In the late 1990s new prospects began opening up rapidly for the automobile industry. The world's three biggest markets,Western Europe, the United States and Japan, had become replacement markets offering no further potential for major growth. Until then, 80% of the world population had had only limited access to cars, but new, promising and buoyant markets were starting to emerge.In 1995, to ensure Renault's profitable growth,I took the decision to expand the company to markets outside Europe," recalled Chairman and Chief Executive Officer Louis Schweitzer, announcing an annual sales target of 4 million vehicles for the Renault group by 2010.
The scale of the challenge and the conditions needed for success were identified.The regions targeted for growth cover huge geographical areas.While they are extremely varied, they do share some features such as high rates of economic growth, albeit with marked cyclical swings.
Potential buyers belong to a gradually-emerging middle class that will be the automobile market's chief source of future growth. These new customers are fully aware what vehicles are available worldwide but cannot always afford a new, modern car.When buying a car is possible, it is often regarded as an investment.
Another feature of the emerging markets is that driving conditions are often difficult, with extreme climates, roads in need of repair, irregular vehicle maintenance and cars frequently carrying heavier loads than they were designed for. Some of these markets are closed to imports in order to protect local industry and put pressure on international automakers to build manufacturing facilities in the countries concerned.
Goals: competitive pricing, reliability, durability, and the best of Renault technology With this in mind, in 1998 Renault began looking into the possibility of making a modern, robust and reliable familycar at an entry-level price of €5,000.
The following year, Jean-Marie Hurtiger was put in charge of the project. "It was a fascinating challenge," he said."We had to start from scratch on the first vehicle developed by Renault for sale initially outside Western Europe, and a programme in which financial considerations were key."
Right from the start, the goal was to meet the demands of customers for whom a car was a major purchase and whose chief criteria were the price, reliability and durability. Now, in June 2004, Renault is introducing Logan, the first vehicle in the X90 programme. A three-box saloon, Logan offers best-in-class price/space ratio, with five full-size seats and a very large boot. Its features are exactly suited to the types of use envisaged, especially in terms of reliability and robustness. The modern design is in line with international standards, European Union norms and those in force in the countries where it will be sold.
It also supplies all the fundamentals of a modern vehicle, with dynamic features and safety to European standards, as well as an attractive, upmarket design. It is a 100% Renault product (design, technology, development, chassis and powertrain) and will be sold under the Renault brand on some markets.Whether the Dacia or Renault badge is used will depend on the characteristics of each market and on how long and in what circumstances Renault has been established there.
In Central Europe,Turkey, northern Africa and the Middle East, Logan will be marketed under the Dacia brand, extending Renault's range of vehicles. It will be positioned in the entry-level vehicles segment which in a country like Poland accounts for 30% of the automobile market.
On other markets where Renault has a relatively limited presence, Logan will help to win new customers for the brand. In Russia, for instance, Logan will have a Renault badge and will be competing in the segment of new vehicles sold at between €8,000 and €10,000, which account for 90% of the market.
Logan's modernity and quality, along with the fact that it is 100% Renault technology and will be sold by Renault dealers, will underpin the construction of Dacia's brand image. The international development programme was drawn up in mid-2002. In addition to the Pitesti pilot plant in Romania, Logan will also be made in Russia, Morocco, Colombia and Iran, with the same goals of cost-effective production close to its markets. Investment of €230 million to build a plant in Russia, in partnership with the Moscow City Authorities, was announced in February 2003. Initial production capacity will be 60,000 vehicles a year.
In July 2003 Renault decided to invest €22 million to build a production line at the Somaca plant in Morocco with capacity of 30,000 units a year. It was decided to assemble the car in Medellin, Colombia, from 2006, with annual production capacity of 44,000 for investment of €16 million. The most recent major decision concerned production in Iran, with the announcement of the creation of a joint venture company, Renault Pars, in partnership with the Iranian automotive industry. Logan will be made in Iran from 2006, with investment of €300 million and production capacity of 300,000 units a year. Renault is launching the X90 programme with a sales target of 700,000 vehicles a year by 2010.
Logan specs Logan is a family and general-purpose sedan, characterized by a structural design of modern style. The well-marked lines, from the hood up to the back, give a dynamic general look to this car of generous dimensions, which assure it an excellent habitability. Its exceptional habitability allows easily three tall passengers to settle down comfortably on rear seats.
The 510 litres volume of the trunk, as well as its geometry, allow the easy loading of very different forms of objects. Logan has two groups of Renault engines 1.4 l (75 HP) and 1.6 l (90 HP), 8 valves, with a JH gearbox, which confer its great qualities of road endurance.
Thanks to its robustness, Logan is guaranteed six years against corrosion. With a competitive price, Logan is also economic in use. Advantageously situated compared to the other cars of the same segment, Logan is also characterized by a good consumption level and a fair cost of maintenance.
Agel Enterprises
Hey really it`s an awesome car,I think it`s new technology for the other company and effect of the car on the market is high.
market
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