Lexus is almost unknown outside the U.S. and Japan. I see about one or two cars here in Germany a week. And the Toyota/Lexus headquarter is just three miles away...

Lexus needs a bigger lineup to compete with european cars. So they need a smaller vehicle in the here so called Golf-Class (Rabbit-Class). The problem: They have to compete against Toyota...and this doesn't make big sense.

And there is an Audi A1 to come...

http://www.cwwcardesign.com/cars/lexus_cs200.html

 

Europe is completly different... People need small cars. So if there isnt an Lexus, they will buy Audi or MB.

Also, A6 is the best selling luxury car in my country, and 80% of them that I saw, have cloth seats. Europe is different.

 

I agree. The European and North American markets are VERY different, which is a why a small Lexus below the IS just would not work in North America, but it would work in Europe.

 

Definately.

The A-Class and 1-Series do well in Europe. Most drivers in Europe are "enthusiasts" compared to Americans, and want a light sporty car instead of a hefty big one. Of course, the rich will always want it bigger and better, but smaller German cars do much better for more people. MB and BMW do well with small luxo-sport cars because of their history and functionality, which by those standards are "luxurious."

As far as America is concerned, everyone wants it "bigger." Caddys and Hummers rule the roads. Light and sporty is nice, but people want something that has presence and comfort. I doubt that anything smaller than the IS will work in the U.S, unless if it's badged with Toyota/Scion instead of Lexus. Lexus will not do well with small luxo-sport cars because Americans percieve luxury and prestige with "bigger and better"...

 

They do and they have. Toyota puts a slightly de-tuned IS350 engine in the Auris for the Japanese market. I take it no-one here would be interested in a sub-IS compact with a 300+ hp V6 engine in - a la Audi S3?

http://www.autocar.co.uk/News/NewsAr...llCars/226749/