Peugeot Automobile Nigeria - Business Environment Analysis

Topics: Peugeot, Peugeot vehicles, Pininfarina Pages: 18 (5204 words) Published: April 25, 2009

In this report, I shall analyze Peugeot Automobile Nigeria. In this auto making industry, there has been more success recorded than failure as we will see ahead.

Peugeot is a major French car brand, part of PSA Peugeot Citroën. It is the second largest automaker in Europe, behind Volkswagen. Peugeot's roots go back to bicycle manufacturing at the end of the 19th century. Its headquarters are in Paris, Avenue de la Grande Armée, close to Porte Maillot and the Concorde Lafayette Hotel.

The original French pronunciation of "Peugeot" is pø:''o (using the IPA). In the South of England, it is usually pronounced "PERzho" (IPA 'pɜː'əʊ), while Americans and other English-speakers pronounce it "pooZHO" (IPA puː''oʊ).

Although the Peugeot factory had been in the manufacturing business since the 1700s, their entry into the world of wheeled vehicles was by means of crinoline dresses, which used steel rods, leading to umbrella frames, wire wheels, and ultimately bicycles.Armand Peugeot introduced the Peugeot "Le Grand Bi" penny-farthing in 1882 and a range of bicycles. Armand Peugeot became very interested in the automobile early on, and after meeting with Gottlieb Daimler and others was convinced of its viability. The first Peugeot automobile (a three-wheeled steam-powered car designed by Léon Serpollet) was produced in 1889; only four were made. In 1890, after meeting Gottlieb Daimler and Emile Levassor, steam was abandoned in favour of a four-wheeler, with a petrol-fuelled internal combustion engine.

Further cars followed, twenty-nine being built in 1892. Peugeot became the first manufacturer to fit rubber tires to a petrol-powered car that year (solid tires). Peugeot was also an early pioneer in motor racing, entering the 1894 Paris-Rouen Rally with five cars. The vehicles were still very much horseless carriages in appearance and were steered by tiller.

Further improvements followed: the engine moved to the front on the Type 48 and was soon under a hood (bonnet) at the front of the car, instead of hidden underneath; the steering wheel was adopted on the Type 36; and they began to look more like the modern car.

In 1896 Armand Peugeot broke away from Les Fils de Peugeot Frères to form his own company, Société Anonyme des Automobiles Peugeot, building a new factory at Audincourt to focus entirely on cars. In 1899, sales hit 300; all of France only saw 1200 cars sold.

Peugeot added a motorcycle to its range in 1903, and motorcycles have been built under the Peugeot name ever since. By 1903, Peugeot produced half of the cars built in France, and they offered the 5hp Bébé, a 6½hp (5kW) four-seater, and an 8hp (6kW) and 12hp (9kW) resembling contemporary Mercedes.

The 1907 Salon showed Peugeot's first six-cylinder, and showed Tony Huber joining as engine builder.By 1910, Peugeot's product line included a 1149cc (ci) two-cylinder and six four-cylinders, of between 2 litres and 6 liters. In addition, a new factory opened the same year at Sochaux, which became the main plant in 1928.

During the First World War, Peugeot turned largely to arms production, becoming a major manufacturer of arms and military vehicles, from bicycles to tanks and shells.

In 1946, the company restarted in the car business, with the 202, delivering 14,000 copies. In 1947, they introduced the Type 203, with coil springs, rack-and-pinion steering, and hydraulic brakes. The 203 set new Peugeot sales records, remaining in production until 1960.

Peugeot would take over Chenard-Walcker and buy a part of Hotchkiss in 1950, then introduce a popular model in 1955, the Type 403. With a 1.5 liter engine, it sold a million copies by end of production in 1962.

The company began selling cars in the United States in 1958, and in 1960, introduced the Type 404, which used a 1618cc (99ci) version of the 403 engine, tilted 45o, and proved rugged enough to compete in the East African...
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