Mitsubishi 2007 Annual Report Download - page 27

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25
Furthermore, MMC aims to win support from a
broad range of customers for the new
Lancer
sedan
due for launch in fall 2007.
The
Lancer
has been a best-selling imported
model, particularly in Russia. The
Lancer
model
received the Car of the Year Award for 2005 and
2006 (C Segment) in Russia. These awards are run
by five well-known Russian magazines. In 2007,
the new
Lancer
went on sale in Russia before other
major European countries and has made a strong
start in terms of sales.
Strengthening Sales Systems in Russia
and the Ukraine
MMC will expand sales further in the fast-growing
Russian and Ukraine markets by strengthening
marketing and sales systems under the direct con-
trol of Head Office in Japan.
In the Russian market, MMC has been expand-
ing sales in concert with local distributors since
1992. Integrated brand-building initiatives by local
distributors, including substantial investments in af-
ter-sales services and sales promotions and adver-
tising, have enhanced the Mitsubishi Motors brand
image during the country’s recent economic growth
spurt. In 2006, MMC received the Super Brand
Award, highlighting its status as the No.1 brand in
the Russian automobile industry. Going forward,
MMC will continue to build even stronger ties with
local partners. In order to conduct marketing and
product planning to better satisfy customer needs
in the rapidly growing Russian market, MMC has
adopted a sales structure in fiscal year 2007 that
directly links Head Office and local distributors. Pre-
viously, Mitsubishi Motors Europe B.V. (MME), a
sales subsidiary overseeing Europe, had been respon-
sible for management of sales activities in the West-
ern European and Russian markets. Furthermore,
MMC will take various initiatives to expand sales,
including dispatching more MMC employees to local
positions.
In the second half of fiscal year 2007, MMC will
adopt a sales system that directly links Head Office
to local distributors in the Ukraine. As in Russia, we
will consider dispatching staff to local positions.
MMC has also been received well by Ukrainian cus-
tomers. Mitsubishi was ranked the country’s No.1
imported-vehicle brand in terms of retail sales of
imported vehicles in 2006. MMC was also named
Brand of the Year 2007 by a survey of consumers in
the Ukraine.
In the expanding markets of Russia and the
Ukraine, MMC is targeting a year-on-year increase
of more than 30% in retail sales during fiscal year
2007 based on the strong brand image it has estab-
lished.
Business Alliance With PSA Peugeot
Citroën
In fiscal year 2007, MMC began the OEM supply
of two new SUV models based on the
Outlander
to
PSA Peugeot Citroën. With a projected 30,000
units to be supplied in fiscal year 2007, MMC ex-
pects this alliance to make a substantial contribu-
tion to earnings.
MMC has a strong collaborative framework with
PSA Peugeot Citroën. An agreement is already in
place to source PSA Peugeot Citroën diesel engines
for use in our SUV models.
Regional Topics—Europe
Lancer Pajero
Models sold in Europe