Hyundai Struggles With Success, Running out of Models

Supply and demand is a tricky thing. After years of struggling to get its foot in the door here in the U.S., Hyundai is finding that many of its small cars are so popular the company can’t meet demand, especially with the new Accent two-door hatchback.

Other models built at Hyundai’s Alabama facility, like the new Santa Fe and Sonata, will pick up the slack for the missed sales opportunities of the Korean-produced Accent, Tiburon and Elantra. The demand problem has forced the company to lower sales goals for 2007. In a time when larger American automakers are having to cut production, Hyundai shows that even with gas prices falling, buyers are still looking at smaller and more affordable vehicles.

[Hot Hyundais, AutoWeek]

Related:
Four Will Enter, One Will Leave: Honda Fit, Hyundai Accent, Nissan Versa and Suzuki SX4
New Accent Hatchback: Yep, it's Cheap

Comments

Not surprising at all. Considering Hyundai's quality ratings lately, and the much better actual quality of it's products, they should have foreseen demand outstripping supply. Not to be a domestic basher, but Hyundai's situation is in some ways a rather envious one to be in, compared to Ford and GM models sitting on lots for MONTHS due to over-production and reduced demand. I'm proud to be a Hyundai owner. Sure a huge difference from the Excel and Scoupe days, no???

WHEN THE KOREANS, JAPANESE AND THE CHINESE COME TO YOUR DOOR ONE DAY AND TELL YOU THAT YOU HAVE TO MOVE BECAUSE THEY OWN AMERICA, YOU THEN WILL SAY WOW, WISH I HAD LOVED MY COUNTRY MORE. IT MIGHT STILL BE OURS.
I OWN A 1994 MERCURY MARQUIS THAT I BOUGHT IN 2001. IT HAD 100,OO0 MILES ON IT AND NOW IS APPROACHING 200,000. I HAVE ONLY REPLACED, 2 WINDOW REGULATORS, AND AM WORKING ON MY SECOND SET OF TIRES, PERFORMED ONE TUNE UP IN THESE 5 YEARS. NOT BAD HUH, FOR AN AMERICAN PRODUCT.
ALL THESE AUTOMOBILE MAGAZINES OWNED BY THE FOREIGNERS ARE REALLY MAKING A GOOD SALES PITCH FOR THEIR VEHICLES WHILE BASHING THE OLE U.S.A PRODUCTS. YOU AMERICANS HAVE FALLEN FOR IT.
WOW, WHERE HAS THE LOVE FOR THIS COUNTRY GONE ?

I experienced first hand what a shortage they are having. The transition in my Elantra went at 50,000 miles and the dealership replaced it under warrantee. Somehow, they screwed it up, because the next weekend, I got stuck on the freeway 120 miles from home. The issue was they didn't tie down the transition coolant hose properly, and the radiator fan ate through it. This was around September 12th. Two days ago I finally got a call saying that the hose that they needed to replace that had been backordered was finally in, and they could replace the used hose they had stuck in there for the time being.

Supply and demand. Give customers what they want, and they will reward you with profits and sustainability.

Americans, and the majority of the world demand fuel efficent vehicles. Hyundai has been providing that for years, and the pot is only getting better since the quality and standards the company sets forth is increasing, suprassing GM, Ford, and Chrysler in reliability ratings. The "Big Three" should learn from Toyota, Honda, and Hyundai on how to sell an innovative car that doesn't feature six or seven models on one platform (e.g. GM) or have poor reliability ratings.

I've owned a 2001 Honda Civic and now drive a 2006 Toyota RAV4. Parents drive a 1998 and a 2003 Nissan Pathfinder. Never had any issues out of those whatsoever. We had a 1990 Chevrolet Silverado, paint and primer began to chip and crack within one year of purchase and GM refused to fix the issue, despite a lawsuit filed against the company.

Tommy, for every 'good' you tort, a 'bad remark' can easily be made. Out of the American vehicles we've owned (Silverado mentioned above, 1996 Plymouth Voyager, 1995 Chrysler Cirrus), we've had major issues out of every one of them.

See how easy I can turn this around?

Tommy, perhaps you would have more credibility if you typed in regular case and added useful contributions to the discussion.

If I were smarter I'd stay as far away from this as possible, but I have to know...
Where will the Koreans make me live when they own America?

'Lil'Tom' is such an appropriate name to capture the little thoughts being emitted from your little brain.

Stick with Ford and General Motors. It's all you'll ever be able to afford.

Ouch, you guys are harsh. I can't say that Tommy's over patriotic comments and the remarks about his Marquis make feel a little ill. It has nothing and everything to do with being in America. It's called "freedom to choose". It's no secret that American made cars are of inferior quality and value. I would love to see someone buy a Chevy and a Toyota of the same cost and see the Total Cost of Ownership over 5 or 10 years. Then see which one has a better resale value. My guess is that the Toyota would win, hands down.

FYI: I own a 1992 Toyota Previa and it's a great van especially with the age and miles it has one it. I also have a 1996 Plymouth Neon and I have had numerous problems with it, mostly an oil leak that the mechanic said would never go away permanently.

So as for your comments about the Good Ole U.S.A. and its products... I think you should undo your caps lock and think a little harder before typing.

hey guys. First off to defend Lil Tom he was making a joke about Tommy's comment.

Rjzinger
Picking the plymouth neon as an example of avg American quality is a poor one and it was well known as a horrible offender in that arena.
If you went out and bought a 2006 model (not the new 2007s) Toyota Tundra and Chevy Silverado for example I think the two would probably compete neck and neck in cost of ownership and resale value.

Take a 2006 Corolla vs a 2006 Ford Focus and I bet cost of ownership would be similar but the resale would definitely edge towards Toyota.

There are plenty of well made American cars (including a number of Hyundai's made in Alabama) to buy. We certainly test enough to know which ones can compete with the Japanese and which ones can't. The answers aren't usually absolute across the board either. Would I take a Civic over the Focus and Cobalt? yeah.

Would I take a new Tahoe over a Nissan Armada? In a second.

Wow, I didn't realize I would incite such a firestorm of domestic vs. foreign, "my (fill in the blank of domestic make car) has 5 ka-jillion miles on it and still runs like it's brand new," commentary. I simply wanted to express my opinion, which I believe is ALMOST universally accepted, that Hyundai has made great strides in it's quality and perception by the public. That being said, however, there will always be those like 'Tommy' above who will be foreign makers bashers, regardless of how good their products are. I would venture to guess this individual has an "America: Love it or Leave it!" t-shirt, or a similar bumper sticker. Blind patriotism for the sake of being a "patriot" always confounds me. It IS possible to live in a country and not always buy products made in said country and still be proud of your homeland, these are not mutually exclusive concepts.

Why we need to buy American Cars to show our patriot? Such an idiot idea.

Please remember that Chrysler is not 100% American since it is now chrysler + Mercedes. Ford owns Mazda, ...etc. Please remember that when Hyundai opens up manufacturer here, they offers you job/money to support your family and your country. When you buy a car, you pay tax.

To be successful, American needs to build better quality car and compete fairly, not using its citizen patriot to get the sales. Sales from American is not enough, we need it from around the world. While spending time and money to develop weapons to dominate the world, why don't we, just like Japanese, delelop better cars and concentrate on economy.

Tony,

You have valid points on automobiles. However, why do we need such military capability? Becasue there are alot people that would like to take your freedom away. They could care less about the vehicle you drive.

As far as Hyundai goes. Good for them. Good for them becasue they are forcing innovation on other auto makers. No one looses when there are competing manufacturers.