Fuji Heavy Industries Company may review the positioning of the brand Subaru, as reported to Bloomberg by Company’s President, Yasuyuki Yosinaga.
At this moment Subaru is doing just fine, the sales are going up and demand is growing. Brand’s lineup is being filled with new models sales and operating profit is raising even though the yen weakens (currently about three quarters of brand’s cars are assembled in Japan, 80% of which are exported to North American and European markets). Fuji Heavy Industries Company has its shares flying to the sky for the past few months. Just for your information, this is the exact company that is engaged in the production of Subaru vehicles.
On the place of this company, a relatively small automaker, you would do the exact same thing. To obtain even greater results and further growth. Because of the decision to expand its influence and become a more public company, there may raise some problems in the future, as paradoxically as it sounds.
President of FHI, a 59-year-old Japanese man named Yasuyuki Yosinaga, argues that the growth has forced the board of directors to return to the discussion of long-term plans of the brand’s positioning. According to a top manager, many shareholders (including some of Toyota Motor Corporation) of Subaru want to see the company in a niche of mass production, although Mr. Yosinaga and some industry analysts believe that the brand needs to stay right in the place where it is now. The current head of FHI believes that the current model, which is somewhat more expensive than its main competitors, can hold a good level of profitability for the Company.
Anyway, no matter what the situation is with the positioning of the brand, FHI intends to continue to strive from its increaseв sales. For example, iт the last financial year Subaru was able to sell 724,000 of vehicles, the following year will make sure the figure is 752,000 and in 2015 – the sales are expected to go up to 850,000. Until the end of the decade, the Japanese automaker hopes to conquer the million sold vehicles mark, including through the planned expansion of U.S. Lafayette plant in Louisiana.