European Stars and Stripes (Newspaper) - February 14, 1994, Darmstadt, Hesse Monday february 14, 1994 automotive the stars and stripes Pago 9 behind Thea two year stud of Japan s Auto Market commissioned by the United states and Japan concludes that close relationships Between japanese car makers and dealers make it extremely difficult for foreign automakers to compete. The study which has not yet been released is the first joint attempt bythe two countries to assess . Charges that Japan s Auto Market has been largely closed to . Car makers. It provides new ammunition to . Negotiators who Are pressing Japan to set goals for increasing sales of foreign cars there. The japanese government and Auto Industry primarily blame the . Automakers for their poor showing in Japan. They say . Automakers Nave tried to sell Large cars with left Handor be the wrong Side for japanese Drivers and have not advertise enough. About 5 percent of new car purchases in Japan Are foreign mad models compared with about 20 percent in the United states. According to the study Many japanese car dealers Are unwilling or reluctant to add competing foreign models because they rely heavily on financial incentives received from the nation s car makers. The study was conducted by Nomura research Institute in Tokyo and Booz Allen & Hamilton inc. In Bethesda my if you want to get rid of you Clunker parking it at the curb with the key in it in new York City is still a pretty Good Way of unloading the Lemon. The National insurance Crim Bureau reported that new York continued to Lead the nation in car thefts in 1991 and 92, with 126,959. But the Good news is that the figure i Down 9.61 percent from the previous year. The decline is representative of Large cities around the country the crime Bureau said. In All 1,610,834 vehicles with a estimated value of $7.6 billion were stolen in 1992, but there s More Good news that was the first decrease in nine years Ford motor co. Issued a recall Friday for 31,500 Ranger trucks from 1988 that Are equipped with 2.0-liter engines and need work on the remissions systems. The automaker said it and the .environmental Protection Agency had determined the trucks Emit nitrogen oxides at Levels exceeding Federal standards in the United states and Canada. About 3,800 of the vehicles Are in Canada. Ford asked owners to make appointments at their dealerships where technicians will modify the exhaust emissions system including replacement of the exhaust system catalyst and the exhaust Gas recirculation valve. The starting instructions in the owners guide also will be Benz of North America is recalling cars for a defect that could cause engine compartment fires. Mercedes said Friday that it was recalling 5,900 of its 1992 and early1993 Model 400e vehicles to install a larger heat shield and reposition a Hose to prevent fuel vapor leaks that can cause fires. No accidents or injuries have been reported because of the problem but owners were being urged not to use the air conditioner until the repair was made. The air conditioner causes an electrical pre resistor to become hot and can ignite any leaking Vapours. From wire reports shining up their image a. _ dealers make strides in Effort to improve customer relations by Alan l. Adle rap Auto writer san Francisco the image of the automobile dealer As a fast talking Sleazy operator dates to the Early 20th Century when cars replaced horses in Liv Ery stables known As much for gambling and prostitution As horse trading. It s Only been in recent years that car dealers and their salespeople have begun to shake the rap. A recent Survey by the Dohring co., a Glendale automotive Market research firm found almost 80 percent of 1,246 respondents had a mostly or very favourable impression of new car dealerships. The seemingly Strong endorsement was tempered however by three of four respondents who said dealers should change or improve the Way they do Busi Ness. The most often cited complaint was Pushy salespeople. Ninety five percent of dealers treat customers the Way. They want to be treated themselves National Auto Mobile dealers association president Bill Dodge said recently. It is always the 5 percent in any business whose actions reflect on the rest of the Industry an that is Many dealers interviewed at the Nada s annual convention which in san Francisco on tuesday said they know they have a Long Way to go to make Consumers feel better about Deal ing with them. Several pointed to training programs offered by manufacturers and the association As raising the standards under which Sellers operate. In the two years since the association introduced it 800 salespeople have completed the four phase sales certification program. It includes courses on ethics and Law professional sales practices and customer satisfaction and loyalty. Nada announced phase ii of the certification program last monday. More than 900 salespeople managers and Deal ers from 84 dealerships in six cities have enrolled. In the not too Distant future custom ers will demand to work with certified sales professionals As they do in other industries said Lin Peacock Nada executive director of Dealership operations. Manufacturers too Are stepping up training of salespeople. Chrysler corp., for instance is spend ing millions to train Dealership workers How to sell its practically All new line oscars and trucks. Where salespeople used to have a hag gling advantage because they knew what the cars Cost wholesale today s customers often know that and More. In Chrysler s customer one program salespeople and dealers earn Cash incentives based on How Well they know the product and How they fare in so called customer satisfaction indexes conducted by the manufacturer after a Sale. Ready to Roll the first 1994 Ford Mustang it for Export to Japan is shown in the inspection area recently at the Dearborn Assembly Plant in Michigan. The Mustang will go on Sale in Japan in mid May. Ford makes two special Export models for Japan at the site. Program gives Jaguar new lease on life Chicago a still trying to con Vince would be Jaguar owners that they can Trust As Well As love the cars the Brit ish luxury car maker plans to begin wide spread leasing of used models within year. A reputation for poor Quality and Oft told tales of frequent breakdowns has been hard to shake. But Jaguar s Quality rankings Are improving rapidly under the Tutelage of the Ford motor co., which bought the com Pany for $2.5 billion in 1989. And Ford has been the guiding hand in an invigorated marketing Effort. I would have to say the major percentage of our improvement is due the leasing program because people Don t know about Good Quality until actually driving the cars Michael Dale presi Dent of Jaguar North America said. Dale said 72 percent of Jaguar sales last year were either two or three year leases. The two year lease with a monthly pay ment of $579 and a 30-Day satisfaction guarantee was so popular that Jaguar sales nearly doubled in 1993 to 12,734, up 46.7 percent from 1992. Dale predicts about 15,000 sales in the United states this year and about 30,000 worldwide compared with just Over 28,000 in 1993. Jaguar s break even Point financially is in the Low 30,000s. By 1995, we expect things to really explode and we will become a player again in the prestige Market he said. Dale said the guarantee on the leased cars reflected Confidence in changes at Jaguar. Only 2 percent of customers re turned their cars and half of those took another Jaguar in Exchange. Jaguar also sold 500 cars to budget rent a car to help get exposure. The Agency has had the cars for about 10 weeks and Dale said its Quality audits have shown the jaguars to be performing above average. Making the cars available for As Littles $59 a Day also has put people in them who Likely could not afford them otherwise. The average income of a Jaguar owner has fallen to about $100,000 year from $170,000. When the current crop of leased jaguars returns beginning late this said a leasing program for used cars should be in place. He refused to Esti mate the Likely monthly payment on a used lease but acknowledged it would be hundreds of dollars less than the $579 monthly payment on a new lease
