amf1932

http://money.cnn.com/2007/03/19/news...y_email_alerts

PhilipMSPT

iTrader: (5)

Sounds promising.

It definately gives Japanese, American, and European automakers something to think (and worry) about.

I can't wait to see the Chinese auto industry to get into it...

rsantiago

I can remember a just a decade ago, how Hyundai's were a ugly looking cars. Boy they've come a long way, even though one of their cars is a plain copy of the current generation Honda Accord.

mavericck

Sounds like a stupid move in my opinion. Case in point, the Phaeton and Volkswagens move upmarket. They need to develop an up-market division (i.e. Acura, Audi, Lexus) if they intend to succeed. I just can't see myself spending large amounts of money on a Hyundai.

JZA80MHU38

That depends on what the pricing strategy is IMO. If it's under 40K as expected then it may not be economical to set up a whole new brand and network to test a market -- for the price couple grands more than a fully loaded Camry and Accord, to get a nicely equipped car at the price of the near-luxury like the TL and RL, Infiniti G/M, etc. The key word is testing the market.

And now look back 18 years ago and see how bold and good Toyota's ability really is when they introduce the LS400. The market knew that Toyota can build nice family sedans with a bit of luxuries in it (Cressida and Camry, just like what Hyundai did with the new Azera). It helped to narrow the gap of doubt that people have for Toyota building a true luxury car.

Faraaz23

The luxury market is very competetitive these days... they are definitely facing an uphill battle. I am curious to see what route they go for a luxury car. IMO, they need to fill a niche here in the US. Mercedes is viewed as...well... they are and will always be Mercedes (presite, class, technological innovation). BMW is viewed as the drivers car. Audi is very attractive understated design and starting to get some serious performance, Infiniti is trying to become the japanese BMW, and we all know what place Lexus holds. While its a nice car, I never really got what market VW thought they could seriously go after with the Phaeton here in the US. Where will Hyundai fit? Are they going to try to be like Lexus?

uplusd

I thought Hyundai was Korean?

INHOCJP

Agreed. Thankfully the days of the Hyundai Excel are long gone.

Seize

Interesting, I'd definitely like to see what they have to offer

IS_Mine

It is a Korean company.

Hyundai and Kia = Korean

Daewoo too but that is now GM? Or something like that.

I always thought the Hyundai Tiburon was a nice car and if it was badged by Toyota or Honda I'm sure it would have sold like hot cakes.

JZA80MHU38

I think what Philip's second paragrah is separated from the thrd paragraph. What he meant is Hyundai (a Korean company) gives the other makers something to think about, and also looking forward to seeing manufacturers from China joining the competition in the near future.

Tiburon looks not too shabby, but I have heard a lot of stories about its poor handling in adverse weather. Not sure if it's more related to the OEM tires or the suspension geometry.

Faraaz23

Does anyone know how their current flagship Azera is doing as far as meeting sales expectations? I think I definitely see more Avalons running around than Azeras.

LexBob2

I read somewhere, a while back, at that time, sales of the Azera weren't setting the world on fire. In this area they're offering cash incentives on them which would indicate they need help to move the inventory. You'd think Hyundai would want to get the Azera established before coming out with something even more luxurious and higher priced. It's hard to avoid the VW Phaeton comparison.

LexFather

It will find some buyers based on feature/price content but if some luxury badged cars fail here, I cannot see a $35,000 Hyundai doing much.

LexLaw

This was inevitable as we all see the direction that Hyundai has been heading as of late. They have have improved 300x in the last 10 years. However it will take a while to shed that cheap Korean label/stigma. Pricing will be key on a number of fronts. I for one would never spend 40K or even 35K for a crooked H on my grille. That, I think will be the toughest part for them. I don't know anyone who is wowed over by them or even takes them serious. Most people dropping 35K on a new car will in almost every case is gonna look at an Lexus ES, Infiniti G35 or base BMW 3-series. Hyundai will need serious product placement or ad campaigns because cash incentives and rebates will not cut it. Props to them for their aspirations. Let the games begin.