Skip navigation
MOST POPULAR RELATED TAGS
  • TOPICS
  • SECTORS
  • COMPANIES
 
 
Behind the Wheel Video Gallery
The Nikkei 225 finished up 0.2% at 9,808 Monday, but volume was down at a 6-week low. Fast Retailing, Suzuki Motor, and ...
Fiat said its 5-year road plan to turn around Chrysler will result in the doubling of revenue. "There is no alternative ...
LEBEAU'S AUTO INDEX
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...

BEHIND THE WHEEL VIDEO

» More

Current DateTime: 07:01:03 09 Nov 2009
LinksList Documentid: 30830730
Expiration DateTime: 11/9/2009 7:03:30 PM
    • The Nikkei Business Report  17 hrs ago

        The Nikkei 225 finished up 0.2% at 9,808 Monday, but volume was down at a 6-week low. Fast Retailing, Suzuki Motor, and Kubota were top gainers, but major power companies were among the hardest hit. Makiko Utsuda from The Nikkei has more.

    • Fiat's 5-Year Road Plan for Chrysler  05 Nov 2009

        Fiat said its 5-year road plan to turn around Chrysler will result in the doubling of revenue. "There is no alternative but for Chrysler to be ambitious at this point," Stefano Aversa, co-president of restructuring specialists Alix Partners, said Thursday. "They have plenty of cash."

    • Ford's Safer Seatbelt  05 Nov 2009

        Ford is unveiling its groundbreaking seat belt. CNBC's Phil LeBeau has the details.

    • Chrysler's Rebirth  05 Nov 2009

        Chrysler is kicking off its rebirth and hoping its new game plan will please the government as well as the industry. Mike Jackson, chairman and CEO of AutoNation, shares his insight.

    • Toyota Reports Surprise Profit, but Outlook Bumpy  05 Nov 2009

        Toyota's results blew past expectations Thursday. The Japanese automaker posted a surprise quarterly profit and halved its annual loss forecast. "Toyota is still making a loss. It's still going to face a very difficult future ahead," Graeme Maxton from The Insight Bureau said. "This doesn't mean that the auto sector has turned around."

RSS FEED

» Help

Current DateTime: 07:01:03 09 Nov 2009
LinksList Documentid: 30830722
powered by digg

Behind The Wheel

Text Size
Oct.03
9:57 AM ET

This is for all of you who e-mail and call me "Toyota Phil" and for those of you who think I favor the Japanese automaker and never write anything critical.

And yes, even for those of you who have suggested I am part of a conspiracy in the media to only portray Toyota [TM  Loading...      ()   ]as the best in car business (Yes, I actually get e-mails stating this).

The Japanese automaker finds itself in an unusual position--explaining why its sales plunged 29% last month while promoting its cars and trucks with the type of 0% financing offer the Detroit three have been running (and criticized for) in recent years. In short, Toyota is getting a taste of the tricky life that comes when you are the second largest automaker in the U.S..

This doesn't mean the wheels are coming off at Toyota. It does mean the automaker is finding the challenges that come with being large are not strictly the problems of the Big 3.

Also, Toyota is finding GM's [GM  Loading...      ()   ] models have risen to a point that they can attract buyers, especially when sweetened with employee pricing. Just look at the success some of GM's models had last month while Toyota's bread and butter models struggled with far fewer incentives.

As a result Toyota has to fight fire with fire and bring the kind of offer that will get buyers back in the showrooms. Zero percent financing on 11 models will certainly help.

This is not a case of throwing cash out on some inferior models. This is simply greasing the deal a bit to help buyers feel good about buying. It's a smart and necessary move in this market.

Welcome to life at the top of the food chain.

_____________________________________
Click on Ticker to Track Corporate News:

- Ford Motor [F  Loading...      ()   ]

- General Motors [GM  Loading...      ()   ]

- Nissan [NSANY  Loading...      ()   ]

- Honda Motor [HMC  Loading...      ()   ]

_____________________________________

Questions?  Comments? 

© 2009 CNBC, Inc. All Rights Reserved

Tools:
PrintEmailAdd This share icon
  • digg share
ADD COMMENTS
Remaining characters


Current DateTime: 03:21:08 09 Nov 2009
LinksList Documentid: 29778428

Current DateTime: 01:47:27 09 Nov 2009
LinksList Documentid: 29779196

Current DateTime: 06:53:35 09 Nov 2009
LinksList Documentid: 29779199

Current DateTime: 01:47:27 09 Nov 2009
LinksList Documentid: 29779198
  Data is a real-time snapshot  *Data is delayed at least 15 minutes
Global Business and Financial News, Stock Quotes, and Market Data and Analysis

© 2009 CNBC, Inc.  All Rights Reserved.
A Division of NBC Universal
Thomson ReutersThomson Reuters