Gibara Explains Goodyear’s 2000 Strategy
At a dealer conference in Las Vegas, Goodyear Chief Gibara explained to an audience of 4,500 tyre people the need for consolidation in 2000, following the recent aggressive expansion strategy. Gibara pointed out the importance of the personal touch despite the fast growth of e-commerce and the Internet. The fill-rate problem will be improved through shipments from Latin America, Eastern Europe and Turkey for the US replacement market.
Continue ReadingPorsche Award For Bridgestone
Bridgestone has won Porsches Supplier award for 1999. The tyre company was also assessed by Porsche as Top Best for product quality and delivery; the only tyre manufacturer to achieve this ranking. The award was presented to Michael Conrad, OE sales manager for Bridgestone/Firestone Deutschland, and Stephen Rambow, engineering account manager in charge of Porsche affairs, at a ceremony attended by senior representatives of Europes auto industry.
Continue ReadingSpeedline Truck
The division Speedline Truck supplies the major truck manufacturers in Europe and North America. In future the range will include flow-formed wheels - for trucks Speedline uses this technology exclusively, which has the effects of reduced weight and improved mechanical properties.
Continue ReadingMichelin Factory For India
Following a recent feasibility study, Michelin has announced that Bangalore is the most likely site for a new manufacturing plant, as various producers have factories in this region. Other cities being considered are Pune and Baroda.
Continue ReadingFulda Lay Down A Golden Challenge
Twenty sporty and adventurous minded people from ten European countries, who own driving licences, will have the chance to enter as two-man teams in the Fulda Challenge in Canada, to be held in February 2001. The ultimate prize for the winning team is a $10,000 gold nugget.
Continue ReadingMichelin Net Profits Slip
Michelin has announced a fall in net profits, from 535.5 million Euros to 154.4 million Euros for 1999. This is even lower than latest predictions of financial analysts. The figures were affected by the inclusion of a special provision of 370 million Euros, made to cover the entire cost of Michelins three-year restructuring plan. However, operating profit for the year rose to 1.23 billion Euros; an increase of almost 15%.
Continue ReadingMixed Fortunes For BMW In UK
Perhaps as a backlash following the BMW/Rover situation, and aided by lower prices for Mercedes and Audi, UK sales of BMW cars fell 20% in April. Sales of Rover cars rose 500% as Rover and its dealers acted to clear stocks because of the uncertain situation.
Continue ReadingBridgestone Announces US Price Hike
Bridgestone is to join Goodyear, Continental, Michelin, Cooper, Pirelli, Yokohama and others in raising tyre prices in the USA to compensate for raw material price increases. Effective June 1st, Bridgestone tyre prices will rise 4%. Historically, Bridgestone has taken advantage of other manufacturers price increases in order to gain market share, so this latest announcement seems to indicate that this time the price rises will stick.
Continue ReadingSave Gas With Goodyear
Goodyears Chief Engineer of Product Design has warned of the economic cost of tyre under-inflation as gasoline prices reach a new high in the USA. Petrol consumption and tread life are adversely affected. A Goodyear survey showed up to 28p.c. of vehicles had seriously under-inflated tyres.
Continue ReadingEuropean Down-trend Halted: Michelin With New Product Lines And New Strategies
Since the early 90s, French tyre maker Michelin has continuously lost market share year on year in the passenger car and light truck sectors. The company used to have a 25% market share Europe-wide and this had fallen to 17% last year. According to Michelin, prices were too high vis-a-vis those of major competitors and were no longer competitive, as the end user is prepared to pay only around 10-15% more for a premium product. The necessary price cuts can only be achieved if the company is able to increase productivity. Market experts are convinced that the productivity of Bridgestone/Firestone exceeds that of Michelin by 40%. Michelin is currently undergoing a restructuring programme which will lead to the job losses – or at least early retirement – of around 10% of the European workforce over the next three or four years. Jean Michel Coulon (52), head of the passenger and light truck tyre division in Europe expressed confidence in talks with this magazine that the erosion of market share has now been halted once and for all. Coulon made it clear that he is not aiming to gain market share – his goal is to stop the erosion of market share, to implement an effective multi-brand strategy, to improve the product mix and, finally, to avoid a price war.
Continue ReadingHigh Performance Growth Predicted By Michelin
Michelin recently described the V/Z sector as the most dynamic sector in todays market, increasing by the rate of 15% per year in Europe and growing five times faster than the overall market. By 2003, Michelin estimates that 35.7 million tyres will be sold in this sector, accounting for almost one quarter of the replacement tyre market.
Continue ReadingAvon Azaro Does Well In Tests
Avon Tyres new Azaro II motorcycle tyre performed well in a series of tests conducted by Motor Cycle News, the UKs leading bike newspaper. Seven brands were tested on six different motorcycles and the Azaro was placed first or second in these.
Continue ReadingPrice Increase For Rubber Blacks From Degussa-Hüls In Europe
Degussa-Hüls AG, the worlds second largest carbon black manufacturer, with production sites in Europe, North America, Africa and Asia, has agian announced a price increase of 50 Euro per metric ton for its range of rubber blacks, effective from September 1st, 2000, in Europe. A continuing combination of the weakness of the Euro and unprecedented high prices for crude oil and crude oil products is leading to substantially higher carbon black production costs.
Continue ReadingPirelli With Ford In World Rally Championships
Pirelli will supply the Ford Focus WRC from the beginning of 2001 in the World Rally Championships. Drivers will be Colin McRae and Carlos Sainz. Pirelli also equips Subaru with rally tyres as part of a long-term contract and cooperates with Seat.
Continue ReadingNew Plan Aims To Make National Tyre Service Profitable Within Five Years
When Continental bought the UK retail chain National Tyre Service a decade ago, the company regarded its equity as a way of gaining a foothold in the market and increasing its market share. To put it simply, National was merely a vehicle for moving tyres. In the last few years, the German parent has realised the strategic importance and benefits of having its own chain and has re-thought its attitude. National turns over £150 m annually and it is no secret that the company has been making a loss over recent years but this, says Chief Executive Adrian Dunleavy, is due to change within the next five years, with the aim being profit and a sustainable market share. In an exclusive interview with TYRES & ACCESSORIES, Dunleavy discusses the details of the plan and the investment promised by Continental. He also gives frank answers to the critics of National’s two tyres for the price of one offer, who regard this as being responsible for today’s price cutting. And how does he respond to the widespread condemnation of the National Motor Dealer offer, which was designed to encourage motor dealers into the tyre business? The five-year plan requires time and investment and Continental have granted both. Dunleavy accepts that the pressure is on him to deliver results within the designated time frame.
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