Mazda Motor Europe (MME) today announced that Mazda Motor Corporation has concluded an agreement to purchase the Mazda distribution business in France from Inchcape plc. With an initial capital of 2 million franc (30 million yen) Mazda will establish in February a new company in Paris named Mazda Automobiles France fully owned by Mazda Motor Corporation. The company will start operations from early April 2001.
In order to increase operational efficiency of this new distributor, Mazda is studying the possibility of sharing some operations with Ford to maximise synergy.
The decision to establish Mazda's own distributor in France is part of a series of management initiatives to strengthen European operations overall in order to increase market share.
Mazda took over distribution in Spain and Italy in 2000 and in Portugal in 1995. For many years it has successfully operated Mazda distribution in Germany, Europe's largest market. Towards the end of last year, Mazda established two new dealerships in Russia, one in Moscow and the other in Ekaterinberg, in addition to the existing dealership in St. Petersberg.
Jan Brentebraten, President of Mazda Motor Europe, said: "The development in France is in line with Mazda's strategy of taking control of distribution in those markets where direct manufacturer involvement is most appropriate to maximise growth opportunities.
"France, a large and important market, requires marketing investment that is more appropriate from a manufacturer than an independent distributor. It also allows us to increase cost-effectiveness and efficiency and to maximise synergies with other Mazda operations.
"As a result of Inchcape's expertise, Mazda already has an established reputation in France for delivering outstanding levels of satisfaction to our customers, consistent with our performance across Europe. Independent surveys consistently show Mazda as one of the top three brands for sales and service satisfaction in France. We will build on this established strength so our business will grow over time through a combination of investment in new products, marketing and our distribution network."
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