Vying for the Crown- Toyota and Ford

The much hyped success of Ford’s Endeavour could not last long as Toyota has kindled a new sensation with its Fortuner. While many car industries are squeezing their minds to sell of their products, Toyota has a different kind of crisis- to meet the demands of the booking for this car. Initially the company has planned to manufacture some 2000 cars at launch, but with the given demand, the company is setting its production target to 2500 units.

The irony is that the company has received bookings for 5038 units and bookings have been suspended at the dealer network. In the meantime the company is exploring all possibilities to increase the production to 3000 units by this December, according to the company’s Deputy Managing Director.

The company is bothered about the waiting time (six months) and has decided to clear off the bookings. Till date, the company has completed and delivered 550 vehicles from its Bangalore factory. But the situation in Ford circles is different- 250 units/month(30%share) and is contemplating to compensate with a new version carrying automatic transmission (not found in Fortuner). Ford has in reserve some more models for the future including an SUV next year.

Ford is quite magnanimous to say that Fortuner is capable of expanding the market and the industry as well. However, Endeavour has its own merits to claim and Ford believes that the market potential will be bigger with the necessity for more vehicles. The trend in the SUV segment is devoid of any prospects (10-15% decline) during April-July period. The segment includes Chevrolet Captiva, Honda CR-V, Mitsubishi Palero and Outlander.

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