Honda motorcycle to be applied to match up China urged the strategic model to Africa of weakness

Honda put the offensive in Africa motorcycle.It’s up to the August low-priced strategic vehicle in order to achieve a recovery in the growth market of the last that was late.

Honda to sell 11.45 million units per year (2010) is two-wheeler manufacturer in the world largest.In particular, the share of high in Southeast Asia, I have held the majority in most countries.Growth potential of future large still.

For the performance of 10 year of 1 trillion 288.1 billion yen sales at 11.45 million units a year, I have seen “to extend to 30 million units closer to the center in the emerging countries in the future” and (Honda stakeholders).

Profit structure of approximately in emerging countries are those “was charged with 10 billion yen in plant construction, and expected to about 50 billion to 60 billion yen annual sales, collect the 10 billion yen profit in two years” and.It is a business in a flexible manner that funding period also live in a fraction less than one automobile business.Operating income of the motorcycle business is 138.5 billion yen, higher than the 3.9 percent of the automobile business and 10.8% operating margin (FY2010).

It’s motorcycle business without the enemy where you support the backbone of Honda, heading in Asia, but the situation is completely different in Africa.

Share of Honda of the African continent-wide three million vehicles a year are sold only about 1%.He is being held in cheap motorcycle manufacturers in India and China the most.

That there is a characteristic “Crush ride it until it breaks the bike cheap, you do not mind the after-sales service” refers to African markets.Price difference is born and motorcycles made in such a premise it’s inevitable.

Currently, two-wheeled vehicle with a displacement of 125cc is the main product of the Honda sells for 100,000 yen or more in Nigeria.On the other hand, cheap motorcycles made in India and China is that it is 50000-70000 yen about.

August in the market, by launching a new strategic model, put a game.

Get an inexpensive parts without reviewing parts procurement system in China, dropping the quality, new models were to be assembled at the factory in Nigeria it.

As a result, we achieved about 65,000 yen in the Japanese Yen.Is higher than the price of the China Car of about 50,000 yen, but equal to the flagship models of Pajaji manufacturer of India.First sold in Nigeria, and the aim throughout Africa.

Is expected, “If built about 15 years, could become a big market for a Honda Africa” ​​and.

The early 2000s, an inferior copy motorcycles made in China dominate the market, such as Vietnam.There was a time when the status of the Honda was threatened.However, by turning on the two-wheeled vehicle that is not broken, a low level can not imitate copy manufacturer, was managed to redeem shares again.

Honda’s aim in Africa, it’s share of the take at a breath inspired by the success of the Asia Business.

(“Weekly Diamond” Editorial Shimizu amount through)

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