Honda 2010 Annual Report Download - page 16

Download and view the complete annual report

Please find page 16 of the 2010 Honda annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 76

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76

Total industry demand for motorcycles in Japan in fiscal 2010
was approximately 410,000 units*1, about 25% lower than
in the previous fiscal year. This decline in demand was mainly
due to the effects of the economic downturn, regulations on
emission limits, demographic factors such as the decline in the
number of younger people, the decline in the number of peo-
ple who acquire motorcycle driving licenses and the shortage of
motorcycle parking spaces in city areas.
Amid these difficult operating conditions, in June
2009, Honda strengthened its lineup by launching its
Super
Cub 110
business model, which is both economic and practi-
cally useful. Also, in March 2010, Honda launched its
CB1100
Type I large sport bike adding functional elegance, which is
equipped with a newly developed air-cooled four-cylinder en-
gine. In addition, in March 2010, Honda introduced its
PCX
in
Japan, and it received a highly favorable reception. Only three
weeks after the launch, orders for 8,000 units had been re-
ceived, which was more than 90% of the annual sales goal.
A strategic global model,
PCX
is a 125cc scooter featuring a
global standard design for major components, which enhances
cost-competitiveness and production efficiency. The
PCX
is also
the first scooter to be introduced in Japan in the 125cc class
equipped with an idling-stop system*2.
Despite expansion in sales of new models, unit sales
in Japan decreased 18.1%, to 190,000 units, due to more in-
tense competition and other factors.
*1: Source: Japan Automobile Manufacturers Association (JAMA)
*2: According to Honda research.
Japan
Super Cub 110 (Japan)
CB1100 (Japan)
Forza (Japan)
Review of Operations
Motorcycle Business
14