he old Sonata ended up driving Hyundai�s marketing and sales division around the bend. Despite several changes in design and repeated price cuts, sales failed to pick up and match its early performance (see chart). The company hopes to get over those scary days with the launch of an upgraded version of the sedan in July. "We believe in bringing the latest technology and design into all our products. The launch of the new Sonata is one more step in that direction," says BVR Subbu, president, Hyundai Motor India.

The new Sonata will be placed in the Rs 840-crore E (premium) segment. The size of this segment is around 6,000 units with players such as Honda Accord, Toyota Camry and Ford Mondeo, and has a growth rate of 22 per cent (the overall car market is growing at 24 per cent). With the new Sonata, Hyundai (which has a 17.4 per cent share of the total market) hopes to work the Santro magic in the premium segment. The company can�t wait to get rid of the inventory of the old Sonata and has brutally slashed prices of the existing models.... more