A top Honda executive said Monday that while adding high-tech features to cars will inevitably reduce profits, skimping on R&D costs would do greater harm in the long run. “This is my personal opinion, but if car makers don’t spend the necessary funds on R&D choosing instead to retain a high margin, things will eventually catch up with them,” said Senior Managing Director Michiyoshi Hagino, which Reuters sees as a jab at Nissan. When asked if Nissan’s industry-leading profitability goal was wise, Hagino said: “Who knows what could happen, but in our view, things could get tricky there.” In recent years, many analysts have cited a lack of innovation as one of the leading causes of slumping sales for American automakers.
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06/13, 12:08 PM
posted by:
Ahk-Med
“if car makers don’t spend the necessary funds on R&D choosing instead to retain a high margin, things will eventually catch up with themâ€?
Who could disagree with that? Ford and GM proved his point long ago…
06/13, 12:09 PM
posted by:
Mike
R&D SHOULD NOT be limited to high-tec features.
Sometimes the lowest tech features can create the greatest product developments.
Complicated and electronic is NOT always the most sophisticated.
06/13, 12:56 PM
posted by:
Mike
GTO: outside looks. It has the mechanicals and interior to seriously perform, but it looks like someone made a silly putty mold of a 1st gen Hyundai Accent and stretched it.
Catera: bland styling inside and out. questionable reliability. Came too early, a rwd BLS for america would sell exceptionally well now.
06/13, 2:15 PM
posted by:
Veda
for domestics perhaps but Nissan… their current CVT even outperforms Honda’s. Though I have to say Nissan’s main problem lies in the poor interior quality.
06/13, 4:20 PM
posted by:
manny
not spending on r&d a mistake? no way!
if they have this much common sense why does the ridgeline look like it does?
06/14, 12:26 AM
posted by:
Steve
…and in other news, the sky is blue.
06/14, 11:51 AM
posted by:
aj
Not from GM or Nissan’s view…….
06/22, 9:13 AM
posted by:
Tim Utzinger
To Honda R&D Dept and Staff:
I have come up with a new and innovative option that may be easily installed on all automobiles. If you’re interested. It’s small, but very practical.
307-382-5866