car segment profitability

[badkuk]

which segment do motor companies make the most money out of(dito sa pinas in particular)? passenger, LCV, luxury? or depende sa particular brand?

i'm a bit confused with some of the marketing/sales strategy of car companies here. nissan, for example, didn't bother to put out a revo/adventure AUV; on the other hand, toyota has no entry in the LCV arena, while mitsu's L300s have been lording it over for almost 2 decades now.

if they're worried about "tarnishing" the brand name...they could always use another badge/brand di ba?

[oldblue]

a honda diesel would be nice

[niky]

Honda's diesel vehicles of old are Isuzu derivatives (Trooper/Passport clones), they wouldn't be able to market them here beside the Isuzu donors. Their diesel Civics, though, would sell well.

The most profit any car maker can make is off of an SUV. That's because the huge price versus manufacturing costs means high dividends. Lower end models like L300s and Revos make less per vehicle and the margins are lower. But they sell in large volumes, so the ROI is shorter than with SUVs, where tooling for assembly lines (at least here in Asia) will only produce a mere handful by comparison.

They also save money on AUVs and Asian vans (like the L300) because they don't have to include safety systems or follow crash regulations like with cars and SUVs, thus development costs and tooling costs are very low indeed.