Honda India Recalls CEO Takashi Nagai and Marketing Head Seki Inaba


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Source Economic Times:-
Honda Motor Co has recalled the CEO and another top executive of its Indian subsidiary, a highly unusual and unprecedented move by the Japanese automobile giant at a time the local unit is struggling to keep pace with sprightlier rivals and a fast-changing market.

Takashi Nagai and Seki Inaba, the president & CEO and marketing head, respectively, of Honda SIEL Cars India (HSCI), have spent less than two years in their present roles in India and their exit is being viewed as a desperate gambit by Honda to cut losses and make a fresh start in one of the world's top emerging car markets.

A Honda SIEL spokeswoman confirmed Nagai's exit, calling it "part of routine top management changes which are announced at this time of every year".

Inaba, reached by ET for his comments, did not give reasons for his imminent departure, only saying: "It seems I may not be here for long and will be going back". But other company officials, who asked not to be identified, said the fact Nagai and Inaba were leaving so soon into their assignments - and both at the same time - made their exits anything but routine.

Nagai's predecessor Masahiro Takedagawa spent five years as the top boss in India, while Inaba's predecessor held the job for four years. Inaba took charge only last April. Nagai, who will move on as the president and representative director of Honda Logistics Inc, will be replaced by H Kanayama, the head of Honda's operations in Taiwan, on April 1.

For years, Honda ruled the premium car segment, with India's middle and upper classes lapping up its products for their quality and sporty performance.

Its City sedan was the top-seller in the category for more than a decade, while its Civic and Accord models also dominated their respective segments a few years ago.

But the company has struggled to capture the imagination of car buyers in recent months.

Despite being present in India for 14 years, its status is now that of a fringe player, holding a less than 2% share of the market. Its global rivals, meanwhile, have gained traction.

Germany's Volkswagen, which started operations in India just four years ago, has grabbed more than 3% of the Indian car market, while Honda's Japanese rival Toyota has a 6% market share.

Automobile industry experts say Honda's top bosses in India failed to act fast on the market's rapid shift towards diesel vehicles, which proved calamitous for sales.

Sales fell 32% in the first 10 months of the fiscal year even though the passenger vehicle market grew 1.45%.

While more than 40% of the cars sold in India are now diesel, Honda is the only carmaker with an all-petrol line-up.


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Jazzy
 
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Re: Honda Motor Co recalls India CEO Takashi Nagai and marketing head Seki Inaba

Honda Motor Co has recalled the CEO and another top executive of its Indian subsidiary, a highly unusual and unprecedented move by the Japanese automobile giant at a time the local unit is struggling to keep pace with sprightlier rivals and a fast-changing market.
wow and i thought honda is blossoming in india! well if there lagging behind competitor only reason is lack of diesel!
 
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Re: Honda Motor Co recalls India CEO Takashi Nagai and marketing head Seki Inaba

Umang- Even I too was shocked after reading this article. Honda has its back to the wall now so as to speak. The Tsunami & thai floods have dealt crushing blows too. Time will tell how they fare.

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Jazzy
 
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Re: Honda Motor Co recalls India CEO Takashi Nagai and marketing head Seki Inaba

While more than 40% of the cars sold in India are now diesel, Honda is the only carmaker with an all-petrol line-up.
However,whatever they did was commendable .I have not only seen Honda fans but devotees too.
 
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Re: Honda Motor Co recalls India CEO Takashi Nagai and marketing head Seki Inaba

Not sure what make Honda Brand like GOD to some people in INDIA ONLY![surprise]

Globally Honda is NOT a No1. level Brand.
 
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Re: Honda Motor Co recalls India CEO Takashi Nagai and marketing head Seki Inaba

Not sure what make Honda Brand like GOD to some people in INDIA ONLY!

Globally Honda is NOT a No1. level Brand.
neither Maruti is. But in India both these brands offered good petrol cars which were reliable and performed well .
and gained the trust of mass.
 
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Re: Honda Motor Co recalls India CEO Takashi Nagai and marketing head Seki Inaba

Market shift to Diesel engine did a blunder to Honda sales plus the flooding in Thailand added misery too.Well by March Honda will be clear backlog of cars hope they will again bounce back.
 
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Re: Honda Motor Co recalls India CEO Takashi Nagai and marketing head Seki Inaba

Todays new paper article says Maruti Suzuki India has put on hold a 1000crore investment in their diesel plant, due to the Governments ambiguity over taxation on diesel cars. Reports say that a hefty tax would be imposed on diesel cars which may make it an unviable proposition for many buyers thereby reducing demand for diesel cars. Tampering with diesel fuel price is not an option for the Govt so this seems the only alternative, making car manufacturers jittery on their upcoming future. Honda though has said that they will go ahead with their investment in thier upcoming diesel plant in Rajasthan.

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Jazzy
 
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This was supposed to happen. Overconfidence and Overpriced products done the damages.

It would have been a different story altogether that time if Jazz prized just above i20 or similar.
 

350Z

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This was supposed to happen. Overconfidence and Overpriced products done the damages.
Yes, I couldn’t agree more. Honda is itself responsible for what their position is now in the Indian market. Earlier people used to prefer Honda regardless of its price because it was the only labelled manufacturer to deliver upper segment cars with Jap reliability, brand image, and good engine. Not that Honda’s aren’t good anymore but the competition has moved much ahead with the entrance of new multinational giants in same segments but Honda was still living in its own arrogance from sometime. I am hopeful that situation is going to change soon in near future.

Drive Safe,
350Z
 
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