Some sources suggest Ferdinand Verbiest, whilst a member of a Jesuit mission in China, may have built the first steam powered car around 1672.[3][4] François Isaac de Rivaz, a Swiss inventor, designed the first internal combustion engine which was fuelled by a mixture of hydrogen and oxygen and used it to develop the world's first vehicle to run on such an engine. The design was not very successful, as was the case with Samuel Brown, Samuel Morey, and Etienne Lenoir who each produced vehicles powered by clumsy internal combustion engines.[5]
An automobile powered by a Otto gasoline engine was built in Germany by Karl Benz in 1885 and granted a patent in the following year. Although several other engineers (including Gottlieb Daimler, Wilhelm Maybach and Siegfried Marcus) were working on the problem at about the same time, Benz is generally credited with the invention of the modern automobile.[5]
Approximately 25 of Benz's vehicles were built before 1893, when his first four-wheeler was introduced. They were powered with four-stroke engines of his own design. Emile Roger of France, already producing Benz engines under license, now added the Benz automobile to his line of products. Because France was more open to the early automobiles, more were built and sold in France through Roger than Benz sold in Germany. From 1890 to 1895 about 30 vehicles were built by Daimler and his assistant, Maybach, either at the Daimler works or in the Hotel Hermann, where they set up shop after falling out with their backers. Benz and Daimler seem to have been unaware of each other's early work and worked independently.
In 1890, Emile Levassor and Armand Peugeot of France began producing vehicles with Daimler engines, and so laid the foundation of the motor industry in France. The first American car with a gasoline internal combustion engine supposedly was designed in 1877 by George Selden of Rochester, New York, who applied for a patent on an automobile in 1879. In Britain there had been several attempts to build steam cars with varying degrees of success with Thomas Rickett even attempting a production run in 1860.[6] Santler from Malvern is recognized by the Veteran Car Club of Great Britain as having made the first petrol-powered car in the country in 1894[7] followed by Frederick William Lanchester in 1895 but these were both one-offs.[7] The first production vehicles came from the Daimler Motor Company, founded by Harry J. Lawson in 1896, and making their first cars in 1897.[7]
In 1892, Rudolf Diesel got a patent for a "New Rational Combustion Engine". In 1897 he built the first Diesel Engine.[5] In 1895, Selden was granted a United States patent(U.S. Patent 549160 ) for a two-stroke automobile engine, which hinderd more than encouraged development of autos in the United States. Steam, electric, and gasoline powered autos competed for decades, with gasoline internal combustion engines achieving dominance in the 1910s.
Ransom E. Olds.
Ransom E. Olds.
The large-scale, production-line manufacturing of affordable automobiles was debuted by Ransom Olds at his Oldsmobile factory in 1902. This assembly line concept was then greatly expanded by Henry Ford in the 1910s. Development of automotive technology was rapid, due in part to the hundreds of small manufacturers competing to gain the world's attention. Key developments included electric ignition and the electric self-starter (both by Charles Kettering, for the Cadillac Motor Company in 1910-1911), independent suspension, and four-wheel brakes.
Although various pistonless rotary engine designs have attempted to compete with the conventional piston and crankshaft design, only Mazda's version of the Wankel engine has had more than very limited success.
Since the 1920s, nearly all cars have been mass-produced to meet market needs, so marketing plans have often heavily influenced automobile design. It was Alfred P. Sloan who established the idea of different makes of cars produced by one company, so buyers could "move up" as their fortunes improved. The makes shared parts with one another so larger production volume resulted in lower costs for each price range. For example, in the 1950s, Chevrolet shared hood, doors, roof, and windows with Pontiac; the LaSalle of the 1930s, sold by Cadillac, used cheaper mechanical parts made by the Oldsmobile division.
Tuesday, April 24, 2007
GM Europe:Streamline Production of Next-Generation Compact Car
• 3.1 billion Euro total investment in next generation compact cars in Europe
• Assembly planned in Germany, U.K., Sweden and Poland
• Consultation to begin with European and Belgian employee representatives on future production
• Reduction of current Astra production intended at Antwerp, Belgium
Zürich/Antwerp -- General Motors Europe today announced its plan to allocate assembly of its next-generation compact-sized cars to four manufacturing plants: Ellesmere Port, U.K.; Bochum, Germany; Trollhättan, Sweden; and Gliwice, Poland.
Production of the new vehicle, due to replace the existing Astra range in early 2010, is expected to involve a 3.1 billion Euro investment and a 30 percent productivity improvement.
There are no plans to allocate compact car production to the Antwerp, Belgium, facility beyond 2010. We are not talking about a plant closure, however, we have to achieve the necessary improvements.
No decision has yet been taken on future production but we will work on options for assembly operations at fair volumes together with the European Employee Forum (EEF). GM Europe will continue the process of information and consultation accordingly. GM’s Antwerp plant currently employs 4,500 people to produce the 3- and 5-door version, the station wagon and the convertible of the current-generation Opel Astra.
“Product allocations are extraordinarily difficult decisions to take,” said Carl-Peter Forster, President of General Motors Europe. “All of our Western European plants have significantly improved over the past few years and are now very close in terms of the various measures of performance, such as cost, productivity and quality. In the end, it is a strategic decision based on a number of factors such as capacity planning, brand and market considerations, as well as ongoing restructuring activities.”
Independent from future product allocations, current production at Antwerp is intended to be reduced in 2007, reflecting the normal diminution in demand over the current product’s lifecycle. GM Belgium is to begin consultations with employee representatives on staffing at Antwerp, where the elimination of the equivalent of a shift would require 1,400 fewer people.
Mr. Forster said: “I know that today’s announcements will be very difficult for our workforce in Antwerp. I want to recognize the contribution and performance of the entire team. We are committed to identifying a socially responsible approach to the intent to reduce the headcount later this summer by the reduction of production volume and to discuss alternatives for a fair transition beyond the end of the decade.
And Forster added: “The automotive business remains very challenging and GM Europe must continue to focus on increasing productivity and efficiency in order to compete effectively. We plan for an annual production of 750,000 units of compact cars in Europe, which is an increase over the 535,000 produced in 2006. Even with an increase, adjusting capacity to meet demand remains a challenge for GM as it is for other automakers worldwide. We would like to start soon the preparation work with our teams in Gliwice, Bochum, Ellesmere Port and Trollhättan for the production of the next generation, which will require reduced assembly time and an increase in productivity of 30 percent.”
Of those plants, Bochum currently employs 4,900 people, Ellesmere Port 2,200 people, Trollhättan 2,150 people and Gliwice 2,800 people.
Saturday, April 21, 2007
Bayerische Motoren Werke(BMW)
Pre-WWII
BMW was founded by Karl Friedrich Rapp originally as an engine manufacturer, Rapp Motor. Bayerische Motoren Werke GmbH was founded as a successor company to Rapp Motor on July 21, 1917. ] The Milbertshofen district of Munich was chosen, apparently because it was close to the Gustav Otto Flugmaschinenfabrik site. The blue-and-white roundel BMW logo, which is still used (illustrated above right) alludes to the white and blue checkered flag of Bavaria. It is often said to symbolize a spinning white propeller on a blue-sky background, although this interpretation developed after the logo was already in use.
In 1916 the company secured a contract to build V12 engines for Austro-Daimler. Needing extra financing, Rapp gained the support of Camillo Castiglioni, Cornelius Jagdmann and Max Friz, the company was reconstituted as the Bayerische Motoren Werke GmbH. Over-expansion caused difficulties; Rapp left and the company was taken over by the Austrian industrialist Franz Josef Popp in 1917, and named BMW AG in 1918.
After World War I, the Treaty of Versailles (1919) prohibited the production of aircraft in Germany. Otto closed his factory and BMW switched to manufacturing railway brakes.[2]
In 1919 BMW designed its first motorcycle engine, used in a model called the Victoria, which was built by a company in Nuremberg.
In 1924 BMW built its first model motorcycle, the R32. This had a 500 cc air-cooled horizontally-opposed engine, a feature that would resonate among their various models for decades to come, albeit with displacement increases and newer technology. The major innovation was the use of a driveshaft instead of a chain to drive the rear wheel. For decades to follow, the shaft-drive boxer engine was the mark of the BMW motorcycle.
In 1927 the tiny Dixi, an Austin Seven produced under licence, began production in Eisenach. BMW bought the Dixi Company the following year, and this became the company's first car, the BMW 3/15. By 1933 BMW was producing cars that could be called truly theirs, offering steadily more advanced I6 sports and saloons (sedans). The pre-war cars culminated in the 327 coupé and convertible, the 328 roadster, fast 2.0 L cars, both very advanced for their time, as well as the upscale 335 luxury sedan.
World War II
BMW motorcycles, specifically the BMW R12 and the BMW R75 combination were used extensively by the Aufklärungsabteilung of German panzer and motorised divisions of the German Army, Waffen SS and Luftwaffe.
BMW was also a major supplier of engines; supplying the Luftwaffe with engines and vehicles, and the Wehrmacht with motorcycles. Planes using the aero-engines included the BMW 801, one of the most powerful available. Over 30,000 were manufactured up to 1945. BMW also researched jet engines, producing the BMW 003, and rocket-based weapons. BMW has admitted to using between 25,000 and 30,000 slave labourers during this period, consisting of both prisoners of war and inmates of infamous concentration camps such as Dachau .
The BMW works were heavily bombed towards the end of the war. Of its sites, those in eastern Germany (Eisenach-Dürrerhof, Wandlitz-Basdorf and Zühlsdorf) were seized by the Soviets. The factory in Munich was largely destroyed .
Post-war history
After the war the Munich factory took some time to restart production in any volume. BMW was banned from manufacturing for three years by the Allies and did not produce a motorcycle, the R24, until 1948, and a car model until 1952 .
In the east, the company's factory at Eisenach was taken over by the Soviet Awtowelo group which formed finally the Eisenacher Motor-Werke. That company offered "BMWs" for sale until 1951, when the Bavarian company prevented use of the trademarks: the name, the logo and the "double-kidney" radiator grille.
The cars and motorcycles were then branded EMW (Eisenacher Motoren-Werke), production continuing until 1955.
In the west, the BAC, Bristol Aeroplane Company, inspected the factory, and returned to Britain with plans for the 326, 327 and 328 models. These plans, which became official war reparations, along with BMW engineer Fritz Fiedler allowed the newly formed Bristol Cars to produce a new, high-quality sports saloon (sedan), the 400 by 1947, a car so similar to the BMW 327 that it even kept the famous BMW grille.
In 1948 BMW produced its first postwar motorcycle and in 1952 it produced its first passenger car since the war. However, its car models were not commercially successful; models such as the acclaimed BMW 507 and 503 were too expensive to build profitably and were low volume.
By the late 1950s, it was also making bubble-cars such as the Isetta.
In 1959 BMW's management suggested selling the whole concern to Daimler-Benz. Major shareholder, Herbert Quandt was close to agreeing such a deal, but changed his mind at the last minute because of opposition from the workforce and trade unions and advice from the board chairman, Kurt Golda. Instead Quandt increased his share in BMW to 50% against the advice of his bankers, and he was instrumental in turning the company around.
That same year, BMW launched the 700, a small car with an air-cooled, rear-mounted 697 cc boxer engine from the R67 motorcycle. Its bodywork was designed by Giovanni Michelotti and the 2+2 model had a sporty look. There was also a more powerful RS model for racing. Competition successes in the 700 began to secure BMW's reputation for sports sedans.
At the Frankfurt Motor Show in 1961, BMW launched the 1500, a powerful compact sedan, with front disc brakes and four-wheel independent suspension. This modern specification further cemented BMW's reputation for sporting cars. It was the first BMW to officially feature the "Hofmeister kink", the rear window line that has been the hallmark of all BMWs since then.
The "New Class" 1500 was developed into 1600 and 1800 models. In 1966, the two-door version of the 1600 was launched, along with a convertible in 1967. These models were called the '02' series—the 2002 being the most famous—and began the bloodline that later developed into the BMW 3 Series.
By 1963, with the company back on its feet, BMW offered dividends to its shareholders for the first time since before World War II.
By 1966, the Munich plant had reached the limits of its production capacity. Although BMW had initially planned to build an entirely new factory, the company bought the crisis-ridden Hans Glas GmbH with its factories in Dingolfing and Landshut. Both plants were restructured, and in the following decades BMW's largest plant took shape in Dingolfing.
In 1968, BMW launched its large "New Six" sedans, the 2500, 2800, and American Bavaria, and coupés, the 2.5 CS and 2800 CS.
Of major importance to BMW was the arrival of Eberhard von Kuenheim from Daimler-Benz AG. Just 40 years old, he presided over the company's transformation from a national firm with a European-focused reputation into a global brand with international prestige.
Already commercially successful by the mid 60s, in December 1971, BMW moved to the new HQ present in Munich, architecturally modeled after four cylinders.
In 1972, the 5 Series was launched to replace the New Class sedans, with a body styled by Bertone. The new class coupes were replaced by the 3 Series in 1975, and the New Six became the 7 Series in 1977. Thus the three-tier sports sedan range was formed, and BMW essentially followed this formula into the 1990s. Other cars, like the 6 Series coupes that replaced the CS and the M1, were also added to the mix as the market demanded.
From 1970 to 1993, under von Kuenheim, turnover increased 18-fold, car production quadrupled and motorcycle production tripled.
"The English Patient" - Rover
Between 1994 and 2000, under the leadership of Bernd Pischetsrieder, BMW owned the Rover Group in an attempt to get into mass market production, buying it from British Aerospace. This brought the active Rover, Mini and Land Rover brands as well as rights to many dormant marques such as Austin, Morris, Riley, Triumph and Wolseley under BMW ownership.
The venture was not successful. For years, Rover tried to rival BMW, if not in product, then in market positioning and "snob appeal". BMW found it difficult to reposition the English automaker alongside its own products and the Rover division was faced with endless changes in its marketing strategy. In the six years under BMW, Rover was positioned as a premium automaker, a mass-market automaker, a division of BMW and an independent unit.
BMW was more successful with the Mini and Land Rover brands, which did not have parallels in its own range at the time.
In 2000, BMW disposed of Rover after years of losses, with Rover cars going to the Phoenix Venture Holdings for a nominal £10 and Land Rover going to the Ford Motor Company. The German press ridiculed the English firm as "The English Patient", after the film. BMW itself, protected by its product range's image, was largely spared the blame. Even the British press was not particularly sympathetic towards Rover. Land Rover has since enjoyed a greater success as part of Ford's Premier Automobile Group.
BMW retained the rights to Mini, Rover, Triumph and other marques. MINI has been a highly successful business, though the other names have not been used yet. The Rover name has recently been sold to Ford after BMW gave it a first refusal offer in 2000.
Redesign controversy
In the early 2000s, BMW undertook another of its periodic cycles of redoing the design language of its various series of vehicles, under the auspices of newly promoted design chief Christopher Bangle. These designs often featured unconventional proportions with complex concave and convex curved surfaces combined with (sometimes arbitrary-appearing) sharp panel creases and slashes, a design cue called "flame surfacing" by Bangle. Much of the new language did not rest well with BMW enthusiasts or the automotive press which referred to the new designs as "Bangled" or "Bangle-ized". Bangle is commonly mistakenly believed to have penned all of the designs himself; however, he only chose which design was to be used. As Bangle has now been promoted within the company to the BMW Group Head of Design, leaving him in charge of not only BMW but also Rolls-Royce and Mini, some question what long term effect the disaffection of BMW traditionalists for these designs will have on sales, and on the company's future. Despite this, or maybe because of it, sales at BMW have increased every year since some of his most debated designs have gone into production. BMW currently reigns as the most profitable luxury car manufacturer in global sales.
Many aspects of the "controversial" designs are now beginning to surface in other auto manufacturer's designs, most notably Toyota, Audi, and Honda. It should also be noted that similar designs to controversial styling cues such as the "Bangle-butt" rear end of the 7 Series, have since appeared in less pronounced form on competing cars, most notably on the new Lexus LS and the new Mercedes-Benz S-Class.
What is not as well known, however, is that Bangle was also responsible for many 'conservative' BMW designs and has worked at BMW for almost a decade. The first X5 sketches (which closely resembled the production car), were designed by him, and under his tenure the E46 3 Series came to be. Despite much of the scorn heaped on Chris Bangle it is well known throughout the automotive community that his design selections were prompted and approved by the entire executive board of BMW AG, including the majority owners, the Quandt family.
Production outside Germany
BMW started producing automobiles at its Spartanburg, South Carolina, plant in 1994. Today, the plant manufactures the BMW X5, the BMW Z4 Roadster and Coupe, and the BMW Z4 M Roadster and Coupe. The oft-rumored crossover vehicle, the X6, was recently confirmed by the Chairman of BMW's board as being under development for production at Plant Spartanburg.
Outside Germany, the largest output of the BMW Group comes from British factories. The Hams Hall plant manufactures four cylinder BMW engines for use around the world in 3-Series, 1-Series and Z4 vehicles. This is in addition to MINIs and Rolls-Royces made in Oxford and Goodwood.
The Spartanburg, SC plant is open six days a week, producing automobiles approximately 110 hours a week. It employs about 4,700 people and manufactures over 500 vehicles daily. Recently, the plant has undergone a major renovation switching from 2 production lines down to one. Now both the X5 and the Z4 are produced in the same line, one right after the other.
After a period of local assembly, BMW's Rosslyn, South Africa, plant now manufactures cars, with over 70% of its output destined for export. In the mid-1990s, BMW invested R1bn to make Rosslyn a world-class facility. The plant now exports over 50,000 3 Series cars a year, mostly to the USA, Japan, Australia, Africa and the Middle East.
Starting from October 2004, BMWs intended for the Chinese market are produced in Shenyang, China BMW has established a joint venture with Chinese manufacturer Brilliance to build BMW 3 Series and 5 Series that have been modified for the needs of local markets.
Starting in 2004, the X3 is manufactured in Graz, Austria by Magna Steyr with mainly German components.
In 2005, BMW Group built a new manufacturing facility in Egypt. This plant builds 3 Series, 5 Series, 7 Series, and X3 vehicles for the African and Middle East markets.
BMW opened a production plant in Chennai, India in 2007. This plant produces 3-series and 5-series vehicles. Showrooms are already present in all Indian metropolitan areas.
The BMW Group is considering the establishment of a new plant which will be located either in Volos, Greece or Limasol, Cyprus.These plants will be manufacturing motorcycles as well as the BMW 1 Series and the BMW 3 Series and will be serving the markets of Eastern Europe and Middle East.The construction will start in 2009 even if it is finally built in Greece or in Cyprus.
Rolls-Royce
In the early 1990s, BMW and Rolls-Royce Motors began a joint venture that would see the new Rolls-Royce Silver Seraph and Bentley Arnage adopt BMW engines.
In 1998, both BMW and Volkswagen tried to purchase Rolls-Royce Motors. Volkswagen outbid BMW and bought the company for £430 million, but BMW outflanked its German rival. Although Volkswagen had bought rights to the "Spirit of Ecstasy" mascot and the shape of the radiator grille, it lacked rights to the Rolls-Royce name. Rolls-Royce plc (the aero-engine business) retained the rights over the Rolls-Royce trademark and wished to strengthen its existing business partnership with BMW which extended to the BMW Rolls-Royce joint venture. Consequently, BMW was allowed to acquire the rights to the grille and mascot, and licensed the name and "RR" logo after 2003 for £40 million. Volkswagen was permitted to build Rolls-Royces at its Crewe factory only until 2003, but quickly shifted its emphasis to the Bentley brand.
In the meantime, BMW was faced with the need to build a new factory and develop a new model. The new factory at Goodwood produced the new Rolls-Royce Phantom, unveiled on January 2, 2003, and officially launched at the Detroit Auto Show on January 5, 2003. The model, priced around US$330,000, has experienced record sales worldwide of 796 Phantoms sold in 2005.
HYUNDAI
Chung Ju-Yung founded the Hyundai Engineering and Construction Company in 1947. Hyundai Motor Company was later established in 1967. The company's first model, the Cortina, was released in cooperation with Ford Motor Company in 1968. In 1975, the Pony, the first Korean car, was released, with styling by Giorgio Giugiaro of ItalDesign and powertrain technology provided by Japan's Mitsubishi Motors. Exports began in the following year to Ecuador and soon thereafter to the Benelux countries. In 1991, the company succeeded in developing its first proprietary gasoline engine, the four-cylinder Alpha, and transmission, thus paving the way for technological independence.
In 1986, Hyundai began to sell cars in the United States, and the Excel was nominated "Best Product #10" by Fortune magazine, largely because of its affordability. The company began to produce models with its own technology in 1988, beginning with the midsize Sonata.
In 1998, Hyundai began to overhaul its image in an attempt to establish itself as a world-class brand. Chung Ju Yung transferred leadership of Hyundai Motor to his son, Chung Mong Koo, in 1999. [1] Hyundai's parent company, Hyundai Motor Group, invested heavily in the quality, design, manufacturing, and long-term research of its vehicles. It added a 10-year or 100,000 mile warranty to cars sold in the United States and launched an aggressive marketing campaign.
In 2004, Hyundai was ranked second in "initial quality" in a survey/study by J.D. Power and Associates. Hyundai is now one of the top 100 most valuable brands worldwide. Since 2002, Hyundai has also been one of the worldwide official sponsors of the FIFA World Cup.
In 2006, the South Korean government initiated an investigation of Chung Mong Koo's practices as head of Hyundai, suspecting him of corruption. On April 28, 2006, Chung was arrested, and charged for embezzlement of 100 billion won (US$106 million), [2] with Hyundai Vice Chairman and CEO, Kim Dong-jin taking over as head of the company.
Business
In 1998, after a shake-up in the Korean auto industry caused by overambitious expansion and the Asian financial crisis, Hyundai acquired rival Kia Motors. In 2000, the company established a strategic alliance with DaimlerChrysler and severed its partnership with the Hyundai Group. In 2001, the Daimler-Hyundai Truck Corporation was formed. In 2004, however, DaimlerChrysler divested its interest in the company by selling its 10.5 percent stake for $900 million.
Hyundai has invested in manufacturing plants in the North America, Pakistan, China, India, and Turkey as well as research and development centers in Europe, North America, and Japan.
In 2004, Hyundai Motor Company had $57.2 billion in sales in South Korea making it the country's second largest corporation, or chaebol. Worldwide sales in 2005 reached 2,533,695 units, an 11 percent increase over the previous year. Hyundai has set as its 2006 target worldwide sales of 2.7 million units (excluding exports of CKD kits).
Hyundai motor vehicles are sold in 193 countries through some 5,000 dealerships and showrooms. After a recent survey of global automotive sales by Automotive News, Hyundai is now the sixth largest automaker in the world, surpassing Nissan, Honda, and many other major brands, selling 3,715,096 units in 2005.
Hyundai in the United States
Hyundai entered the United States market in 1986 with only one model, the Hyundai Excel. The Excel was offered in a variety of trims and bodystyles. That year, Hyundai set a record of selling the most automobiles in its first year of business in the United States compared to any other car brand (a staggering 126,000 vehicles).
Initially well received, the Excel's faults soon became apparent. Also, efforts to bring costs down made reliability suffer. With an increasingly poor reputation for quality, Hyundai sales plummeted, and many dealerships began abandoning franchises. At one point, Hyundai became the butt of many jokes and even made David Letterman's Top Ten Hilarious Mischief Night Pranks To Play In Space: #8 - Paste a "Hyundai" logo on the main control panel. CBS News Latenight Lateshow
Rather than drop out of the world's largest automotive market, the parent company of Hyundai began investing heavily in the quality, design, manufacturing, and long-term research of its vehicles. It added a 10-year or 100,000 mile powertrain warranty to its vehicles sold in the United States. In 20 years, both quality and sales dramatically increased, and the reputation of Hyundai cars improved. In 2004, Hyundai tied with Honda for initial brand quality (quality of engine parts not factored in) in a survey/study from J.D. Power and Associates, for having 102 problems per 100 vehicles. This made Hyundai second in the industry, only behind Toyota, for initial vehicle quality. The company continued this tradition by placing third overall in J.D. Power's 2006 Initial Quality Survey, behind only Porsche and Lexus.[1]
Hyundai continues to invest heavily in its American operations as its cars grow in popularity. In 1990, Hyundai established the Hyundai Design Center in Fountain Valley, California. The center moved to a new $30 million facility in Irvine, California in 2003, and was renamed the Hyundai Kia Design and Technical Center. Besides the design studio, the facility also housed Hyundai America Technical Center, Inc. (HATCI, established in 1986), a subsidiary responsible for all engineering activities in the U.S. for Hyundai. Hyundai America Technical Center moved to its new 200,000-square-foot, $117 million headquarters in Superior Township, Michigan (near Ann Arbor) in 2005. Later that same year, HATCI announced that it would be expanding its technical operations in Michigan and hiring 600 additional engineers and other technical employees over a period of five years. The center also has employees in California and Alabama.
Hyundai America Technical Center completed construction of its Hyundai/Kia proving ground in California City, California in 2004. The 4,300-acre facility is located in the Mojave Desert and features a 6.4-mile oval track, a Vehicle Dynamics Area, a vehicle-handling course inside the oval track, a paved hill road, and several special surface roads. A 30,000-square-foot complex featuring offices and indoor testing areas is located on the premises as well. The facility was built at a cost of $50 million. An arial view can be found here[2].
Hyundai completed an assembly plant just outside Montgomery, Alabama in 2004, with a grand opening on May 20, 2005, at a cost of $1.1 billion. It is Hyundai's second attempt at producing cars in North America (The Hyundai Auto Canada Inc. plant in Quebec closed down in 1993). At full capacity, the plant will employ 2,000 workers. Currently, the plant assembles the Hyundai Sonata and the Hyundai Santa Fe.
In 2005, Hyundai allowed Ed Voyles Hyundai in Smyrna, Georgia to become the first "deaf friendly" dealership in the entire world. The staff in this dealership are able to accommodate deaf customers with the use of American Sign Language and video conferencing phones.
In 2006 JD Power and associates ranking, overall the Hyundai brand ranked 3rd, just behind Porsche and Lexus, and beating long time rival Toyota. The brand overall is ranked much higher than the average industry and resale value continues to improve, a comparable 2003 Hyundai Sonata sedan ranks just $2200 below a similarly equipped Honda Accord according to Kelley Blue Book Pricing 2006.
Bribery scandal
In May 2006, prosecutors in South Korea indicted Hyundai's chairman, Chung Mong Koo, on charges of embezzling company money to create a slush fund for bribing lobbyists. In late June 2006, the courts permitted Mr. Chung to be released on bail at USD 1M. Chung was convicted of embezzlement and breach of fiduciary duty on 5 February 2007 and sentenced to three years of prison. Chung plans to appeal the sentence and remains free on bail.
In June 2006, prosecutors ordered the arrest of a former head of the financial-policy bureau of the country's Ministry of Finance, Byeon Yang Ho, on allegations of taking bribes from that fund.
CAR'S FOUNDER,MR FORD
Ford was launched in a converted factory in 1903 with $28,000 in cash from twelve investors, most notably John Francis Dodge and Horace Elgin Dodge who would later found the Dodge Brothers Motor Vehicle Company.[citation needed] During its early years, the company produced just a few Model T's (1st production car ever made) a day at its factory on Mack Avenue in Detroit, Michigan. Groups of two or three men worked on each car from components made to order by other companies. Henry Ford was 40 years old when he founded the Ford Motor Company, which would go on to become one of the largest and most profitable companies in the world, as well as being one of the few to survive the Great Depression. The largest family-controlled company in the world, the Ford Motor Company has been in continuous family control for over 100 years.
Corporate governance
Members of the board as of early 2007 are: Chief Mike Goulet|Sir John Bond]], Richard Manoogian, Stephen Butler, Ellen Marram, Kimberly Casiano, Alan Mulally (President and CEO), Edsel Ford II, Homer Neal, William Clay Ford, Jr., Jorma Ollila, Irvine Hockaday, Jr., John L. Thornton and William Clay Ford (Director Emeritus).[8]
The main corporate officers are: Lewis Booth (Executive Vice President, Chairman (PAG) and Ford of Europe), Mark Fields (Executive Vice President, President [The Americas]), Donat Leclair (Executive Vice President and CFO), Mark A. Schulz (Executive Vice President, President [International Operations]) and Michael E. Bannister (Group Vice President; Chairman & CEO Ford Motor Credit Company).[9]
New directions for the twenty-first century
In 2000, under the leadership of the current Ford chairman, William Clay (Bill) Ford, the Company stunned the industry (and pleased environmentalists) with an announcement [10] of a planned 25 percent improvement in the average mileage of its light truck fleet — including its popular SUVs — to be completed by the 2005 calendar year. However, in 2003, Ford announced that competitive market conditions and technological and cost challenges would prevent the company from achieving this goal. Ford did achieve significant progress toward improving fuel efficiency during 2005, with the successful introduction of the Hybrid-Electric Escape. The Escape's platform mate Mercury Mariner is also available with the hybrid-electric system in the 2006 model year—a full year ahead of schedule—due to high demand. The similar Mazda Tribute will also receive a hybrid-electric powertrain option, along with many other vehicles in the Ford vehicle line. In 2005, Ford announced its goal to make 250,000 hybrids a year by 2010, and by mid-2006 announced that it would not meet that goal. Other hybrids to come out will be the Ford Fusion and Mercury Milan Hybrid version in 2008. There are also plans for a Ford Edge and Lincoln MKX Hybrid. The Edge and MKX are Ford's new crossover SUVs to come out for the 2007 model year. Ford also continues to study Fuel Cell-powered electric powertrains, and is currently demonstrating hydrogen-fueled internal combustion engine technologies, as well as developing the next-generation hybrid-electric systems. To the extent Ford is successful in increasing the percentage of hybrid vehicles and/or fuel cell vehicles, there will be a significant decrease not only of air pollution emissions but also reduced sound levels, with notable favorable impacts upon respiratory health and decrease of noise health effects.
Economic issues
During the mid to late 1990s, Ford sold large numbers of vehicles, in a booming American economy with soaring stock market and low fuel prices. With the dawn of the new century, legacy healthcare costs, higher fuel prices, and a faltering economy led to falling market shares, declining sales, and sliding profit margins. Most of the corporate profits came from financing consumer automomobile loans through Ford Motor Credit Company.[11]
By 2005, corporate bond rating agencies had downgraded the bonds of both Ford and GM to junk status [12], citing high U.S. health care costs for an aging workforce, soaring gasoline prices, eroding market share, and dependence on declining SUV sales for revenues. Profit margins decreased on large vehicles due to increased "incentives" (in the form of rebates or low interest financing) to offset declining demand. [13]
In the face of falling truck and SUV sales, Ford moved to introduce a range of new vehicles, including "Crossover SUVs" built on unibody car platforms, rather than body-on-frame truck chasses. Ford also developed alternative fuel and high efficiency vehicles, such as the Escape Hybrid.[14]
In December 2006, the company raised its borrowing capacity to about $25 billion, placing substantially all corporate assets as collateral to secure the line of credit [15]. Chairman Bill Ford has stated that "bankruptcy is not an option" [16], but economists have stated that the company's impending contract renewal with the United Auto Workers in the summer of 2007 could be brutal[17]. The UAW has vowed to attempt to retain the jobs banks, a system which retains idled workers on the payroll, rather than laying them off, in order to maintain contracted US employment levels. [18]
The automaker reported a net loss of $12.7 billion during 2006, and has estimated that it will not return to profitability until 2009.[19]
"The Way Forward"
In the latter half of 2005, Chairman Bill Ford asked newly-appointed Ford Americas Division President Mark Fields to develop a plan to return the company to profitability. Fields previewed the Plan, dubbed The Way Forward, at the December 7, 2005 board meeting of the company; and it was unveiled to the public on January 23, 2006. "The Way Forward" includes resizing the company to match current market realities, dropping some unprofitable and inefficient models, consolidating production lines, and shutting fourteen factories and cutting 30,000 jobs. [20].
These cutbacks are consistent with Ford's roughly 25% decline in U.S. automotive market share since the mid-late 1990s. Ford's target is to become profitable again in 2009, a year later than projected. Ford's realignment also includes the sale of its wholly owned subsidiary, Hertz Rent-a-Car to a private equity group for $15 billion in cash and debt acquisition. The sale was completed on December 22, 2005. A joint venture with Mahindra and Mahindra Limited of India ended with the sale of Ford's 15 percent stake in 2005.
Chairman and Chief Executive Officer Ford also became President of the company in April 2006, with the retirement of Jim Padilla. Five months later, in September, he stepped down as President and CEO, and naming Alan Mulally as his successor. Bill Ford continues as Executive Chairman, along with an executive operating committee made up of Mulally, Mark Schulz, Lewis Booth, Don Leclair, and Mark Fields.
The origins of Audi
The company traces its origins back to 1899 and August Horch. The first Horch automobile was produced in 1901 in Zwickau. In 1910, Horch was forced out of the company he had founded. He then started a new company in Zwickau and continued using the Horch brand. His former partners sued him for trademark infringement and a German court determined that the Horch brand belonged to his former company. August Horch was forced to refrain from using his own family name in his new car business. Horch immediately called a meeting at the apartment of Franz Fikentscher to come up with a new name for his company. During this meeting Franz's son was quietly studying Latin in a corner of the room. Several times he looked like he was on the verge of saying something but would just swallow his words and continue working, until he finally blurted out, "Father - audiatur et altera pars... wouldn't it be a good idea to call it AUDI instead of HORCH?". "Horch!" in German means "Hark!" which is "Audi" in Latin. The idea was enthusiastically accepted by everyone attending the meeting. [1] It is also popularly (but incorrectly) believed that Audi is an acronym which stands for "Auto Union Deutschland Ingolstadt".
Audi started with a 2612 cc (2.6 Liter) four cylinder model followed by a 3564 cc (3.6 L) model, as well as 4680 cc (4.7 L) and 5720 cc(5.7L) models. These cars were successful even in sporting events. August Horch left the Audi company in 1920. The first six cylinder model ,4655 cc (4.7 L) appeared in 1924. In 1928, the company was acquired by Jørgen Rasmussen, owner of DKW, who bought the same year the remains of the US automobile manufacturer, Rickenbacker including the manufacturing equipment for eight cylinder engines. These engines were used in Audi Zwickau and Audi Dresden models that were launched in 1929. At the same time, six cylinder and a small four cylinder (licensed from Peugeot) models were manufactured. Audi cars of that era were luxurious cars equipped with special bodywork.
The Auto Union era
Cover of the 1937 English smotor sport magazine with an Auto Union racing car on a banked track
In 1932 Audi merged with Horch, DKW and Wanderer to form Auto Union. Before World War II, Auto Union used the four interlinked rings that make up the Audi badge today, representing these four brands. This badge was used, however, only on Auto Union racing cars in that period while the member companies used their own names and emblems. The technological development became more and more concentrated and some Audi models were propelled by Horch or Wanderer built engines. During World War II the Horch/Auto Union produced the Sd-Kfz 222 armored car, which was used in the German army during the war. It was powered by an 81 hp Horch/Auto Union V8 Engine which had a top speed of 50 miles per hour.
Another vehicle which was used in World War II to shuttle German military officials safely was known as the Kraftfahrzeug (KFZ 11) or the Horch Type 80. The military used it as a light transport vehicle.
The four-ring logo
The Audi emblem is four overlapping rings that represent the Auto Union. The Audi emblem symbolizes Audi amalgamation of Audi with DKW, Horch and Wanderer: the first ring represents Audi, the second represents DKW, third is Horch, and the fourth and last ring Wanderer.
Pause and a new start
Auto Union plants were heavily bombed and partly destroyed during World War II. After the war, Zwickau soon became part of the German Democratic Republic and Auto Union headquarters were relocated too, Daimler-Benz acquired 88 per cent of Auto Union and the next year, 1964, Benz sold the company to Volkswagen. In September 1965 the model was launched, also "relaunching" the Audi brand. The model was classified internally as the F103 and sold as simply the "Audi" (the name being a model designation rather than the manufacturer, which was still officially Auto Union), but later came to be known as the Audi 72. Developments of the model were named for their horsepower ratings and sold as the Audi 60, 75, 80, and Super 90. These models sold until 1972.
In 1969, Auto Union merged with NSU, based in Neckarsulm near Stuttgart. In the 1950s NSU had been the world's largest manufacturer of motorcycles but had moved on to produce small cars like the NSU Prinz (the TT and TTS versions are still popular as vintage race cars). NSU then focused on new rotary engines according to the ideas of Felix Wankel. In 1967, the new NSU Ro 80 was a space-age car well ahead of its time in technical details such as aerodynamics, light weight, and safety, but teething problems with the rotary engines put an end to the independence of NSU. Today the Neckarsulm plant is used to produce the larger Audi models.
The mid-sized car that NSU had been working on, the K70, was intended to slot between the rear-engined Prinz models and the futuristic Ro 80. However, Volkswagen took the K70 for its own range, spelling the end of NSU as a separate brand.
The modern era of Audi
The new merged company was known as "Audi NSU Auto Union AG", and saw the emergence of Audi as a separate brand for the first time since the pre-war era. The first new car of this regime was the Audi 100 of 1968. This was soon joined by the Audi 80/Fox (which formed the basis for the 1973 Volkswagen Passat) in 1972 and the Audi 50 (later, rebadged as the Volkswagen Polo) in 1974.
The Audi image at this time was a conservative one, and so, a proposal from chassis engineer Jörg Bensinger[2] was accepted to develop the four-wheel drive technology in Volkswagen's Iltis military vehicle for an Audi performance car and rally racing car. The performance car, introduced in 1980, was named the "quattro," a turbocharged coupé which was also the first German large-scale production vehicle to feature full-time all-wheel drive through a center differential (not counting the earlier British Jensen FF, produced in small numbers). Commonly referred to as the "Ur-Quattro" (the "Ur-" prefix is a German augmentative used, in this case, to mean "original" and is also applied to the first generation of Audi's S4 and S6 sport sedans, as in "UrS4" and "UrS6"), few of these vehicles were produced (all hand-built by a single team) but the model was a great success in rallying. Prominent wins proved the viability of all-wheel drive racecars, and the Audi name became associated with advances in automotive technology.
In 1985, with the Auto Union and NSU brands effectively dead, the company's official name was now shortened to simply "Audi AG".
In 1986, as the Passat-based Audi 80 was beginning to develop a kind of "grandfather's car" image, the type 89 was introduced. This completely new development sold extremely well. However, its modern and dynamic exterior belied the low performance of its base engine, and its base package was quite spartan (even the passenger-side mirror was an option.) In 1987, Audi put forward a new and very elegant Audi 90, which had a much superior set of standard features. In the early nineties, sales began to slump for the Audi 80 series, and some basic construction problems started to surface.
This decline in sales was not helped in the USA by a 60 Minutes report which purported to show that Audi automobiles suffered from "unintended acceleration". The 60 Minutes report was based on customer reports of acceleration when the brake pedal was pushed. Independent investigators concluded that this was most likely due to a close placement of the accelerator and brake pedals (unlike American cars), and the inability, when not paying attention, to distinguish between the two. (In race cars, when manually downshifting under heavy braking, the accelerator has to be used in order to match revs properly, so both pedals have to be close to each other to be operated by the right foot at once, toes on the brake, heel on the accelerator.). This did not become an issue in Europe, possibly due to more widespread experience among European drivers with manual transmissions.
60 Minutes ignored this fact and rigged a car to perform in an uncontrolled manner. The report immediately crushed Audi sales, and Audi renamed the affected model (The 5000 became the 100/200 in 1989, as it was elsewhere). Audi had contemplated withdrawing from the American market until sales began to recover in the mid-1990s. The turning point for Audi was the sale of the new A4 in 1996, and with the release of the A4/6/8 series, which was developed together with VW and other sister brands (so called "platforms").
Currently, Audi's sales are growing strongly in Europe. 2004 marked the 11th straight increase in sales, selling 779,441 vehicles worldwide. Record figures were recorded from 21 out of about 50 major sales markets. The largest sales increases came from Eastern Europe (+19.3%), Africa (+17.2%) and the Middle East (+58.5%)[citation needed]. In March of 2005, Audi is building its first two dealerships in India following its high increase in sales in the region.
Audi has recently started offering a computerised control system for its cars called Multi Media Interface (MMI). This comes amid criticism of BMW's iDrive control, essentially a rotating control knob designed to control radio, satellite navigation, TV, heating and car controls with a screen.
MMI has been generally well-received, as it requires less menu-surfing with its mass of buttons around a central knob, with shortcuts to the radio or phone functions. The screen, either colour or monochrome, is mounted on the upright dashboard, and on the A6 and A8, the controls are mounted horizontally. However, an "MMI Like" system is also available on the Audi A3 and A4 models when equipped with the optional Navigation System.
KIA motors(history)
According to Kia Motors, the name "Kia" derives from the Hanja ki meaning arise or come up out of or rising up and the a stands for Asia. So Kia is roughly translated as arise or come up out of Asia or Rising out of Asia.[1][2]
South Korea's oldest car company, Kia was founded in 1944 as manufacturer of steel tubing and bicycles. In 1952, Kia changed its name from Kyungsung Precision Industry[3] and later built motorcycles, trucks and cars. Starting in 1986, in partnership with Ford, Kia produced several Mazda derived vehicles for both domestic sales in Korea and imports into other countries. These models include the Pride (based on the Mazda 121) and Avella, which were sold in North America and Australasia as the Ford Festiva and Ford Aspire.
In 1992, Kia Motors America was incorporated in the United States. The first Kia-branded vehicles in the United States were sold from four dealerships in Portland, Oregon in February 1994. Since then, Kia expanded methodically one region at a time. Dealers in 1994 sold the Sephia, and a few years later the United States line expanded with the addition of the Sportage.
Kia's strategy of moving into the U.S. market region by region proved extremely successful and set a model for entering the U.S. market. In less than a decade, Kia surpassed even their most generous sales expectations to become a significant player in the U.S. auto market.
However, Kia's bankruptcy in 1997, part of the Asian financial crisis, resulted in the company being acquired in 1998 by South Korean rival Hyundai Motor Company, outbidding Ford Motor Company which had owned an interest in Kia Motors since 1986. [4]
Kia is one of the most improved brands in the J.D. Power and Associates Vehicle Dependability Study.
Since the start of 21st century, the company has started to recover and grow again - success came from the European market and today, Kia is Europe's and particularly the UK's fastest growing car company.
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