable AWD, but no true off-road vehicles. It seems like it would have been a good fit.

And true, sadly not in this market, nor in the fuel requirement and federal regulation. The day of the SUV is over.

Wait, you mean the Amigo wasn't a jacked up Brat?

[deermagnet]

Isuzu is still in the US market and apparently does well.
http://www.isuzucv.com
"America's #1 Selling Low Cab Forward Truck Every Year Since 1986"

They have a truck dealer in my own home town. I even stopped in there once to see if they could order me SUV parts, but they said no. They don't have the catalogs and software to even look up SUV parts.

Isuzu has been well known for a long time as makers of the best diesel engines in the world.

Mark

[vt_maverick]

I think we meant the US passenger vehicle market.

[deermagnet]

I wish Subaru would have taken over Isuzu. It seems like it would have been a good fit.

Well, they were closely linked at one time. In the 80's they formed Subaru-Isuzu Automotive (SIA). All those Rodeos and Passports with the rusting frames were made at the Subaru plant in Indiana. Subaru should probably accept some of the embarrassment over that issue.

Mark

[vt_maverick]

Well, they were closely linked at one time. In the 80's they formed Subaru-Isuzu Automotive (SIA). All those Rodeos and Passports with the rusting frames were made at the Subaru plant in Indiana. Subaru should probably accept some of the embarrassment over that issue.

Mark

Now that's interesting... any of our Subi-lovers out there know of any abnormal rust issues on any Subaru models?

[deermagnet]

I think we meant the US passenger vehicle market.

What does it matter if they're selling big vehicles or small ones? The point is they're in the largest market in the world and making money, so they're happy. It was said they needed to be in the US market to compete globally and they are here.

Mark

[circmand]

The USA accounts for 23% of the total world consumption of goods, no other country is even close. How do you stay out that market and succeed in a global economy? Isuzu still sells us parts and will continue to do so to protect their remaining image. Other car makers like Fiat stopped selling parts to the USA and had to buy Chrysler to get an image that would fly in the USA again. Remember when FIAT stood for "Fix It Again Tony". Americans don't forget, and that's what Isuzu is afraid of confronting any too soon.

Americans do forget along ewith Fix it again Tony we have Ford Found on road dead or fix or repair daily. Ford had the exploding Pinto, Chevy had the unreliable Vega and the hidious Aztec, Toyota just recently had the surprise 0-60 cars as well as surpise my brakes don't work cars. Yet all of these car companies continue to be in business. Granted the old dealership model of requiring purchasing a dealership and setting up an exclusive lot would hurt them but if they approached existing dealers of other cars and said order what you want and sell them with the requirement of having trained mechanics for their car and honoring warranty work I bet they could beat the number of dealerships they had under GM who basically bought controlling interest to stifle competition and were no help.

GM killed the American Isuzu market

[vt_maverick]

What does it matter if they're selling big vehicles or small ones? The point is they're in the largest market in the world and making money, so they're happy. It was said they needed to be in the US market to compete globally and they are here.

Mark

I thought we were only talking about the passenger market, which translates your last sentence to this: "It was said they needed to be in the US [passenger] market to compete [in the passenger car market] globally."

I don't think anyone would argue that they are successful in the medium to heavy duty truck market. I see them freakin' everywhere.

[vt_maverick]

if they approached existing dealers of other cars and said order what you want and sell them with the requirement of having trained mechanics for their car and honoring warranty work I bet they could beat the number of dealerships they had under GM

That's an interesting idea, getting away from dedicated dealerships with lots of stock sitting on the lot and going towards having a representative number of vehicles on the lot and letting dealerships order them "on-demand" when customers want to buy them. Only problems I could see are that existing dealerships would have to have space on their lots and it would be difficult for Isuzu to determine how many cars to manufacture each month. As I understand it GM and other manufacturers set a factory production target and "push" those vehicles onto dealer lots for them to sell. That way they don't have to produce more vehicles in the summer than in the winter, which allows them to keep a stable workforce throughout the year. Predicting demand is always the major obstacle in "just-in-time" distribution models.

Agreed that it could be a good way to get back in the market for a reasonable cost though. I'm pretty sure that's how exotic car manufacturers work...

[H3_VX]

Into the US market......almost impossible.

In order for isuzu to gain market again must do what they never did while they were here..

1st An whole line up of new vehicules with lots of improvement and techology along with.

Better engines.More into the high performance side,
Vehicules with radical and atractive designs,more and better engeneering,no engine blowing up or oil compsumtion,no water pool under floor carpet could be a good start.

Of couse when I posted this thread I knew they would have to update certain things or models of previous vehicles, but there are tons of vehicles out there that look many times better than the originals did. I wonder if Isuzu could get together with a company like Mahindra when they hit the market later this year (if they in fact do). Mahindra's trucks are terribly ugly, but I've read that they have some awesome engines and technology. Don't know if its true though.

[Ascinder]

I'm digging the bodywork this Indian guy did to his Mahindra. They need to hire this guy for their body dept.

[Gussie2000]

I think hyundai is the better example of what isuzu shall have done while they were here.

When i 1rst saw hyundai vehicules i couldn't believe that a car manufacturer could have the guts to sell in the US what were the most junkies car ever sold here.

Hyundai knew that they must improve they line up of vehicules and fast,so year after year i could see that improvement.

Now hyundai is selling mad bunch of cars and SUV's at a reasonable price with great fuel economy and improving their reliabily which is paying of so far.

[WormGod]

Now that's interesting... any of our Subi-lovers out there know of any abnormal rust issues on any Subaru models?

Yes. Older Impreza RS and Forester models suffer from undercarriage rust.