Mahindra considering second shot at US market
After the first failed attempt led to dealer lawsuits, the Indian automaker will take a measured approach rather than \"be in a hurry.\"
Mahindra & Mahindra is preparing to take a second shot at entering the US market, after its initial initial attempted failed to launch a single vehicle and resulted in lawsuits from dealers.
The company ceased development work on a US-bound pickup truck in July of 2012, citing the legal troubles and certification issues. Within two months the automaker announced plans to open a technical center in Troy, Michigan, allowing local engineers to focus on learning about product development.
"We just need to make sure that we get everything right, rather than be in a hurry and come in and not succeed," Mahindra executive director Pawan Goenka told The Detroit News.
The company also opened a small manufacturing facility for its GenZe brand, which offers electric scooters and bikes. The endeavor will serve as a trial for brand establishment in the mainstream markets, as the company is currently better known for its tractors in the US.
Mahindra owns a controlling stake in South Korean automaker Ssangyong, which has its own plans for a launch in the US market. The Indian company will be reviewing feasibility of bringing both brands to the US, potentially choosing just one or neither depending on the conclusions of internal studies.
"We just want to make sure we do everything right in terms of product, pricing, marketing and be ready with our U.S. entry," Goenka added.
The company has declined to publicly announce an estimated time frame for completing the feasibility studies or bringing either of its automotive brands to the US.