| Volkswagen AG and PSA Peugeot Citroen, two of | | | | Jean-Martin Folz. |
| the largest automakers in Europe, named new | | | | |
| chief executives to lead them fight the | | | | The selection and succession of the new |
| automakers combat. Critics in the industry | | | | chiefs is anchored on the auto industry's |
| are saying that an ideal leader can help the | | | | tight competition. The Big 3 automakers of |
| automakers find ways to patch things up and | | | | Japan namely Toyota, Honda and Nissan, are |
| eventually take over the scene. | | | | launching new diesel vehicles to amass a |
| | | | bigger slice of the automotive market. As a |
| Toyota Motor Corp. and Honda Motor Corp. are | | | | fact, diesel models account for 50 percent of |
| considered threats in the industry. They | | | | the car sales in Europe. |
| surge and conquer a healthy slice of | | | | |
| automotive market. The share gets bigger and | | | | Toyota, as what the auto reports are saying, |
| better moreover; it is high time for other | | | | is enjoying a prominent standing in the |
| automakers to aim high and make their plan a | | | | industry. On the other hand, auto parts Honda |
| reality. | | | | as well as parts for Nissan need considerable |
| | | | modifications to achieve what Toyota is |
| Volkswagen named Martin Winterkorn, formerly | | | | enjoying these days. |
| the head of the Audi luxury car unit, as the | | | | |
| new head of VW's most profitable division. | | | | VW and Peugeot are cutting a total of 30,000 |
| Winterkorn is set to replace Bernd | | | | jobs to limit production expenses and drop |
| Pischetsrieder, who will be stepping down on | | | | excess capacity. Critics added that this |
| Dec. 31. | | | | crucial phase in the life of the mentioned |
| | | | automakers must not compromise the quality of |
| "When Pischetsrieder's contract came up for | | | | their products. Car parts for Volkswagen and |
| renewal in May, there was a feeling that | | | | Peugeot are undergoing rigorous test and |
| there were a lot of camps, including the | | | | enhancements to bring about state-of-the-art |
| works council backed by Piech, that were | | | | vehicles. |
| trying to undermine him," said Mark | | | | |
| Fulthorpe, an analyst at CSM Worldwide in | | | | "The auto world is highly unstable right |
| Byfleet, England. | | | | now,'' said David Cole, chairman of the |
| | | | Center for Automotive Research in Ann Arbor, |
| Consequently, Peugeot named Christian | | | | Michigan. "It's changing its basic business |
| Streiff, previously the head of Airbus SAS, | | | | model, so naturally you would expect to see |
| to succeed the about to retire head, | | | | changes in the head offices as well. |