Announced on Monday 27 July 2020, Mitsubishi Motors Corporation (MMC) aims to concentrate its management resources on technologies and core regions of which Africa feature as one. The plan which is called ‘Small but Beautiful’ will focus on cost rationalisation and profitability enhancement with the implementation of a good management foundation to see sustainable growth from fiscal 2020 to 2022.
The ‘Small but Beautiful’ plan aims to reduce fixed costs by optimizing production capacities as well as improved product/technology strategies and is based on structural reforms. “We will shift our strategy from all-round expansion to selection and concentration. First of all, we will complete our structural reform and further strengthen our competitive areas, ultimately to build a corporate structure that can surely generate profits during this mid-term period,” Takao Kato, representative executive officer and chief executive officer, Mitsubishi Motors Corporation.
The plan that was announced in Japan will focus its attention to developing markets and assist in developing businesses in Africa, Oceania and South America after the company has improved ASEAN management resources, as well as strengthening its eco-friendly new model offerings by 2022.
“Market conditions are tough for everyone, but Mitsubishi Motors South Africa (MMSA) has a strong foothold with a strong following. On local soil, we are running a successful zero deposit campaign on various models, which are extremely popular, and we will continue with offers that are attractive to customers during these conditions,” Nic Campbell, General Manager, Mitsubishi Motors SA.
Although Mitsubishi Motors Corporation has confirmed that production of the popular Pajero SUV will halt in 2021, the order book will remain open locally until that time. Mitsubishi Motors South Africa recently revealed new models planned for the local market over the next two years with the Xpander and the Mirage already confirmed but more models could also be added to the list and will be confirmed soon.
