The US and Japan are the two leading names in the automobile retail industry. However, Japan manages to enjoy a fair share of import in many cities of the US. It is observed that despite exporting high-quality cars and vehicles, US is not getting proper exposure to the car industry in Japan. According to the statistics, Japan entertains around 80% of the car industry leaving little room for foreign retailers to do business. This has created much buzz among many politicians including Donald Trump and along with the many carmakers.
Many events and reasons contribute to such a situation prevalent in the industry. To take an in-depth analysis as to why the US is getting lesser exposure let’s begin reading the guide summarized below:
People in Japan prefer to purchase cars from Japanese market more than counting on any foreign car manufacturer. The core reason lies in hospitality. What dealers normally do is they strive to create a strong bond with the customers. They deliver demo cars for test drives. You will feel like you own that car. They treat their customers attentively, understanding their every demand and catering their every need. They do not believe in simply dispatching the order and considering the task to be completed, instead, they remain in contact and update them about the cars and news.
Moreover, the best thing about their customer services is that they carry out routine maintenance trips and offer uncountable maintenance facilities to their clients. Things like refilling tires, oiling issues, car wash and changing possible accessories, and insurance issues all such tasks are included in their service package.
Now, who would not count on such a service rather than running after the ones who never turn their head once the order is dispatched.
Rules and Regulations
The second big issue about the Japanese car market is that they impose heavy import laws and regulations on cars coming in from the foreign countries. These cars are examined for days, and each paper is verified several times. Such lengthy inspections and uncountable verifications make it difficult for the dealers to think about any foreign car. On the other hand, if it’s about Japanese car or local car makers, a short investigation is carried out which revolves around official formalities and then the car is approved to dispatch. Such activities and attitudes of law enforcement departments have made it challenging for US manufacturer to breathe in a tough environment.
Tariff or commonly called tax is placed on the import of each car. It is seen that there is no such tariff imposed on Japanese cars but when it comes to US people are liable for paying huge a huge tariff. The percentage of a tariff imposed on cars ranges from 2.5% to 10% respectively. Furthermore, investing in dealers market is a big opportunity, which every state strive to get, this can help manufacturers create a favorable position in the market and roll multiple folds on investment. However, unfortunately, US dealers are restricted from investing in the market that strikes a huge blow to their revenue collection.
Reliability and strength are two words that describe the Japanese cars. Whether you are talking about use cars japan or the brand new ones, Japanese car market is truly a class apart. Japanese cars are preferred for being trustable and reliable. They are comfortable and provide smooth drive. From pickup to brake application, perfect alignments to automatic gear applications, and every feature of these cars are unmatchable and utterly proficient. Furthermore, Japanese cars are highly reasonable. They are a perfect fit for big families and drives through diverse terrains. Whether you are driving through the sloppy landscape of the Bahamas or the dark forest of South Africa, these cars will be there for you pleasurable rides in every situation. Unlike American cars, not every car is designed to be treated quite roughly. As the US is a modern state with its road properly constructed and people following strict traffic rules, driving there is easy and so the cars are manufactured eliminating such hurdles. However, Japan is a crowded place, people spend hours in their cars to each a spot. That’s why Japanese cars are far more durable than the US ones.
In a Nut Shell
One big reason for the massive success of Japanese market is due to hospitality. They play honest. The car dealers keep the customers updated with the current condition of the car if they plan to buy a used one. In every situation, Japanese car dealers cater customer’s requirements. Such a level of customer service is hard to find with American dealers. Japanese dealers first focus on making bonds and then converting them into loyal customers instead of itching the offer right off the bay.