What is the relationship between Toyota and Lexus Nissan and

Mardi 11 oct 2016

This page may be out of date. Save your draft before refreshing this page.Submit any pending changes before refreshing this page. Hide this message.QuoraSign In Nissan (car company) Mercedes-Benz (car company) Toyota (company) Automotive Industry Cars and AutomobilesWhat is the relationship between Toyota and Lexus, Nissan and Infiniti, Mercedes-Benz and Maybach? Do we have anything else like them?UpdateCancelAnswer Wiki12 Answers Frank Kemper, Riding around in Europe with cars and bikes barely known to AmericansWritten 75w agoWe are talking about luxury brands owned by large car manufacturers. The goal is to expand the variety of the product range without stretching the brand value of the core brand too much. You already mentioned Toyota and Lexus, Mercedes and Maybach and Nissan and Infiniti. I'd like to add BMW and Rolls Royce, Volkswagen and Bentley, Fiat and Maserati, and Honda and Acura.Volkswagen maybe is the most striking example. They bought Audi in 1966. It was their initial plan to scrape all Audi models and to use the recently acquired Auto Union facilities to make more Beetles (which was their main source of revenue back then). Then Audi managed to develop the Audi 100, which was a car competing with the Mercedes 200 and other middle class sedans (they actually did the development undercover and surprised the VW bosses with a finished prototype). VW did not have such a car in their range, and a guy who had enough money to buy a Mercedes 200 or a BMW 1800 ti, would not have beought a Volkswagen. A few years later Volkswagen realized that nobody would buy their rear engine aircooled outdated cars, and they found out that Audi had some interesting front wheel drive concepts right in the drawer. So they took the freshly released Audi 50 and rebadged it as Volkswagen Polo – huge success! Then they took Audi engineering and Audi engineered engines for the first VW Golf – huge success! They took the first Audi 80, fitted it with a hatchback and a station wagon body and called it Passat. Huge success!Volkswagen would never have survived the 70's without Audi. By the end of the 70's the decision was made that Audi would be the brand for the people who find VW too cheap. So Audi began an uphill fight against BMW and Mercedes. BMW was possible to close up, but to achieve the luxury of Mercedes turned out to be impossible. When Rolls Royce/Bentley finally was bankrupt, Volkswagen decided to buy the stuff. Funny enough, they found out that they had bought the (outdated) Rolls Royce factory, but not the Rolls Royce and Bentley brand – they were bought by BMW. So VW agreed with BMW to keep the factory and the Bentley brand, while BMW built a new factory and got the Rolls Royce brand. Both had the same goal in mind: To get access to the super-rich, who would be too rich for an Audi or a BMW. Volkswagen even managed to build up a platform for their own luuxury sedan VW Phaeton (made in Leipzig/Germany) – and to use both the platform and drivetrain components for the new generation of Bentley cars. The Bentleys turned out to be the bigger success, they sold better than the Phaeton and spilled more money into the cash register. Bentley turned out to be so successful that for some time the Phaeton Factory in Leipzig was assembling Bentleys. Since then VW has been buying several other luxury brands. They bought Bugatti, but the contemporary Bugatti producs have nothing to do with the Bugatti heritage. Audi bought Lamborghini and motorbike maker Ducati. Up to now there is no Audi influence on Ducati visible, but Audi and Laborghini share engines and other components. Laborghini realibility is said to be vastly improved since the time Audi took over the management. As a matter of fact it often turns out to be cheaper and more promising to buy a well known luxury brand with an existing pool of clients and an existing dealer network (Bentley, Lamborghini, Ducati) than to either buy a deceased brand like Maybach or Bugatti – or create a new one like Infiniti. Paul V Willson "IIRC, Maybach has been mothballed" This is not entirely true. Mercedes has stopped Maybach as an own brand with own showrooms and own sales persons. But they have announced a new stretched Mercedes S-Class Maybach. 33k Views · View UpvotesRelated QuestionsMore Answers BelowWhat is Lexus' relationship to Toyota?Why did Nissan nearly kill off the Infiniti?What's the difference between the Nissan Skyline and the Infiniti G35?Does Toyota own Lexus?Why do auto makers like Toyota, Nissan, Volkswagen, Honda, Ford name their cars something like Camry, Versa, Passat, Accord, Fusion; while lux… Kheng Wei Ang, I love Mercedes-Benz and have driven a few cars.Written 10w agoThey are luxury arms of mainstream brands.Lexus is the luxury arm of Toyota; Infiniti is the luxury arm of Nissan; Acura is the luxury arm of Honda. I would not say that Maybach is the luxury arm of Mercedes-Benz, since MB makes luxury cars that compete with Lexus and Infiniti.To understand why such a relationship exists:Brands like Toyota, Nissan, Honda, Volkswagen, Fiat make mainstream cars. Their marketing approach is to sell affordable, high volume cars that everyone can afford. Volkswagen is a slight odd ball in this group as they are priced just slightly above the others (in many markets that I know), but Volkswagen literally means « People’s Car » in German and are used in very high volumes in markets like China.However, these brands want to sell higher-priced cars for the « luxury » market as well. You would imagine– what’s wrong with Volkswagen just making a huge car, filled with all the « luxury » touches such as leather, air suspension for a comfortable ride, cruise control (back in the days few cars have them), and selling it at the price of a Mercedes S class? They actually did this, in 2002 with the Phaeton:It failed so miserably, with Volkswagen ending the Phaeton’s sales in the USA in 2006, just 4 years after its introduction. Turns out, rich people care a lot about BRAND IMAGE (I know, right?!). Very few people want to pay a high price for a mainstream badge. Would you pay $40k for a « bigger » Toyota Camry filled with soft-touch leather, softer ride and fancy wheels? Probably not. Would you pay $40k for a Lexus, with exactly the same features? That feels reasonable, maybe even cheap! The Lexus GS (base price $38k) shares the same platform as the Toyota Camry (base price $23k)!Car companies have long figured this out, and that’s why so many of them have a separate brand that sells to the higher-end market. The luxury arms often shares the same platforms and components as the mainstream cars. They just have better designs, more features, maybe better service/buying experience, and GREAT MARKETING!Mercedes-Benz and Maybach have a slightly different story. Mercedes-Benz is a luxury brand by itself, and Maybach belongs to « ultra luxury. » Ultra Luxury brands have very high price tags as you might’ve imagined, but that also causes them to be very low volume. Very low volume means very low sales and little revenue. With that, they would struggle to get the finances to develop the next car. This makes brands like Maybach and Rolls Royce hard to operate by itself.When Mercedes-Benz acquires Maybach (or in Rolls Royce’s case, BMW), it opens up financial freedom for them to develop the next generation cars, and sharing of many things like platform, technical expertise and components. In Maybach’s case, it was so hard to sell that Mercedes-Benz decided to scrap the Maybach brand and integrate it into their own cars. This is why you have an ultra-luxury version of the already-top-of-the-line Mercedes Benz S class, the Mercedes-Maybach S600:You can see the resemblance to a normal Mercedes Benz S class because they share so many things! To understand more about the sharing of components across car brands in a « family », watch this video of Brian Cooley talking about the Maserati Ghibli sharing the same infotainment console as the Dodge Dart. I know technically the Ghibli is not « ultra luxury » but you get my point.On a side note, the Volkswagen Group is a complicated matter. The Volkswagen Group is a parent company that consists of Volkswagen, Audi, Bentley, Lamborghini, Bugatti and others. Again, this allows the brands in the same family to share many things– platforms, components, expertise, even service centers, while spanning across every customer segment.Hope that clears it up for you!EDIT:Some of the mainstream-luxury combo can I can immediately recall are (I will add as I think of more):Japanese brands:Toyota– LexusNissan– InfinitiHonda– AcuraAmerican brands:Ford– Lincoln (Thanks Bosley Plourde)GM– Cadillac (Again, Thanks Bosley Plourde)German brands:Volkswagen– Audi/Porsche5.6k Views · View Upvotes Rick Mirsky, Car nut and travel snobWritten 75w agoThe answer is different depending upon the relationship, but consolidation or the brand splits off to focus their efforts on creating or growing a specific market segment.  Let's just look at your examples since a few other people extrapolated on some other automakers.For the Japanese imports, the relationship is one where the perceived luxury brand exists because the main brand doesn't have the perception of luxury to begin with.  Honda is a well established brand and one which is perceived as luxurious in Japan.  It wasn't until Honda starting selling their higher end cars in the US and Europe which became more of a challenge.  That is why they created the Acura brand to give the perception of a higher end brand.  Acura launched in 1988, and shortly thereafter Lexus (started by Toyota) and Infiniti (started by Nissan) followed suit in 1989.  Maybach has been around for as long as Mercedes-Benz for the most part, however Wilhelm Maybach along with the vehicle known as the Maybach had tougher past.  First they were affiliated with Daimler AG, then they weren't, then built engines for the Zeppelin during the first war, then launched their Maybach luxury limousine after signing the Versailles Treaty , then they opted to build tanks during the second world war.  Things were very quiet for Maybach over several decades after a tumultuous and checkered past.  It wasn't until the Tokyo auto show that Daimler AG relaunched the Maybach brand as a sub-brand of Mercedes-Benz.  Now Maybach is the luxury brand leader for an already high end luxury automaker.  There have also been some big time Acquisitions/Mergers over the years too:Studebaker & Packard – 1954Daimler-Chrysler – 1998Tata Motors – Jaguar and Land Rover 2004, 2007, 2008, etcPorsche & VW – Two German Makes Become One – 2004-2008Chrysler and Fiat – All We Can Say is Good Luck! – 2009Did you also know:BMW owns: Mini and Rolls Royce.Fiat owns: Alfa Romeo, Chrysler, Dodge, Ferrari, Jeep, Lancia, Maserati, Ram and SRT.Ford Motor Company owns: Lincoln and a small stake in Mazda.General Motors owns: Buick, Cadillac, Chevrolet, and GMC. *GM owns a controlling interest in Opel and Vauxhall in Europe and Holden in Australia. (The U.S. Treasury Department is in the process of selling off the remaining GM stock holdings.)Hyundai owns: Kia.Land Rover: owned by Tata MotorsMitsubishi is independently owned.Daimler AG owns: Mercedes-Benz and Smart.Jaguar: owned by Tata MotorsNissan owns: Infiniti. (Nissan, in turn, is owned by Renault.)Saab is owned by National Electric Vehicle Sweden (NEVS).Subaru: Owned by Fuji Heavy Industries with Toyota a minority partner.Tesla: Toyota is a minority partner. Partnership with Daimler AG.Toyota Motor Company owns: Lexus, Scion, Daihatsu and Hino Motors, with a stake in Fuji Industries (Subaru's parent company) and Isuzu.Volkswagen owns: Audi, Bentley, Bugatti, Lamborghini, Porsche, and overseas-brands SEAT and Skoda.Volvo is owned by Chinese-automaker Zhejiang Geely Holding Group, aka Geely.7.3k Views · View Upvotes Loring Chien, Knows how cars work in prinicipleWritten 1w agoThe second name of each pair is a subsidiary company owned by the first name but has their own design and marketing dept. All are aimed at the luxury or ultra luxury market. Often they will share some parts or engineering design factors.In the US we have similar relationships like Ford and Lincoln, GM and Cadillac etc.Another major one is Honda and Accura.208 Views · View Upvotes Reginald JonesWritten 1w agoThis is a common practice is the Automotive world.Toyota is the Parent company while Lexus is the luxury company. Same with Nissan and Infiniti.Now Mercedes and Maybach is slightly different.Maybach was started as an independent company and was acquired by Mercedes, and now they produce Ultra Luxurious Mercedes S-classes.Ford and Lincoln/Mercury is a similar relationship.Many companies have some sort of luxury brand to help expand their image. You´ll notice that these models are just literally a re branded car from the parent company with some sort of interior and engine Alterations2016 Nissan Skyline 350GTYou notice it says Infiniti on the front right?That´s because it´s sold as the Infiniti Q50 Sedan here.133 ViewsView More AnswersRelated QuestionsWhy don't Nissan/Infiniti cars hold value like Honda/Acura or Toyota/Lexus?What's the relationship between Mclaren and Mercedes-Benz?Is Lexus better than Toyota?How do the Lexus, Acura, and Infiniti compare to each other? 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Which car brand has the best automotive engineering and design?Related QuestionsWhat is Lexus' relationship to Toyota?Why did Nissan nearly kill off the Infiniti?What's the difference between the Nissan Skyline and the Infiniti G35?Does Toyota own Lexus?Why do auto makers like Toyota, Nissan, Volkswagen, Honda, Ford name their cars something like Camry, Versa, Passat, Accord, Fusion; while lux…Why don't Nissan/Infiniti cars hold value like Honda/Acura or Toyota/Lexus?What's the relationship between Mclaren and Mercedes-Benz?Is Lexus better than Toyota?How do the Lexus, Acura, and Infiniti compare to each other? Which is best?Why is it called a Mercedes-Benz?Top StoriesSitemap#ABCDEFGHIJKLMNOPQRSTUVWXYZAbout – Careers – Privacy – Terms – Contact What is the relationship between Toyota and Lexus, Nissan and …