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What would you do to save Mitsu if you ran the company???

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Old Apr 26, 2004, 10:07 AM
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What would you do to save Mitsu if you ran the company???

I have my opinions about why Mitsu is struggling and I am sure you guys do too so lets see what people think it will take to make Mitsubishi profitable.

I will go first...

I believe that Mitsu's problems start with one MAJOR thing. This company does not have a V8! Mitsu as a company invested how many millions upon millions on total production of the Endeavor and Outlander and neither of these SUV's are equipped with anything bigger than a V6...why? Also, they redesigned the cars for 04 making the galant bigger with a bigger nicer motor. What does that mean for the Diamante?? Can you say "V8" for Diamante anybody? One other thing, they are trying to model Nissan, I think its time for a truck with a V8!! So here is my MOCK lineup for Mitsu Cars

CAR's
1. Lancer (eliminate ES and OZ and Ralliart sportback. Keep LS and make less money and Keep Ralliart, and regular sportback)
2. Lancer Evo (same powerplant or better)
3. Current Galant
4. Diamante (with a V8 only. No V8=no Diamante)
5. Eclipse (something like the concept, smaller, faster, hybrid electric V6 w/ 260 HP and 6 spds like they are saying it will be)

SUV's
1. redesigned Montero Limited (with V8 only, again, no V8=no limited Montero.)
2. Make a cross between the outlander and Montero sport. (something smaller with the bigger V6 standard with V8 option)

Trucks
1. Large Full size (something similar to the F150, big V6 standard with V8 option, better than average towing capability to compete with everyone else.)
2. Compact truck similar in size to the Chevy Colorado. (offer small V6 and large V6 for engines? maybe MIVEC 4 cyl? )

With that lineup you can cover nearly every demographic and by mass producing the same engine in nearly every car you can keep costs down so that you can still make the cars affordable. That is the key, with Mitsu you have always gotten a lot of car for the $$$. Try to keep it that way.
Old Apr 26, 2004, 05:00 PM
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Re: What would you do to save Mitsu if you ran the company???

Originally posted by mitsumichael7
I have my opinions about why Mitsu is struggling and I am sure you guys do too so lets see what people think it will take to make Mitsubishi profitable.

I will go first...

I believe that Mitsu's problems start with one MAJOR thing. This company does not have a V8! Mitsu as a company invested how many millions upon millions on total production of the Endeavor and Outlander and neither of these SUV's are equipped with anything bigger than a V6...why? Also, they redesigned the cars for 04 making the galant bigger with a bigger nicer motor. What does that mean for the Diamante?? Can you say "V8" for Diamante anybody? One other thing, they are trying to model Nissan, I think its time for a truck with a V8!! So here is my MOCK lineup for Mitsu Cars

CAR's
1. Lancer (eliminate ES and OZ and Ralliart sportback. Keep LS and make less money and Keep Ralliart, and regular sportback)
2. Lancer Evo (same powerplant or better)
3. Current Galant
4. Diamante (with a V8 only. No V8=no Diamante)
5. Eclipse (something like the concept, smaller, faster, hybrid electric V6 w/ 260 HP and 6 spds like they are saying it will be)

SUV's
1. redesigned Montero Limited (with V8 only, again, no V8=no limited Montero.)
2. Make a cross between the outlander and Montero sport. (something smaller with the bigger V6 standard with V8 option)

Trucks
1. Large Full size (something similar to the F150, big V6 standard with V8 option, better than average towing capability to compete with everyone else.)
2. Compact truck similar in size to the Chevy Colorado. (offer small V6 and large V6 for engines? maybe MIVEC 4 cyl? )

With that lineup you can cover nearly every demographic and by mass producing the same engine in nearly every car you can keep costs down so that you can still make the cars affordable. That is the key, with Mitsu you have always gotten a lot of car for the $$$. Try to keep it that way.
Outlander with Manual transmission(all other have one santa fee,escape,tribute etc...)

Ralliart Sportback is stupid,for the price buy the outlander

Eclipse is junk(sorry but i have change mine for ralliart)better performance better handling.Make the new one with the 95-99 platform if you dont have the money for new platform.Your sport car is not suppose to be much slow that your basic car

Make one V6 and use in all car or use one of your V6 and stop to make 2000 different version of the same motor

example

3.0 SOHC
3.0 DOHC
3.5 SOCH
2.5 DOHC
and now 3.8 SOHC in the galant!

Put mivec on you best V6(like honda VTEC have gone) and put in all V6 car

Never,never change car vocation(eclipse)you have loss alot of people at doing this big mistake.You have change sport car to touring car.Keep your galant performant like this to sell at touring car buyer and keep the sport car as pure sport car!
You have built your reputation with the eclipse and colt,mirage in the north america where is this car?
Old Apr 26, 2004, 05:44 PM
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First off would be engines. I would have a 2.0 and a 2.4 4cyl. i would have a smaller car v6 and maybe think about hybrid in the future and a larger truck v6. And I would make 1 mid-size v8 around 5 litres.

Secondly I would drop all Sportbacks, they aren't sporty like a Honda hatchback, they're more like a station wagon.

Second, I would drop the model LS and make it a Package for the ES to get the auto and sunroof together. Just saving the money on having to make all those LS badages would be worth it I think. And you'd only be using 1 wheel instead of 2, you'd save some money on a worthless model.

The Oz Rally needs an engine tweak to lay out some more horsepower than the ES, I think 140 would be good.

The Ralliart would still be the shining Lancer model. I would leave it alone pretty much as it is and maybe in the future if it keeps selling well try a limited turbo edition run but leave AWD to the Evo8.

The Evo8 would be left alone as it is but maybe try to share more parts between the Lancers to save cost?

The eclipse would a 4banger standard, car v6 optional and would be the only 2 door sports car. and on the v6 make a turbo model and cut some of those like 18 differnt models it has right now

the galant would stay as it is

the diamante would use the v8

the montero would come with the truck v6 standard optional v8 auto only

yes you must have a full size and compact truck. use the 2.4 in the compact with the optional truck v6 and make sure to have all kinds of cabs, and all have options of using either short bed or large bed (yeah some people want a compact crew cab with a long bed). v6 would come standard in any ext cab or crew cab.

And use the standard v6 with optional v8 in the full-size truck.
Old Apr 26, 2004, 06:17 PM
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Re: What would you do to save Mitsu if you ran the company???

Originally posted by mitsumichael7
I have my opinions about why Mitsu is struggling and I am sure you guys do too so lets see what people think it will take to make Mitsubishi profitable.

I will go first...

I believe that Mitsu's problems start with one MAJOR thing. This company does not have a V8! Mitsu as a company invested how many millions upon millions on total production of the Endeavor and Outlander and neither of these SUV's are equipped with anything bigger than a V6...why? Also, they redesigned the cars for 04 making the galant bigger with a bigger nicer motor. What does that mean for the Diamante?? Can you say "V8" for Diamante anybody? One other thing, they are trying to model Nissan, I think its time for a truck with a V8!! So here is my MOCK lineup for Mitsu Cars

CAR's
1. Lancer (eliminate ES and OZ and Ralliart sportback. Keep LS and make less money and Keep Ralliart, and regular sportback)
2. Lancer Evo (same powerplant or better)
3. Current Galant
4. Diamante (with a V8 only. No V8=no Diamante)
5. Eclipse (something like the concept, smaller, faster, hybrid electric V6 w/ 260 HP and 6 spds like they are saying it will be)

SUV's
1. redesigned Montero Limited (with V8 only, again, no V8=no limited Montero.)
2. Make a cross between the outlander and Montero sport. (something smaller with the bigger V6 standard with V8 option)

Trucks
1. Large Full size (something similar to the F150, big V6 standard with V8 option, better than average towing capability to compete with everyone else.)
2. Compact truck similar in size to the Chevy Colorado. (offer small V6 and large V6 for engines? maybe MIVEC 4 cyl? )

With that lineup you can cover nearly every demographic and by mass producing the same engine in nearly every car you can keep costs down so that you can still make the cars affordable. That is the key, with Mitsu you have always gotten a lot of car for the $$$. Try to keep it that way.
I am going to quote myself so that I can better clarify what I was saying for car options...

1. Eclipse engine. Base model is now only GS with 4 cyl 2.4 MIVEC engine (same as Ralliart lancer) GT model is top model powered by the new 3.8 SOHC MIVEC electric hybrid that Mitsu is bragging about having that has 260 HP and gets 35 MPG and a 6 spd tranny. make this car SMALL, maybe a little smaller than the 97-99, light and VERY FAST! Can anyone say Z killer?

2. Keep one of the sportbacks to accomodate those that want the station wagon cuz they dont want an SUV, just eliminate the Ralliart label from it and save money on production of the car.

3. Outlander...eliminate it!! it is one of the MAJOR reasons for mitsu's $$$ trouble. I dont care what motor or tranny, it has to go. BUT, whatever is used as a mid-sized to smaller SUV, a manual option isnt a bad idea. Also use the same engine, the 2.4 MIVEC in the base model, or the 3.8 V6 galant motor for the high end model.

4. Full Size SUV, 3.8 MIVEC V6 for the base model, large V8 for option.

5. OZ rally edition is gone. No need for another Lancer with less power than the ralliart and a little more than the regular lancer. But I agree that you can just eliminate the Lancer LS label, and make a "Lancer" with different options like sun and sound etc.

As you can see, I would produce these engine and put them in nearly everything

2.0 SOHC 4 cyl (base Lancer 4G93 I think)
2.0 DOHC turbo 4 cyl (4G63 for Evo only)
2.4 MIVEC 4 cyl (4G69)
3.8 V6
3.8 V6 MIVEC (hybrid)
5.0 or bigger V8 for trucks, Diamante, another sports car.
Old Apr 26, 2004, 07:20 PM
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Sorry but Mitsubishi's problem has nothing to do with its car line up. Its problem is purely based in the fact that it offered 0% financing for 60 months with one year of no payments. Every single person that bought a Mitsubishi under that plan defaulted on their loan and screwed Mitsubishi into horrendous losses.

Mitsubishi lacks identity in the American Car market. They don’t have a "Racing" image like Subaru, a super "Reliable" image like Toyota, a "youthful and fun" image like Honda. Although they fall into the same groups as Nissan, Isuzu and Mazda, they lack things these companies have. For the most part Nissan is looked at with a bit of "Style and class" while Mazda sports a nice "stylish and sporty" image. Granted both Mazda and Nissan are struggling and frankly Isuzu is dead.


Mitsubishi should focus on "performance" that seems to sell today. If they could they should hook up real tight with DC, however DC just rejected giving aid to them and now Mitsubishi's president has stepped down.


I would fill the line as fallows.

Lancer:
The Lancer needs to either be more powerful or have better MPG.
Also the Lancer needs to start at or around 12k. The car is nice, but frankly its being under cut by the Focus and Neon for value and Civic and Corolla for quality.

Evolution... aye
Mitsubishi needs to make 3 levels of Evolutions.

Level 1. Base... call it what you will
AWD, 250hp, 200 torque. Cut out A LOT of the goodies.
The car MUST start at or around $20,000 to compete with the likes of the SI, SRT-4, SVT, et al.
Also an Auto-matic 5spd needs to be an option

Level 2
AWD, 280hp, 220 torque, some goodies
Price out around $25,000
Three Transmission options, 5spd Sports shift, 5spd manual, 6spd manual.

Level 3.
AWD, 320hp+, 220 torque+, lots of options
Priced over 30k, leather option
5spd sport ship or 6spd manual


This would boost popularity and affordability of the Evolution; it would appeal to a wider audience.
Old Apr 26, 2004, 07:31 PM
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Garand, i cant agree with you enough when u say they don't have a good IMAGE within the US market. Most people will buy a Nissan or Toyota before they buy a Mitsubishi. It's a fact. And trust me, Mitsubishi cars are not lacking in quality or reliability. It's the image that Mitsubishi does not have as a reliable car company. Sad to say but most people judge a whole car company by what they hear about certain cars. And somehow did not get as good of a rep as Nissan or Toyota the past decade. The time is now to change their image and I guess they have started, but they aren't doing good enough. They are not offering enough benefits for consumers. They have to do something to attract customers. I can't really say what, but I think most will agree with me when I say that they need a new set of designers. The new Galant is an ugly duckling, and the new Lancer's aren't exactly eye candy either.

Take what Nissan did as an example. have you guys noticed the difference in image Nissan under went the past couple years? They changed their cars completely, the Altima and Maxima went through a drastic model change consisting of a sharp looking exterior, finer interior, better engine. They even added new cars like the Xterra, an inexpensive SUV, to their lineup. This changed the view of Nissan from just an ordinary car company to a more "hip" or "young" or "cool" car company.

So should look at itself in the mirror. I don't know how they're going to change their image but I think that's the #1 thing they have to change to raise sales. Customer service, car reliability, and other stuff will probably tag on as they develop this company further..That's how I see it at least. Kudos to whomever read my whole post
Old Apr 26, 2004, 09:14 PM
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I do think it is the line of cars. That is what hurts anybodys company. Americans like big trucks and v8 cars. By not offering either you are just hurting yourself. I probably see 1 or 2 trucks here for every car...Toyota has it and thats why they are Americas best selling cars. Honda only has reliable behind them, and ricers. And Toyotas and Hondas are still some of the highest theft rate vehicles in the US, yet people still buy them. I don't get it.

I don't really see the need for there to be a 20grand Evo because that would just lower its image, however, a 20 grand ralliart would probably be the better idea by adding a turbo and 6 speed tranny like i suggested already. Therefore you just add another step getting up to the Evo. Have the 120hp base, 140hp Oz, 160 Ralliart, 200+hp Ralliart Turbo, and then start with the AWD Turbo Evo, and then if the market ever turns back to super cars with twin turbos, make a twin turbo awd evo. I bet it would sell better than the old VR4 3KGTs because it has 4 doors...that seems to be a newer trend is even 4 door sedans can be cool and fast. Look at the amount of ricer 4 doors now.

And Mitsu did take a plunge with that kind of market incentives, but that was the risk they decided to take to try and get a lot more cars sold, guess it didn't work out well? But with their current lines of cars they won't be able to make it. When DC dumps them, whoever takes over is changing their car line...thats the fact.
Old Apr 26, 2004, 11:08 PM
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Yep I defaulted on the 0/0/0 deal mitsu had. it had a 60+% Repo rate, thats there problem.

If the car line were up to me, it would flow sumtin like this:
Lancer: Ditch the ES model, this car has too many trims (5)
Galant: Leave it
Diamante: make it more classy or burn it, the Galant GT-S is too similiar in my own opinion
Outlander: leave it, its compriable to the ford escape
Endeavor and the montero: leave it every soccer mom and nascar dad need a good sized well priced SUV.
EVO: leave it
Eclipse: Bring it back to its DSM roots by using similiar numbers as the 2G's, 210HP and sell it as an alternative for people who want turbo charged performance on a budget. Kinda like the WRX and The STi.






Originally posted by Garand
Sorry but Mitsubishi's problem has nothing to do with its car line up. Its problem is purely based in the fact that it offered 0% financing for 60 months with one year of no payments. Every single person that bought a Mitsubishi under that plan defaulted on their loan and screwed Mitsubishi into horrendous losses.

Mitsubishi lacks identity in the American Car market. They don’t have a "Racing" image like Subaru, a super "Reliable" image like Toyota, a "youthful and fun" image like Honda. Although they fall into the same groups as Nissan, Isuzu and Mazda, they lack things these companies have. For the most part Nissan is looked at with a bit of "Style and class" while Mazda sports a nice "stylish and sporty" image. Granted both Mazda and Nissan are struggling and frankly Isuzu is dead.


Mitsubishi should focus on "performance" that seems to sell today. If they could they should hook up real tight with DC, however DC just rejected giving aid to them and now Mitsubishi's president has stepped down.


I would fill the line as fallows.

Lancer:
The Lancer needs to either be more powerful or have better MPG.
Also the Lancer needs to start at or around 12k. The car is nice, but frankly its being under cut by the Focus and Neon for value and Civic and Corolla for quality.

Evolution... aye
Mitsubishi needs to make 3 levels of Evolutions.

Level 1. Base... call it what you will
AWD, 250hp, 200 torque. Cut out A LOT of the goodies.
The car MUST start at or around $20,000 to compete with the likes of the SI, SRT-4, SVT, et al.
Also an Auto-matic 5spd needs to be an option

Level 2
AWD, 280hp, 220 torque, some goodies
Price out around $25,000
Three Transmission options, 5spd Sports shift, 5spd manual, 6spd manual.

Level 3.
AWD, 320hp+, 220 torque+, lots of options
Priced over 30k, leather option
5spd sport ship or 6spd manual


This would boost popularity and affordability of the Evolution; it would appeal to a wider audience.
Old Apr 26, 2004, 11:16 PM
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but wasn't mitsu going into the hole even before that? i would think that is why they tried such a gamble incentive to get a whole lot of people to buy their cars?
Old Apr 27, 2004, 09:54 AM
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they did sell lots of cars. that was what went wrong. Lots of people left mith Mitsu's and never paid for them when they got to drive it for a year with no payment.
Old Apr 27, 2004, 10:04 AM
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Originally posted by eldanoloco
Yep I defaulted on the 0/0/0 deal mitsu had. it had a 60+% Repo rate, thats there problem.

If the car line were up to me, it would flow sumtin like this:
Lancer: Ditch the ES model, this car has too many trims (5)
Galant: Leave it
Diamante: make it more classy or burn it, the Galant GT-S is too similiar in my own opinion
Outlander: leave it, its compriable to the ford escape
Endeavor and the montero: leave it every soccer mom and nascar dad need a good sized well priced SUV.
EVO: leave it
Eclipse: Bring it back to its DSM roots by using similiar numbers as the 2G's, 210HP and sell it as an alternative for people who want turbo charged performance on a budget. Kinda like the WRX and The STi.
1. I agree that the Lancer needs to "trim some fat" make 3 models. An ES that has options that make it as high as what is now known as an OZ, but let the base model ES start at $10K to compete with Focus and other little weenie cars.
2. I think we all agree that the Galant went in the right direction with design and engine.
3. I agree about the Diamante, but in the process of making it more "classy", it needs a V8...PERIOD!! Without a V8 it is just a Galant with a different look.
4. Outlander needs to get cut from lineup. Has lost $$$ since its birth and needs a makeover and a new name. Use the Galant chassis still as a base, but change EVERYTHING else about it.
5. The Evo can stay the same or do what they are about to do with the RS evo and the MR evo. I personally would just stand pat for a couple years on the Evo and just add options. But making a Turbo Ralliart in FWD and a 140 hp OZ Lancer and still a regualr 120 HP Lancer AND a regualar 160 hp ralliart is just a plain bad idea IMO? Too many choices and too much production costs. maybe any or all of these can be options spread out through years, but not all at once...IMO.
6. The Eclipse cant be brought BACKWARDS! It would be nice to have a turbo model again, but the concept engine hybrid will destroy ALL if done properly. BUT, another option for the Eclipse COULD be bringing over the FTO in near Japan spec with the 2.0 V6 MIVEC and label it the Eclipse. That car is awesome with 200 HP, 200TQ and a redline of over 9K RPM!
Old Apr 27, 2004, 10:27 AM
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needs some style in their offerings, sure the EVO, eclipse and Ralliart cars have the looks but the rest of what they have are easy to overlook. Hire the former Jaguar designers, they obviously are out of work now, all Jag's look like Taraus' now. Anybody to give the lineup a facelift.

Sure, a work truck with a large engine ala Tundra would help the lineup. Although when it comes to the SUV they have too many offerings. For my taste, if the RA Sportback came with the 3.8L NA engine with AWD, that is what I would be driving instead of the EVO. (wouldn't fix Mitsu, just on my wishlist)

Last, get their business house in order. Advertise and sell to qualified buyers. Support sales with great service.
Old Apr 27, 2004, 10:44 AM
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Make a few good diesel cars. Turbo Diesel Pajero over here with direct injection. Go for a fringe market for a while to regain brand equity like VW did 4 years ago. Forget trying to compete with Honda Civics Mitsu will never win in that venue.
Old Apr 27, 2004, 10:55 AM
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I agree with both of you except that mitsu can never win in the Civic market. They can take the buyers from the Civic and they have...via 97-99 Eclipse RS/GS. Those cars sold a LOT!!! Watch what would happen if the Ralliart was priced closer to $15K than $18K and the car proves reliable after like 3 years. The Eclipse didnt blow up over night and nothing ever will. Always takes time, but it cant develop over time if there is nothing to develop. But something with a diesel isnt a bad idea either, but I dont know about the pajero styling for the U.S. market. Would probably go well in a full size truck though IMO.
Old Apr 27, 2004, 12:17 PM
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At this point, Mitsubishi needs outside help. They don't have the money to develop new vehicles (which they need) and new engines (which they need more). The 0/0/0 deal absolutely destroyed them; and will likely go down as the worst financial decision in modern carmaking. I think Mitsu saw what Ford and GM were doing with huge incentives and tried to outdo them; not realizing that Ford and GM have billions and billions in assets, not to mention other sources of income (GM is actually one of the larger mortgage issuer now).

Unfortunately for us, Mitsubishi's best bet may be to pull out of the US and focus on its home market. Mitsubishi is a car company in a land of trucks; lacking a positive image amongst American consumers and a product line that appeals to Americans.


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