Toyota to suppliers: Don't sell to Hyundai

[Xtrema]

http://www.autoblog.com/2006/06/17/toyota-to-suppliers-don-t-sell-to-hyundai/

[SC2]

"Toyota no longer see's GM as its main competitor"

That seems to be more interesting than the article.....

[Xtrema]

Originally posted by SC2
"Toyota no longer see's GM as its main competitor"

That seems to be more interesting than the article.....

Hyundai got the momentum, the drive and the power to unseat Toyota. No automaker in the world are in that position.

[eblend]

just cuz toyota has nothing interesting to offer. I can't belive thats not illegal

[benyl]

why would exclusivity be illegal?

Most big box retail stores do that all the time.

[D. Dub]

Originally posted by Xtrema


Hyundai got the momentum, the drive and the power to unseat Toyota. No automaker in the world are in that position.

Now if they would only change that damn name in NA and step away from the negative connotations it still has!!!!!

[heavyD]

Originally posted by Xtrema


Hyundai got the momentum, the drive and the power to unseat Toyota. No automaker in the world are in that position.

Hyundai has made a huge turnaround and now make decent quality vehicles for a low end price but I don't ever see them being a threat to Toyota or even Honda.

They have a niche of affordable cars but they will never be a player in the over $30000 segment for any vehicle. Seriously if you are going to drop $35K or more on a vehicle are you going to put it on a Hyundai? I wouldn't.

[habsfan]

if i could buy a vehicle with everything you'd expect in a 40k+ vehicle for 35k, what has become good reliability, and a long warranty, i'd have no problem buying a hyundai if it fit my needs.

[benyl]

Originally posted by heavyD


Hyundai has made a huge turnaround and now make decent quality vehicles for a low end price but I don't ever see them being a threat to Toyota or even Honda.

They have a niche of affordable cars but they will never be a player in the over $30000 segment for any vehicle. Seriously if you are going to drop $35K or more on a vehicle are you going to put it on a Hyundai? I wouldn't.

That is what all the domestic lovers said 20-30 years ago when Toyota and Honda entered the market.

I think that Toyota is smarter than the big 3. Toyota knows what it did to the big 3 and doesn't want the same to happen to them.

[bspot]

Originally posted by benyl


That is what all the domestic lovers said 20-30 years ago when Toyota and Honda entered the market.

Exactly. Back in the days of the first generation civic and tercel you would get called a fool if you said you'd spend $20K on a japanese car. Same with Subaru at the time of the Justy.

Now you have people strongly desiring the high end Toyota's, Honda's and Subaru's.

[heavyD]

Hyundai has gotten major props for their initial quality in recent years which has helped them immensly. Unfortunately if you look at their long term reliability (the true measure of reliability IMO) it is still bottom 3rd of the industry.

Don't EVER confuse Toyota & Honda reliability with Hyundai. Reliability is why Honda & Toyota are where they are today. Lets not assume that a Korean automaker with poorer long-term reliability than domestics will take the world by storm.

[benyl]

Reliability is not directly proportional to sales. If Hyundai becomes the "pimp shit" to own, then the sky is the limit.

Look at VW, MB, BMW, Audi, etc... some notoriously unreliable vehicles in that bunch. Yet most of them still sell quite well.

Perception is reality.

[heavyD]

Originally posted by benyl
Reliability is not directly proportional to sales. If Hyundai becomes the "pimp shit" to own, then the sky is the limit.

Look at VW, MB, BMW, Audi, etc... some notoriously unreliable vehicles in that bunch. Yet most of them still sell quite well.

Perception is reality.

Again how many people do you know that refer to Hyundai products as 'pimp shit'? Many consumers are still scarred but the garbage that Hyundai sold in the 80's & 90's.

VW sales have taken a major hit in recent years due to their ongoing reliability problems. Domestics are still reeling from the crap they sold in the 80's & 90's.

[benyl]

In all honesty, I don' t think Toyota has to worry about the Koreans... It is the Chinese they have to worry about.

[bspot]

^^ The words of a Korean trying to deflect the world's attention onto the Chinese so the Koreans can take the world by storm! We're on to you! :rofl:

[Crymson]

I think that's a grey area of legality.

Nintendo got busted huge in the 80's under US anti trust laws because it was telling stores that wanted to stock nintendo products, that they could not stock sega or atari products as well.

Just recently Japanese law got involved in an anti-trust suit against AMD and Intel, in this case they sided on the side of AMD's suit against intel, that Intel was leveraging it's size unfairly to cajole PC manufactures not to buy AMD chips.

So, I don't really know where this lies -- if toyota somehow threatened their suppliers -- "if you sell to hyundia, you lose your biggest customer" -- sounds like some kind of breach of antitrust legistlation put in place to stop monopolies or the "big guns" from pushing around competetors in realms beyond the sales floor.

But you'd think the real suit would be between the suppliers and toyota, not Hyundai and Toyota, because in this case Toyota would leveraging their size against their suppliers.

However, i'm sure the case has a legitimate basis on the grounds of toyota's patents or technology being used without license.

[muse017]

Originally posted by heavyD
Hyundai has gotten major props for their initial quality in recent years which has helped them immensly. Unfortunately if you look at their long term reliability (the true measure of reliability IMO) it is still bottom 3rd of the industry.

Don't EVER confuse Toyota & Honda reliability with Hyundai. Reliability is why Honda & Toyota are where they are today. Lets not assume that a Korean automaker with poorer long-term reliability than domestics will take the world by storm.

TRUE, however their long term reliability test isn't base on thier brand new cars so basically you can not really tell the true reliability of new cars like(Azera, Sonata) unitl like 2009. Hyundai a couple years ago was an absolute crap. Right now I drive a Tucson and had about 1.5 yrs with 40,000kms.
I haven't had a single problem on my hyundai yet. I am not trying to bash VW, but When I purchased a brand new 2000 Jetta 5yr ago, I've gone through so many problems in a couple month(Glove box hinge, cup holder problem, sunroof de-railed) I don't even remember all of them.

[SwitchBlade]

In one of our automotive marketing classes there was a debadged prototype and we were supposed to guess which automaker it was. I'll see if I can find the picture, but the car looked like a Benz but turned out to be a Hyundai. I think that they have more of an idea on what customers want whereas GM has no clue.

[cosmok]

Originally posted by Crymson
So, I don't really know where this lies -- if toyota somehow threatened their suppliers -- "if you sell to hyundia, you lose your biggest customer" -- sounds like some kind of breach of antitrust legistlation put in place to stop monopolies or the "big guns" from pushing around competetors in realms beyond the sales floor.

But you'd think the real suit would be between the suppliers and toyota, not Hyundai and Toyota, because in this case Toyota would leveraging their size against their suppliers.

They aren’t saying that in the entirety. Toyota played a large role in getting these companies started, and it’s as though they are being undercut by the suppliers supporting Toyotas alleged greatest threat. It isn't a matter of “don't sell to them or we'll walk away from you,” it’s more of “stop selling to them or we will increase our stake in your company to a controlling level and stop it ourselves.”