Word: makers
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...benefiting from its traditional strengths - and even some of its weaknesses. The German firm has a strong position in Latin America, where it is the leading car maker, and in China, where it is ahead of the pack despite intense pressure from GM. Interestingly, the German car maker's weak position in the U.S. market, the world's largest, has turned out to be a blessing in disguise during this crisis. Toyota has been hit hard by falling sales in the U.S. and is closing a manufacturing plant in California, the first closure ever for the world's largest...
...sales fell 18% in the first half of 2009. But the decline at VW was modest, with car sales falling just 5% to 3.1 million vehicles. Toyota sold 3.56 million vehicles, a decline of 26% from a year ago. GM, hot on Toyota's heels as the U.S. car maker emerges from bankruptcy, sold 3.55 million vehicles worldwide, down 22%. "VW is in a very strong position and has managed to ride out the economic crisis much better than the other manufacturers," says Tim Urquhart, automotive analyst at IHS Global Insight in London...
...merger with Porsche could help VW in the U.S. While Porsche may be a niche sports car maker, it's better known stateside than VW's other premium brand Audi and could add to VW's sex appeal with brand-conscious U.S. consumers. "VW's image in the U.S. could benefit significantly from Porsche," says Jürgen Meyer, a fund manager with SEB Asset Management in Frankfurt. "Americans don't know Audi, but they know Porsche as a premium brand and that will rub off on VW. They could possibly use the Porsche brand name to create a group...
...Traditionally, Taiwan firms have exported electronic components to China, which were assembled in mainland factories and re-exported to customers in the West. But now Taiwan companies are looking to redirect their products toward China's wealthier consumers, thereby decreasing Taiwan's dependence on the U.S. Flat-screen-display maker AmTRAN Technology, based near Taipei, operates factories in China that export primarily to North America, but the company is tying up this year with a Chinese electronics brand to sell TVs inside China as well. "This year, we're putting a lot into China," AmTRAN president Frank Wu says...
...salary R&D and management divisions - at home. San says the government's vision is to turn Taiwan into an operations center for Chinese industry by supplying technical and manufacturing expertise. There are some early indications Ma's strategy might work. Sun Ta-wen, chairman of circuit-board-parts maker Taiflex Scientific in the southern city of Kaohsiung, had planned to shift more production to China to improve efficiency, despite his fear that his company's intellectual property would be stolen. But better transport links have cut shipping costs and reduced travel time, so Sun has decided to keep...