Japanese automaker Nissan has appointed
Ashok Leyland’s engineering division, Defiance Technologies, to design
and develop the low cost Datsun small car, which will be sold in
emerging markets such as India, Russia and Indonesia. Previously, it was
anticipated that Nissan would co-develop the small car with Renault.
Now that Defiance Technologies has been roped in to design and develop
the Datsun small car, crucial new details have emerged about the car.
Firstly, the design and development will happen right here in India and
will focus on local usage patterns and road conditions.
Also, the major reason for Nissan
appointing Defiance to develop the Datsun small car is because the
company, being an Indian firm, has good access to Indian suppliers.
Therefore, expect a very high amount of localization in the Datsun small
car with almost all the components to build the car being sourced in
India. A high localization of parts will result in many advantages to
the car buyer. First of all, the initial purchase price of the car can
be kept low. Also, the cost of spare parts will be low, leading to a
lower ownership cost over a period of time.
In fact, these are the very factors that
has made Maruti Suzuki, the incumbent market leader, a force to reckon
with. So, Nissan taking this approach for their Datsun cars indicates
plans of very competitive pricing and for that matter, even service
costs of the Datsun small cars being made as competitive as the market
leader Maruti Suzuki. These factors are highly important in the entry
level segment of the Indian car market, where a low purchase price and
low cost of maintenance are accorded just as high a priority as high
fuel economy.
The first of the Datsun small car will be
launched in 2014, with an unveiling said to happen at that year’s Auto
Expo. Soon after, a second model is expected to join the Datsun range.
The Datsun range of cars are expected to sit under the Nissan Micra in
terms of price and positioning. The Datsuns will be positioned in the
price point of the Alto and will target fist time car buyers and those
upgrading from the likes of the Tata Nano and two wheelers. However,
Nissan is expected to launch Datsun as an all new brand. It remains to
be seen whether the Datsun cars will be sold by existing Nissan dealers
or whether they will be sold under a new Datsun chain altogether.
Courtesy: MyDigitalFC
No comments:
Post a Comment