Mahindra & Mahindra is a classic case in point. BMW and Suzuki have also done it successfully. This brought me to think. Can MV Agusta and Hummer exist and thrive in company?
MV Agusta is a small boutique Italian outfit building limited edition Motorcycles boasting of 150+ horses. In the recent years the company has changed a lot of hands and also sold off its arm 'Husqvarna' to BMW. Without doubt MV would've made a classic fit with Lotus sports cars under Proton of Malaysia. But after foundering with ways to make it successful the company was sold off for a token 1 Euro. All these unsuccessful business decisions are not even the slightest hint to what beautiful bikes the company can make. Hummer on the other hand is an out and out macho and ugly SUV most males would forget about their girlfriends in. The first thing that comes to mind is to drive it over that enemy's BMW. Both the brands are white elephants but need a better owner.
Mahindra is a maker of mini pickups, MUV's and SUV's in India. They coincidentally also have a Humvee twin in production which is also sold to a few armies around the world. Recently Mahindra acquired Kinetic's 2 wheeler business and turned it around in a matter of 2 years. Trucks and 2 wheelers are as different as chalk and cheese but Mahindra has been able to be successful at the lower end of the market. With proper marketing and cost calculations it wouldn't be tough for a potential owner to turn a MV-Hummer joint venture.
A lot does need to be put into considerations such as platform development costs, R&D, Marketing, Profitability and debt repayment. But if Nissan can succeed under Carlos Ghosn, if Ford can evade bankruptcy under Alan Mulally, I am sure A MV-Hummer can survive under someone like Lee Iacocca (Bring him back before it's too late.)
Pssst: If Lamborghini can build the Estoque and if Porsche can build the Panamera, MV-Hummer can build a premium sports sedan too. (A rebadged Pontiac G8 or Solstice anyone?)
Monday, 8 March 2010
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