GeoUSA

What are your thoughts?

I can think of four reasons against a premium/luxury Hyundai brand in
the near future.

Hyundai autos include more standard safety features than anyone else,
including the premium/luxury brands. Historically their cars have
provided numerous luxuries. They do not have an economy car image to
overcome (probable reasons for Acura, Lexus, and Infinity). Warranty
is already superior to the luxury brands and not just in America, but
throughout the world.

Wisely, Hyundai focused on reliability and has nearly overcome any bad
perceptions from the past. Hyundai and Kia already have two brands and
dealer networks without the cost and risk involved with creating
another brand. Slowly they are advancing distinct brand directions:
Kia in a sporty, youth-oriented, fun direction and Hyundai in a luxury,
conservative, safe one. Hyundai's worldwide R&D is filing a record
number of patents. I suggest they market technology as an additional
thrust for the Hyundai brand -- it's more exciting than conservative
and it fits well with the safety and luxury direction.

Hyundai has a knack for efficiency and already surpasses the other guys
on this mark. I really hate to see them lose that advantage with the
extra cost involved in launching a new brand (or like Toyota an
additional third youth brand).

Last, I fear a luxury brand will introduce an unavoidable negative side
effect: a change of attitude. Hyundai has fostered a care for the
customer and do what is right attitude from top to bottom. What I have
heard, read, and experienced personally leads me to believe this could
be altered in an environment with premium branding.