Tuesday, August 17, 2010

Land Rover build outside Europe?

Land Rover is going to build factories in India and China. It is no surprise as the China market already exceeded Japan for the second spot and the sales of luxury cars in China is growing rapidly. It is believe that annual sales for luxury cars in China alone would reach 1.1m. Which is a lot. It is also not surprising as many car makers operate joint ventures or open factories to cope with the demand. Examples would be the likes of Audis and Bmws. It also did not come as a surprise to built a factory in India as India is a growing market and Land Rover is currently owned by TATA group would belongs to a Indian conglomerate. But what took me aback was that Land Rover is leaving the option of exporting the cars to other countries. It has never been done by the premium brands even though they have factory in China. As they were worried by the quality control there even though the operating cost is enticing. For a brand like Landie, a trustworthy and reliable British brand who never stepped out of Europe is going to export cars overseas from China. If they really do it would people still buy a expensive car that is made in china? Perhaps they would if people really like Landies and the quality is not compromise.

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