Honda Motor Co., Ltd.; ) is a Japanese public multinational corporation primarily known
as a manufacturer of automobiles, motorcycles and power equipment.
Honda has been the world's largest motorcycle manufacturer since 1959, as well as the world's
largest manufacturer of internal combustion engines measured by volume, producing more
than 14 million internal combustion engines each year. Honda became the second-largest
Japanese automobile manufacturer in 2001. Honda was the eighth largest automobile manufacturer
in the world behind General Motors, Volkswagen Group, Toyota, Hyundai Motor Group, Ford,
Nissan, and PSA in 2011. Honda was the first Japanese automobile manufacturer
to release a dedicated luxury brand, Acura, in 1986. Aside from their core automobile
and motorcycle businesses, Honda also manufactures garden equipment, marine engines, personal
watercraft and power generators, amongst others. Since 1986, Honda has been involved with artificial
intelligence/robotics research and released their ASIMO robot in 2000. They have also
ventured into aerospace with the establishment of GE Honda Aero Engines in 2004 and the Honda
HA-420 HondaJet, which began production in 2012. Honda has three joint-ventures in China.
In 2013, Honda invested about 5.7% of its revenues in research and development. Also
in 2013, Honda became the first Japanese automaker to be a net exporter from the United States,
exporting 108,705 Honda and Acura models while importing only 88,357.
History As a young man, Honda's founder, Honda Sōichirō
had an interest in automobiles. He worked as a mechanic at the Art Shokai garage, where
he tuned cars and entered them in races. In 1937, with financing from his acquaintance
Kato Shichirō, Honda founded Tōkai Seiki to make piston rings working out of the Art
Shokai garage. After initial failures, Tōkai Seiki won a contract to supply piston rings
to Toyota, but lost the contract due to the poor quality of their products. After attending
engineering school without graduating, and visiting factories around Japan to better
understand Toyota's quality control processes, by 1941 Honda was able to mass-produce piston
rings acceptable to Toyota, using an automated process that could employ even unskilled wartime
laborers. Tōkai Seiki was placed under control of the
Ministry of Commerce and Industry at the start of World War II, and Soichiro Honda was demoted
from president to senior managing director after Toyota took a 40% stake in the company.
Honda also aided the war effort by assisting other companies in automating the production
of military aircraft propellers. The relationships Honda cultivated with personnel at Toyota,
Nakajima Aircraft Company and the Imperial Japanese Navy would be instrumental in the
postwar period. A US B-29 bomber attack destroyed Tōkai Seiki's Yamashita plant in 1944, and
the Itawa plant collapsed in the 1945 Mikawa earthquake, and Soichiro Honda sold the salvageable
remains of the company to Toyota after the war for ¥450,000, and used the proceeds to
found the Honda Technical Research Institute in October 1946. With a staff of 12 men working
in a 16 m2 shack, they built and sold improvised motorized bicycles, using a supply of 500
two-stroke 50 cc Tohatsu war surplus radio generator engines. When the engines ran out,
Honda began building their own copy of the Tohatsu engine, and supplying these to customers
to attach their bicycles. This was the Honda Model A, nicknamed the Bata Bata for the sound
the engine made. In 1949, the Honda Technical Research Institute was liquidated for ¥1,000,000,
or about US$5,000 today; these funds were used to incorporate Honda Motor Co., Ltd.
At about the same time Honda hired engineer Kihachiro Kawashima, and Takeo Fujisawa who
provided indispensable business and marketing expertise to complement Soichiro Honda's technical
bent. The close partnership between Soichiro Honda and Fujisawa lasted until they stepped
down together in October 1973. The first complete motorcycle, with both the
frame and engine made by Honda, was the 1949 Model D, the first Honda to go by the name
Dream. Honda Motor Company grew in a short time to become the world's largest manufacturer
of motorcycles by 1964. The first production automobile from Honda
was the T360 mini pick-up truck, which went on sale in August 1963. Powered by a small
356-cc straight-4 gasoline engine, it was classified under the cheaper Kei car tax bracket.
The first production car from Honda was the S500 sports car, which followed the T360 into
production in October 1963. Its chain-driven rear wheels pointed to Honda's motorcycle
origins. Over the next few decades, Honda worked to
expand its product line and expanded operations and exports to numerous countries around the
world. In 1986, Honda introduced the successful Acura brand to the American market in an attempt
to gain ground in the luxury vehicle market. The year 1991 saw the introduction of the
Honda NSX supercar, the first all-aluminum monocoque vehicle that incorporated a mid-engine
V6 with variable-valve timing. CEO Tadashi Kume was succeeded by Nobuhiko
Kawamoto in 1990. Kawamoto was selected over Shoichiro Irimajiri, who oversaw the successful
establishment of Honda of America Manufacturing, Inc. in Marysville, Ohio. Both Kawamoto and
Irimajiri shared a friendly rivalry within Honda, and Irimajiri would resign in 1992
due to health issues. Following the death of Soichiro Honda and
the departure of Irimajiri, Honda found itself quickly being outpaced in product development
by other Japanese automakers and was caught off-guard by the truck and sport utility vehicle
boom of the 1990s, all which took a toll on the profitability of the company. Japanese
media reported in 1992 and 1993 that Honda was at serious risk of an unwanted and hostile
takeover by Mitsubishi Motors, who at the time was a larger automaker by volume and
flush with profits from their successful Pajero and Diamante.
Kawamoto acted quickly to change Honda's corporate culture, rushing through market-driven product
development that resulted in recreational vehicles such as the Odyssey and the CR-V,
and a refocusing away from some of the numerous sedans and coupes that were popular with Honda's
engineers but not with the buying public. The most shocking change to Honda came when
Kawamoto ended Honda's successful participation in Formula One after the 1992 season, citing
costs in light of the takeover threat from Mitsubishi as well as the desire to create
a more environmentally-friendly company image. Later, 1995 gave rise to the Honda Aircraft
Company with the goal of producing jet aircraft under Honda's name.
Corporate profile and divisions
Honda is headquartered in Minato, Tokyo, Japan. Their shares trade on the Tokyo Stock Exchange
and the New York Stock Exchange, as well as exchanges in Osaka, Nagoya, Sapporo, Kyoto,
Fukuoka, London, Paris and Switzerland. The company has assembly plants around the
globe. These plants are located in China, the United States, Pakistan, Canada, England,
Japan, Belgium, Brazil, México, New Zealand, Malaysia, Indonesia, India, Philippines, Thailand,
Vietnam, Turkey, Taiwan, Perú and Argentina. As of July 2010, 89 percent of Honda and Acura
vehicles sold in the United States were built in North American plants, up from 82.2 percent
a year earlier. This shields profits from the yen's advance to a 15-year high against
the dollar. Honda's Net Sales and Other Operating Revenue
by Geographical Regions in 2007 American Honda Motor Company is based in Torrance,
California. Honda Racing Corporation is Honda's motorcycle racing division. Honda Canada Inc.
is headquartered in Markham, Ontario, their manufacturing division, Honda of Canada Manufacturing,
is based in Alliston, Ontario. Honda has also created joint ventures around the world, such
as Honda Siel Cars and Hero Honda Motorcycles in India, Guangzhou Honda and Dongfeng Honda
in China, Boon Siew Honda in Malaysia and Honda Atlas in Pakistan.
Following the Japanese earthquake and tsunami in March 2011 Honda announced plans to halve
production at its UK plants. The decision was made to put staff at the Swindon plant
on a 2-day week until the end of May as the manufacturer struggled to source supplies
from Japan. It's thought around 22,500 cars were produced during this period.
Leadership Products
Automobiles
Honda's global lineup consists of the Fit, Civic, Accord, Insight, CR-V, CR-Z, Legend
and two versions of the Odyssey, one for North America, and a smaller vehicle sold internationally.
An early proponent of developing vehicles to cater to different needs and markets worldwide,
Honda's lineup varies by country and may have vehicles exclusive to that region. A few examples
are the latest Honda Odyssey minivan and the Ridgeline, Honda's first light-duty uni-body
pickup truck. Both were designed and engineered primarily in North America and are produced
there. Other example of exclusive models includes the Honda Civic five-door hatchback sold in
Europe. Honda's automotive manufacturing ambitions
can be traced back to 1963, with the Honda T360, a kei car truck built for the Japanese
market. This was followed by the two-door roadster, the Honda S500 also introduced in
1963. In 1965, Honda built a two-door commercial delivery van, called the Honda L700. Honda's
first four-door sedan was not the Accord, but the air-cooled, four-cylinder, gasoline-powered
Honda 1300 in 1969. The Civic was a hatchback that gained wide popularity internationally,
but it wasn't the first two-door hatchback built. That was the Honda N360, another Kei
car that was adapted for international sale as the N600. The Civic, which appeared in
1972 and replaced the N600 also had a smaller sibling that replaced the air-cooled N360,
called the Honda Life that was water-cooled. The Honda Life represented Honda's efforts
in competing in the kei car segment, offering sedan, delivery van and small pick-up platforms
on a shared chassis. The Life StepVan had a novel approach that, while not initially
a commercial success, appears to be an influence in vehicles with the front passengers sitting
behind the engine, a large cargo area with a flat roof and a liftgate installed in back,
and utilizing a transversely installed engine with a front-wheel-drive powertrain.
As Honda entered into automobile manufacturing in the late 1960s, where Japanese manufacturers
such as Toyota and Nissan had been making cars since before WWII, it appears that Honda
instilled a sense of doing things a little differently than its Japanese competitors.
Its mainstay products, like the Accord and Civic, have always employed front-wheel-drive
powertrain implementation, which is currently a long held Honda tradition. Honda also installed
new technologies into their products, first as optional equipment, then later standard,
like anti lock brakes, speed sensitive power steering, and multi-port fuel injection in
the early 1980s. This desire to be the first to try new approaches is evident with the
creation of the first Japanese luxury chain Acura, and was also evident with the all aluminum,
mid-engined sports car, the Honda NSX, which also introduced variable valve timing technology,
Honda calls VTEC. The Civic is a line of compact cars developed
and manufactured by Honda. In North America, the Civic is the second-longest continuously
running nameplate from a Japanese manufacturer; only its perennial rival, the Toyota Corolla,
introduced in 1968, has been in production longer. The Civic, along with the Accord and
Prelude, comprised Honda's vehicles sold in North America until the 1990s, when the model
lineup was expanded. Having gone through several generational changes, the Civic has become
larger and more upmarket, and it currently slots between the Fit and Accord.
Honda produces Civic hybrid, a hybrid electric vehicle that competes with the Toyota Prius,
and also produces the Insight and CR-Z. In 2008, Honda increased global production
to meet demand for small cars and hybrids in the U.S. and emerging markets. The company
shuffled U.S. production to keep factories busy and boost car output, while building
fewer minivans and sport utility vehicles as light truck sales fell.
Its first entrance into the pickup segment, the light duty Ridgeline, won Truck of the
Year from Motor Trend magazine in 2006. Also in 2006, the redesigned Civic won Car of the
Year from the magazine, giving Honda a rare double win of Motor Trend honors.
It is reported that Honda plans to increase hybrid sales in Japan to more than 20% of
its total sales in fiscal year 2011, from 14.8% in previous year.
Five of United States Environmental Protection Agency's top ten most fuel-efficient cars
from 1984 to 2010 comes from Honda, more than any other automakers. The five models are:
2000–2006 Honda Insight, 1986–1987 Honda Civic Coupe HF, 1994–1995 Honda Civic hatchback
VX, 2006– Honda Civic Hybrid, and 2010– Honda Insight. The ACEEE has also rated the
Civic GX as the greenest car in America for seven consecutive years.
Motorcycles
Honda is the largest motorcycle manufacturer in Japan and has been since it started production
in 1955. At its peak in 1982, Honda manufactured almost three million motorcycles annually.
By 2006 this figure had reduced to around 550,000 but was still higher than its three
domestic competitors. During the 1960s, when it was a small manufacturer,
Honda broke out of the Japanese motorcycle market and began exporting to the U.S. Working
with the advertising agency Grey Advertising, Honda created an innovative marketing campaign,
using the slogan "You meet the nicest people on a Honda." In contrast to the prevailing
negative stereotypes of motorcyclists in America as tough, antisocial rebels, this campaign
suggested that Honda motorcycles were made for the everyman. The campaign was hugely
successful; the ads ran for three years, and by the end of 1963 alone, Honda had sold 90,000
motorcycles. Taking Honda's story as an archetype of the
smaller manufacturer entering a new market already occupied by highly dominant competitors,
the story of their market entry, and their subsequent huge success in the U.S. and around
the world, has been the subject of some academic controversy. Competing explanations have been
advanced to explain Honda's strategy and the reasons for their success.
The first of these explanations was put forward when, in 1975, Boston Consulting Group was
commissioned by the UK government to write a report explaining why and how the British
motorcycle industry had been out-competed by its Japanese competitors. The report concluded
that the Japanese firms, including Honda, had sought a very high scale of production
in order to benefit from economies of scale and learning curve effects. It blamed the
decline of the British motorcycle industry on the failure of British managers to invest
enough in their businesses to profit from economies of scale and scope.
The second explanation was offered in 1984 by Richard Pascale, who had interviewed the
Honda executives responsible for the firm's entry into the U.S. market. As opposed to
the tightly focused strategy of low cost and high scale that BCG accredited to Honda, Pascale
found that their entry into the U.S. market was a story of "miscalculation, serendipity,
and organizational learning" – in other words, Honda's success was due to the adaptability
and hard work of its staff, rather than any long term strategy. For example, Honda's initial
plan on entering the US was to compete in large motorcycles, around 300 cc. Honda's
motorcycles in this class suffered performance and reliability problems when ridden the relatively
long distances of the US highways. When the team found that the scooters they were using
to get themselves around their U.S. base of San Francisco attracted positive interest
from consumers that they fell back on selling the Super Cub instead.
The most recent school of thought on Honda's strategy was put forward by Gary Hamel and
C. K. Prahalad in 1989. Creating the concept of core competencies with Honda as an example,
they argued that Honda's success was due to its focus on leadership in the technology
of internal combustion engines. For example, the high power-to-weight ratio engines Honda
produced for its racing bikes provided technology and expertise which was transferable into
mopeds. Honda's entry into the U.S. motorcycle market during the 1960s is used as a case
study for teaching introductory strategy at business schools worldwide.
Power equipment Production started in 1953 with H-type engine.
Honda power equipment reached record sales in 2007 with 6.4 million units. By 2010 this
figure had decreased to 4,7 million units. Cumulative production of power products has
exceeded 85 million units. Honda power equipment includes:
Engines
Honda engines powered the entire 33-car starting field of the 2010 Indianapolis 500 and for
the fifth consecutive race, there were no engine-related retirements during the running
of the Memorial Day Classic. Honda, despite being known as an engine company,
has never built a V8 for passenger vehicles. In the late 1990s, the company resisted considerable
pressure from its American dealers for a V8 engine, with American Honda reportedly sending
one dealer a shipment of V8 beverages to silence them. Honda considered starting V8 production
in the mid-2000s for larger Acura sedans, a new version of the high end NSX sports car
and possible future ventures into the American full-size truck and SUV segment for both the
Acura and Honda brands, but this was cancelled in late 2008, with Honda citing environmental
and worldwide economic conditions as reasons for the termination of this project.
Robots
ASIMO is the part of Honda's Research & Development robotics program. It is the eleventh in a
line of successive builds starting in 1986 with Honda E0 moving through the ensuing Honda
E series and the Honda P series. Weighing 54 kilograms and standing 130 centimeters
tall, ASIMO resembles a small astronaut wearing a backpack, and can walk on two feet in a
manner resembling human locomotion, at up to 6 km/h. ASIMO is the world's only humanoid
robot able to ascend and descend stairs independently. However, human motions such as climbing stairs
are difficult to mimic with a machine, which ASIMO has demonstrated by taking two plunges
off a staircase. Honda's robot ASIMO as an R&D project brings
together expertise to create a robot that walks, dances and navigates steps. 2010 marks
the year Honda has developed a machine capable of reading a user's brainwaves to move ASIMO.
The system uses a helmet covered with electroencephalography and near-infrared spectroscopy sensors that
monitor electrical brainwaves and cerebral blood flow—signals that alter slightly during
the human thought process. The user thinks of one of a limited number of gestures it
wants from the robot, which has been fitted with a Brain Machine Interface.
Aircraft
Honda has also pioneered new technology in its HA-420 HondaJet, manufactured by its subsidiary
Honda Aircraft Company, which allows new levels of reduced drag, increased aerodynamics and
fuel efficiency thus reducing operating costs. Solar cells
Honda's solar cell subsidiary company Honda Soltec started sales throughout Japan of thin-film
solar cells for public and industrial use on 24 October 2008, after selling solar cells
for residential use since October 2007. Honda announced in the end of October 2013 that
Honda Soltec would cease the business operation except for support for existing customers
in Spring 2014 and the subsidiary would be dissolved.
Mountain bikes
Honda has also built a downhill racing bicycle known as the Honda RN-01. It is not available
for sale to the public. The bike has a gearbox, which replaces the standard derailleur found
on most bikes. Honda has hired several people to pilot the
bike, among them Greg Minnaar. The team is known as Team G Cross Honda.
ATV
Honda also builds all-terrain vehicles. 450r 400ex 300ex 250r
Motorsports Honda has been active in motorsports, like
Motorcycle Grand Prix, Superbike racing and others.
Automobile
Honda entered Formula One as a constructor for the first time in the 1964 season at the
German Grand Prix with Ronnie Bucknum at the wheel. 1965 saw the addition of Richie Ginther
to the team, who scored Honda's first point at the Belgian Grand Prix, and Honda's first
win at the Mexican Grand Prix. 1967 saw their next win at the Italian Grand Prix with John
Surtees as their driver. In 1968, Jo Schlesser was killed in a Honda RA302 at the French
Grand Prix. This racing tragedy, coupled with their commercial difficulties selling automobiles
in the United States, prompted Honda to withdraw from all international motorsport that year.
After a learning year in 1965, Honda-powered Brabhams dominated the 1966 French Formula
Two championship in the hands of Jack Brabham and Denny Hulme. As there was no European
Championship that season, this was the top F2 championship that year. In the early 1980s
Honda returned to F2, supplying engines to Ron Tauranac's Ralt team. Tauranac had designed
the Brabham cars for their earlier involvement. They were again extremely successful. In a
related exercise, John Judd's Engine Developments company produced a turbo "Brabham-Honda" engine
for use in IndyCar racing. It won only one race, in 1988 for Bobby Rahal at Pocono.
Honda returned to Formula One in 1983, initially with another Formula Two partner, the Spirit
team, before switching abruptly to Williams in 1984. In the late 1980s and early 1990s,
Honda powered cars won six consecutive Formula One Constructors Championships. WilliamsF1
won the crown in 1986 and 1987. Honda switched allegiance again in 1988. New partners Team
McLaren won the title in 1988, 1989, 1990 and 1991. Honda withdrew from Formula One
at the end of 1992, although the related Mugen-Honda company maintained a presence up to the end
of 1999, winning four races with Ligier and Jordan Grand Prix.
Honda debuted in the CART IndyCar World Series as a works supplier in 1994. The engines were
far from competitive at first, but after development, the company powered six consecutive drivers
championships. In 2003, Honda transferred its effort to the rival IRL IndyCar Series.
In 2004, Honda-powered cars overwhelmingly dominated the IndyCar Series, winning 14 of
16 IndyCar races, including the Indianapolis 500, and claimed the IndyCar Series Manufacturers'
Championship, Drivers' Championship and Rookie of the Year titles. In 2006, Honda became
the sole engine supplier for the IndyCar Series, including the Indianapolis 500. In the 2006
Indianapolis 500, for the first time in Indianapolis 500 history, the race was run without a single
engine problem. During 1998, Honda considered returning to
Formula One with their own team. The project was aborted after the death of its technical
director, Harvey Postlethwaite. Honda instead came back as an official engine supplier to
British American Racing and Jordan Grand Prix. Honda bought a stake in the BAR team in 2004
before buying the team outright at the end of 2005, becoming a constructor for the first
time since the 1960s. Honda won the 2006 Hungarian Grand Prix with driver Jenson Button.
It was announced on 5 December 2008, that Honda would be exiting Formula One with immediate
effect due to the 2008 global economic crisis. The team was sold to former team principal
Ross Brawn, renamed Brawn GP and subsequently Mercedes.
Honda became an official works team in the British Touring Car Championship in 2010.
Honda made an official announcement on 16 May 2013 that it will re-enter Formula One
racing in 2015 as an engine supplier to the McLaren team.
Motorcycles
Honda Racing Corporation was formed in 1982. The company combines participation in motorcycle
races throughout the world with the development of high potential racing machines. Its racing
activities are an important source for the creation of leading edge technologies used
in the development of Honda motorcycles. HRC also contributes to the advancement of motorcycle
sports through a range of activities that include sales of production racing motorcycles,
support for satellite teams, and rider education programs.
Soichiro Honda, being a race driver himself, could not stay out of international motorsport.
In 1959, Honda entered five motorcycles into the Isle of Man TT race, the most prestigious
motorcycle race in the world. While always having powerful engines, it took until 1961
for Honda to tune their chassis well enough to allow Mike Hailwood to claim their first
Grand Prix victories in the 125 and 250 cc classes. Hailwood would later pick up their
first Senior TT wins in 1966 and 1967. Honda's race bikes were known for their "sleek & stylish
design" and exotic engine configurations, such as the 5-cylinder, 22,000 rpm, 125 cc
bike and their 6-cylinder 250 cc and 297 cc bikes.
In 1979, Honda returned to Grand Prix motorcycle racing with the monocoque-framed, four-stroke
NR500. The FIM rules limited engines to four cylinders, so the NR500 had non-circular,
'race-track', cylinders, each with 8 valves and two connecting rods, in order to provide
sufficient valve area to compete with the dominant two-stroke racers. Unfortunately,
it seemed Honda tried to accomplish too much at one time and the experiment failed. For
the 1982 season, Honda debuted their first two-stroke race bike, the NS500 and in 1983,
Honda won their first 500 cc Grand Prix World Championship with Freddie Spencer. Since then,
Honda has become a dominant marque in motorcycle Grand Prix racing, winning a plethora of top
level titles with riders such as Mick Doohan and Valentino Rossi.
In the Motocross World Championship, Honda has claimed six world championships. In the
World Enduro Championship, Honda has captured eight titles, most recently with Stefan Merriman
in 2003 and with Mika Ahola from 2007 to 2010. In observed trials, Honda has claimed three
world championships with Belgian rider Eddy Lejeune.
Electric and alternative fuel vehicles
Compressed natural gas The Honda Civic GX is the only purpose-built
natural gas vehicle commercially available in some parts of the U.S. The Honda Civic
GX first appeared in 1998 as a factory-modified Civic LX that had been designed to run exclusively
on compressed natural gas. The car looks and drives just like a contemporary Honda Civic
LX, but does not run on gasoline. In 2001, the Civic GX was rated the cleanest-burning
internal combustion engine in the world by the U.S. Environmental Protection Agency.
First leased to the City of Los Angeles, in 2005, Honda started offering the GX directly
to the public through factory trained dealers certified to service the GX. Before that,
only fleets were eligible to purchase a new Civic GX. In 2006, the Civic GX was released
in New York, making it the second state where the consumer is able to buy the car. Home
refueling is available for the GX with the addition of the Phill Home Refueling Appliance.
Flexible-fuel Honda's Brazilian subsidiary launched flexible-fuel
versions for the Honda Civic and Honda Fit in late 2006. As other Brazilian flex-fuel
vehicles, these models run on any blend of hydrous ethanol and E20-E25 gasoline. Initially,
and in order to test the market preferences, the carmaker decided to produce a limited
share of the vehicles with flex-fuel engines, 33 percent of the Civic production and 28
percent of the Fit models. Also, the sale price for the flex-fuel version was higher
than the respective gasoline versions, around US$1,000 premium for the Civic, and US$650
for the Fit, despite the fact that all other flex-fuel vehicles sold in Brazil had the
same tag price as their gasoline versions. In July 2009, Honda launched in the Brazilian
market its third flexible-fuel car, the Honda City.
During the last two months of 2006, both flex-fuel models sold 2,427 cars against 8,546 gasoline-powered
automobiles, jumping to 41,990 flex-fuel cars in 2007, and reaching 93,361 in 2008. Due
to the success of the flex versions, by early 2009 a hundred percent of Honda's automobile
production for the Brazilian market is now flexible-fuel, and only a small percentage
of gasoline version is produced in Brazil for exports.
In March 2009, Honda launched in the Brazilian market the first flex-fuel motorcycle in the
world. Produced by its Brazilian subsidiary Moto Honda da Amazônia, the CG 150 Titan
Mix is sold for around US$2,700. Hybrid electric
In late 1999, Honda launched the first commercial hybrid electric car sold in the U.S. market,
the Honda Insight, just one month before the introduction of the Toyota Prius, and initially
sold for US$20,000. The first-generation Insight was produced from 2000 to 2006 and had a fuel
economy of 70 miles per US gallon for the EPA's highway rating, the most fuel-efficient
mass-produced car at the time. Total global sales for the Insight amounted to only around
18,000 vehicles. Honda introduced the second-generation Insight
in its home nation of Japan in February 2009, and released it in other markets through 2009
and in the U.S. market in April 2009. At $19,800 as a five-door hatchback it will be the least
expensive hybrid available in the U.S. Honda expects to sell 200,000 of the vehicles each
year, with half of those sales in the United States.
Since 2002, Honda has also been selling the Honda Civic Hybrid in the U.S. market. It
was followed by the Honda Accord Hybrid, offered in model years 2005 through 2007. Sales of
the Honda CR-Z began in Japan in February 2010, becoming Honda's third hybrid electric
car in the market. In an interview in early February 2011, a
Honda executive disclosed that Honda produces around 200,000 hybrids a year in Japan.
Hydrogen fuel cell In Takanezawa, Japan, on 16 June 2008, Honda
Motors produced the first assembly-line FCX Clarity, a hybrid hydrogen fuel cell vehicle.
More efficient than a gas-electric hybrid vehicle, the FCX Clarity combines hydrogen
and oxygen from ordinary air to generate electricity for an electric motor.
The vehicle itself does not emit any pollutants and its only by products are heat and water.
The FCX Clarity also has an advantage over gas-electric hybrids in that it does not use
an internal combustion engine to propel itself. Like a gas-electric hybrid, it uses a lithium
ion battery to assist the fuel cell during acceleration and capture energy through regenerative
braking, thus improving fuel efficiency. The lack of hydrogen filling stations throughout
developed countries will keep production volumes low. Honda will release the vehicle in groups
of 150. California is the only U.S. market with infrastructure for fueling such a vehicle,
though the number of stations is still limited. Building more stations is expensive, as the
California Air Resources Board granted $6.8 million for four H2 fueling stations, costing $1.7 million
USD each. Marketing
Japan
Starting in 1978, Honda in Japan decided to diversify their sales distribution channels,
and created Honda Verno, which sold established products with a higher content of standard
equipment and a more sporting nature. The establishment of Honda Verno coincided with
its new sports compact, called the Honda Prelude. Later, the Honda Vigor, the Honda Ballade,
and the Honda Quint were added to Honda Verno stores. This approach was implemented due
to efforts in place by rival Japanese automakers Toyota and Nissan.
As sales progressed, Honda created two more sales channels, called Honda Clio in 1984,
and Honda Primo in 1985. The Honda Clio chain sold products that were traditionally associated
with Honda dealerships before 1978, like the Honda Accord, and Honda Primo sold the Honda
Civic, kei cars, such as the Honda Today, superminis like the Honda Capa, along with
other Honda products, such as farm equipment, lawn mowers, portable generators, marine equipment,
motorcycles, and scooters. A styling tradition was established when Honda Primo and Clio
began operations, in that all Verno products had the rear license plate installed in the
rear bumper, while Primo and Clio products had the rear license plate installed on the
trunk lid or rear door for minivans. As time progressed and sales began to diminish
partly due to the collapse of the Japanese "bubble economy", "supermini" and "kei" vehicles
that were specific to Honda Primo were "badge engineered" and sold at the other two sales
channels, thereby providing smaller vehicles that sold better at both Honda Verno and Honda
Clio locations. As of March 2006, the three sales chains were discontinued, with the establishment
of Honda Cars dealerships. Honda sells genuine accessories through a
separate retail chain called Honda Access for both their motorcycle, scooter and automobile
products. In cooperation with corporate "keiretsu" partner Pioneer, Honda sells an aftermarket
line of audio and in-car navigation equipment that can be installed in any vehicle under
the brand name Gathers, which is available at Honda Access locations as well as Japanese
auto parts retailers, such as Autobacs. Buyers of used vehicles are directed to a specific
Honda retail chain that sells only used vehicles called Honda Auto Terrace.
In the spring of 2012, Honda in Japan introduced Honda Cars Small Store which is devoted to
compact cars like the Honda Fit, and kei vehicles like the Honda Today.
All cars sold at Honda Verno Prelude, Integra, CR-X, Vigor, Saber, Ballade,
Quint, Crossroad, Element, NSX, HR-V, Mobilio Spike, S2000, CR-V, That's, MDX, Rafaga, Capa,
and the Torneo All cars sold at Honda Clio
Accord, Legend, Inspire, Avancier, S-MX, Lagreat, Stepwgn, Elysion, Stream, Odyssey, Domani,
Concerto, Accord Tourer, Logo, Fit, Insight, That's, Mobilio, and
the City All cars sold at Honda Primo
Civic, Life, Acty, Vamos, Hobio, Ascot, Ascot Innova, Torneo, Civic Ferio, Freed, Mobilio,
Orthia, Capa, Today, Z, and the Beat International efforts
In 2003, Honda released its Cog advertisement in the UK and on the Internet. To make the
ad, the engineers at Honda constructed a Rube Goldberg Machine made entirely out of car
parts from a Honda Accord Touring. To the chagrin of the engineers at Honda, all the
parts were taken from two of only six hand-assembled pre-production models of the Accord. The advertisement
depicted a single cog which sets off a chain of events that ends with the Honda Accord
moving and Garrison Keillor speaking the tagline, "Isn't it nice when things just... work?"
It took 606 takes to get it perfect. In 2004, they produced the Grrr advert, usually
immediately followed by a shortened version of the 2005 Impossible Dream advert.
In December 2005, Honda released The Impossible Dream a two-minute panoramic advertisement
filmed in New Zealand, Japan and Argentina which illustrates the founder's dream to build
performance vehicles. While singing the song "Impossible Dream", a man reaches for his
racing helmet, leaves his trailer on a minibike, then rides a succession of vintage Honda vehicles:
a motorcycle, then a car, then a powerboat, then goes over a waterfall only to reappear
piloting a hot air balloon, with Garrison Keillor saying "I couldn't have put it better
myself" as the song ends. The song is from the 1960s musical Man Of La Mancha, sung by
Andy Williams. In 2006, Honda released its Choir advertisement,
for the UK and the internet. This had a 60-person choir who sang the car noises as film of the
Honda Civic are shown. In the mid to late 2000s in the United States,
during model close-out sales for the current year before the start of the new model year,
Honda's advertising has had an animated character known simply as Mr. Opportunity, voiced by
Rob Paulsen. The casual looking man talked about various deals offered by Honda and ended
with the phrase "I'm Mr. Opportunity, and I'm knockin'", followed by him "knocking"
on the television screen or "thumping" the speaker at the end of radio ads. In addition,
commercials for Honda's international hatchback, the Jazz, are parodies of well-known pop culture
images such as Tetris and Thomas The Tank Engine.
In late 2006, Honda released an ad with ASIMO exploring a museum, looking at the exhibits
with almost childlike wonderment, while Garrison Keillor ruminates on progress. It concludes
with the tagline: "More forwards please". Honda also sponsored ITV's coverage of Formula
One in the UK for 2007. However they had announced that they would not continue in 2008 due to
the sponsorship price requested by ITV being too high.
In May 2007, focuses on their strengths in racing and the use of the Red H badge – a
symbol of what is termed as "Hondamentalism". The campaign highlights the lengths that Honda
engineers go to in order to get the most out of an engine, whether it is for bikes, cars,
powerboats – even lawnmowers. Honda released its Hondamentalism campaign. In the TV spot,
Garrison Keillor says, "An engineer once said to build something great is like swimming
in honey", while Honda engineers in white suits walk and run towards a great light,
battling strong winds and flying debris, holding on to anything that will keep them from being
blown away. Finally one of the engineers walks towards a red light, his hand outstretched.
A web address is shown for the Hondamentalism website. The digital campaign aims to show
how visitors to the site share many of the Hondamentalist characteristics.
At the beginning of 2008, Honda released – the Problem Playground. The advert outlines Honda's
environmental responsibility, demonstrating a hybrid engine, more efficient solar panels
and the FCX Clarity, a hydrogen powered car. The 90 second advert has large scale puzzles,
involving Rubik's Cubes, large shapes and a 3-dimensional puzzle.
On 29 May 2008, Honda, in partnership with Channel 4, broadcast a live advertisement.
It showed skydivers jumping from an aeroplane over Spain and forming the letters H, O, N,
D and A in mid-air. This live advertisement is generally agreed to be the first of its
kind on British television. The advert lasted three minutes.
In 2009, American Honda released the Dream the Impossible documentary series, a collection
of 5–8 minute web vignettes that focus on the core philosophies of Honda. Current short
films include Failure: The Secret to Success, Kick Out the Ladder and Mobility 2088. They
have Honda employees as well as Danica Patrick, Christopher Guest, Ben Bova, Chee Pearlman,
Joe Johnston and Orson Scott Card. The film series plays at dreams.honda.com.
Sports In Australia, Honda advertised heavily during
most motor racing telecasts, and was the official sponsor of the 2006 FIA Formula 1 telecast
on broadcaster channel "Ten". In fact, it was the only manufacturer involved in the
2006 Indy Racing League season. In a series of adverts promoting the history of Honda's
racing heritage, Honda claimed it "built" cars that won 72 Formula 1 Grand Prix. Skeptics
have accused Honda of interpreting its racing history rather liberally, saying that virtually
all of the 72 victories were achieved by Honda powered machines, whereas the cars themselves
were designed and built by Lotus F1, Williams F1, and McLaren F1 teams, respectively. However,
former and current staff of the McLaren F1 team have reiterated that Honda contributed
more than just engines and provided various chassis, tooling, and aerodynamic parts as
well as funding. . The late F1 driver Ayrton Senna stated that
Honda probably played the most significant role in his three world championships. He
had immense respect for founder, Soichiro Honda, and had a good relationship with Nobuhiko
Kawamoto, the chairman of Honda at that time. Senna once called Honda "the greatest company
in the world". As part of its marketing campaign, Honda is
an official partner and sponsor of the National Hockey League, the Anaheim Ducks of the NHL,
and the arena named after it: Honda Center. Honda also sponsors The Honda Classic golf
tournament and is a sponsor of Major League Soccer. The "Honda Player of the Year" award
is presented in United States soccer. The "Honda Sports Award" is given to the best
female athlete in each of twelve college sports in the United States. One of the twelve Honda
Sports Award winners is chosen to receive the Honda-Broderick Cup, as "Collegiate Woman
Athlete of the Year." Honda will sponsoring La Liga club Valencia
CF starting from 2014-15 season. Valencia CF will carry Honda Cars Valencia insignia
at their football kits. Honda has been a presenting sponsor of the
Los Angeles Marathon since 2010 in a three-year sponsorship deal with winners of the LA Marathon
receiving a free Honda Accord. Since 1989, the Honda Campus All-Star Challenge has been
a quizbowl tournament for Historically black colleges and universities.
Facilities
Mainstream models
US sales Production numbers
See also
Comparison of Honda water-pumps Honda advanced technology
Honda Airport Honda Battle of the Bands
Honda F.C. club) Honda Heat
Honda Type R List of Honda assembly plants
List of Honda transmissions Internavi
Notes
References "Move Over, Volvo: Honda Sets New Safety Standard
for Itself", an article in the "News" section of the March 2004 issue of Motor Trend, on
page 32 "Annual Reports". Investor Relations. Honda
Motor Co. The story of Honda's entry and growth in the
American market is documented in Terry Sanders' film The Japan Project: Made in Japan. Honda
Honda's Midlife Crisis: Honda's slipping market position and views of Fukui Takeo
Honda's Corporate History External links
Honda Worldwide site Honda Press Library
Honda Automobiles at DMOZ Honda Motorcycles at DMOZ