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VW, Suzuki mulling rekindling relationship in face of legal battle

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Old 07-27-13, 11:19 AM   #1
Hoovey2411
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Default VW, Suzuki mulling rekindling relationship in face of legal battle

I could have sworn there was another thread regarding Suzuki's and VW's split up, but I have been unsuccessful in finding it in the CL archives. So new thread till I can



VW, Suzuki mulling rekindling relationship in face of legal battle


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Volkswagen and Suzuki have been undergoing marriage counseling in a bid to avoid finalizing their nasty divorce. The union has been troubled for some time, with Volkswagen claiming that it could affect operational decisions at Suzuki, and the Japanese brand's sniping and constant flirting with a certain Italian temptress causing rifts.

The matter first went to court in 2012, when Suzuki demanded VW get out, and leave its 19.9-percent stake in the Japanese brand in a box to the left. Now, Automotive News is reporting that the company will give the relationship one last shot, according to closed-door dealings between the two in London.

Still, it's understood that VW and Suzuki recognize the benefit of their alliance, and that it'd be in the best interests of the kids both parties to make things work. Spokespeople declined to comment to AN, but the newsmagazine spoke with Frank Biller, an analyst for LBBW in Stuttgart, who said, "Both companies stand to benefit if they can overcome the disagreements over leadership claims."

This argument over who wears the pants in the relationship has the potential to make or break the partnership, as sources close to the discussions told AN that if an agreement can't be reached, then a London-based arbitrator could get involved.

Suzuki last made waves when it up and pulled out of the US and Canadian markets last year after declaring bankruptcy.

http://www.autoblog.com/2013/07/27/v...of-legal-batt/
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Old 07-27-13, 11:48 AM   #2
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Wish Suzuki would come back to US. Their vehicles are really good and competitive, but sadly not many people are aware of the brand.
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Old 07-27-13, 12:01 PM   #3
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Wish Suzuki would come back to US. Their vehicles are really good and competitive, but sadly not many people are aware of the brand.
Suzuki's problem, in the U.S., was generally not their vehicles (especially with the excellent Kizashi), but simply the fact that they let their dealer-network here go completely to hell. By the time of their pullout, there were simply very few places left that actually sold their automotive products (though their popular motorcycle division fared somewhat better). I pointed that out several times over the years, but the dealer network just ended up losing more and more franchises...and pulling out of auto-shows. At one time (say, 10-15 years ago) there were 3 or 4 Suzuki dealerships within reasonable-driving distance of my house. At the time of their folding, there was just ONE left.....admittedly on a subway stop which also made access a little easier. This pattern, of course, was evident across the country. It's no wonder the company folded up here.....you have to have places to actually sell your cars if you are going to do buisness.
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Old 07-27-13, 07:38 PM   #4
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Suzuki's problem, in the U.S., was generally not their vehicles (especially with the excellent Kizashi), but simply the fact that they let their dealer-network here go completely to hell. By the time of their pullout, there were simply very few places left that actually sold their automotive products (though their popular motorcycle division fared somewhat better). I pointed that out several times over the years, but the dealer network just ended up losing more and more franchises...and pulling out of auto-shows. At one time (say, 10-15 years ago) there were 3 or 4 Suzuki dealerships within reasonable-driving distance of my house. At the time of their folding, there was just ONE left.....admittedly on a subway stop which also made access a little easier. This pattern, of course, was evident across the country. It's no wonder the company folded up here.....you have to have places to actually sell your cars if you are going to do buisness.
I agree with that. Last december, I was shopping for cars to replace my cars that got destroyed by Sandy. I was looking for inexpensive SUV for my daughter, and I didn't even consider Suzuki. I almost got her a Jeep Patriot, but at the last minute my wife found a Suzuki Grand Vitara online, and mentioned it to me. We went to check it out, and drove it home the same day. Only cost us about $1000 more than the Patriot would, but its got so much more - such as full time AWD, metallic paint, GPS and infotainment system with all the bells and whistles.

While I was there, I checked out the Kizashi as well, and I kind of regret not getting one for myself. You cant find them new anymore, and I ended up with a Mazda 3. Not that the Mazda is a bad car, but the Kizashi is just way cooler.
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Old 07-29-13, 10:01 AM   #5
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While I was there, I checked out the Kizashi as well, and I kind of regret not getting one for myself. You cant find them new anymore, and I ended up with a Mazda 3. Not that the Mazda is a bad car, but the Kizashi is just way cooler.
The Kizashi, unlike the Mazda3, was also available with AWD for bad weather.
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