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  • Aug 5

    According to data compiled by Edmunds.com, incentives on vehicle purchases averaged $2,902 in December 2008, the highest level in six years and up 18 percent from one year earlier.

    Incentives began increasing in October and November and have posted peaks for three months as automakers struggle to overcome the lowest consumer demand in twenty-five years.

    According to the Conference Board, a market information group, consumer confidence in the United States is at its lowest level since 1967, a fact clearly reflected in December's auto sales, down 35.6 percent from December 2007.

    Jessica Caldwell, an analyst for Edmunds.com quoted in a report by Automotive News said, however, that the strategy isn't working. "They've been spending more and more money to try and entice anyone to come into a showroom. They're offering more and more money, but it's not really leading to any more sales."

    In December, Toyota's incentives averaged $1,995, up 87 percent from 2007. Ford topped the list with average incentives of $4,029 per vehicle, followed by Chrysler at $3,667; General Motors at $3,661; Nissan at $2,251; and Honda at $1,218.

    The highest incentives by vehicle segment are being offered on full-sized pickups with consumers getting breaks of as much as 16.5 percent of the sticker price.

  • Aug 5

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  • Audi ad made in Detroit chrysler eminem.

    A scene from the disputed Audi ad.

    By: Joseph Lichterman, Automotive News on 7/29/2011

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  • Detroit charities have emerged as the victor in a dispute between Audi AG and Eight Mile Style LLC, the company that licenses Detroit rapper Eminem's songs, after Audi released a commercial in May that appeared to rip off of Eminem's "Imported from Detroit" Chrysler spot.

    "Audi has tremendous respect for Eminem and his works

  • 2010 Audi S4 AutoWeek Long-Term Wrap-Up: Sweet Sorrow
  • Did Audi import German-market ad from Chrysler and Eminem?
  • 'Imported from Detroit' shirts sell out quickly
  • Super Bowl ads: Which was your favorite?
  • Eminem, Chrysler score a Super Bowl touchdown
  • Detroit charities have emerged as the victor in a dispute between Audi AG and Eight Mile Style LLC, the company that licenses Detroit rapper Eminem's songs, after Audi released a commercial in May that appeared to rip off of Eminem's "Imported from Detroit" Chrysler spot.

    "Audi has tremendous respect for Eminem and his works, and likewise for the 'Imported From Detroit' campaign which was created by Chrysler, and certainly Audi would never wish to insult or harm those parties or their fans and customers," the German automaker said Friday in a statement.

    Terms of the settlement weren't released, but as part of the agreement--which both parties said was reached "amicably"--Audi said it would "support the revitalization of Detroit by contributing to selected social projects."

    Audi didn't specify which organizations would benefit, but Joel Martin, of Eight Mile Style told the Detroit Free Press that a project "will be announced soon."

    "Just like 'Imported from Detroit' helped benefit charities like the Marshall Mathers Foundation, we as Eminem's publisher can give back to Detroit," Martin said, according to the newspaper. In the statement, Audi said that "the recognition of the Intellectual Property Rights of third parties is a very important part of Audi's corporate philosophy."

    An Audi spokesman wasn't immediately available for comment.

    The commercial shows a man driving the A6 Avant around the darkened streets of a German city. The camera zooms in on the driver and then pans to the passing cityscape. A guitar riff--strikingly similar to Eminem's "Lose Yourself"--plays menacingly in the background.

    The controversial Audi spot debuted at a May 18 press event in Berlin and proceeded to go viral online. The commercial never was broadcast in the United States, but a copy of the commercial uploaded to YouTube had more than 2 million views as of Friday morning.

  • Aug 5

    More than half a century ago Nobushige Wakatsuki, known within the company as "Crazy Nobe," suggested Nissan sell its vehicles in the United States. The executives said no, but Wakatsuki would not be deterred, finally going ahead without corporate permission and starting a solo marketing effort in California. Consequently, Wakatsuki, who died on November 13 at age 81, is credited with bringing the Nissan brand to America.

    At age 29, Wakatsuki was actually employed as a manager with a trading firm, Marubeni Corp. He lobbied for his U.S. idea with Nissan's management board even though he was a company outsider. The first cars he brought to Los Angeles were sold through his own efforts, and Nissan did not come on board officially until 1960. Its cars have been sold in this county under the Datsun, Nissan, and Infiniti brands.

    In a 2008 interview with Automotive News, Wakatsuki said, "When I would try to talk to people at Nissan about selling cars in the United States, they would look at each other and then get up and leave the room. They thought I was crazy. They told me I didn't know what I was talking about. It was very humiliating to me."

    In 2008, Nissan sold 951,350 cars and trucks in this country, more than vindicating Wakatsuki's vision. The first year they were offered for sale, however, in 1958, only 83 units sold.

  • Aug 5

    Later this month, in a response to the ever slowing sale of new vehicles, General Motors will stop production at all plants in Europe except the facility at Russelsheim.

    The move, which will cut production by 40,000 units from the period October 20 to October 31, has angered union leaders who are seeking legal action charging that they were not told informed in advance about the move.

    "Workers' delegates do not accept the one-sided approach of the management because such difficult situations can only be solved by working with the employees," said Klaus Franz, chair of GM Europe's employee forum.

    The Russelsheim plant will continue operation because it builds the Opel/Vauxhall Insignia, a vehicle just being brought to the market.

    In Europe, GM sells brands including Opel, Vauxhall, Saab, and Chevrolet. The move to cut production in the European market is part of a larger trend among car makers who are facing plummeting sales in the face of tight credit and shaky consumer confidence.

    In September, the sale of new cars in western Europe reported a 9.2 percent decline to just 1.21 units according to figures compiled by J.D. Power Automotive Forecasting. Predictions are for a fall of 7 to 8 percent overall in 2008.

    In a similar move, Volkswagen announced on Monday, October 6 that it would close its Czech factories at the end of the month to cut back its inventory of the Skoda brand.

  • Aug 5

    The Insurance Institute for Highway Safety made the requirements for its Top Safety Pick Award more stringent for 2009, resulting in a third fewer vehicle recipients this year than last.

    In 2008, vehicles were required to receive top scores for front and side impact testing, in addition to rear-impact whiplash protection and electronic stability control.

    For 2009, however, there was an additional requirement for roof crush safety during rollover incidents. Roofs were expected to withstand four times the weight of the vehicle with crushing of less than five inches.

    Large cars meeting the new standards include the Ford Taurus, Buick LaCrosse,Lincoln MKS, Volvo S80. Mid-sized models are the Chevrolet Malibus built after October 2009, the Audi A3, the Chrysler Sebring four-door with stability control, the Dodge Avenger with stability control, the Mercedes-Benz C-class, the Subaru Volvo C30.

    Small cars selected were the Kia Soul, the Honda Civic four-door with stability control (except the Si), the Nissan Cube, the Subaru Impreza (except the WRX), and the Volkswagen Golf four-four. Qualifying mid-sized SUVs included the Dodge Journey, the Subaru Tribeca, the Volvo XC60, and the Volvo SC90. Small SUVs named were the Volkswagen Tiguan, the Honda Element, the Subaru Forester, and the Jeep Patriot.