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Honda Hybrid - lessons to learn

Are there buyers waiting to buy things with a waitlist of 4-6 months in the current times?

Honda Hybrid's recent action and response both have left me with more questions than answers!

A 38% discount leads to a jump in sales by 100 times (30 cars in 4 months vs 100 in 4 days) and that too for a future delivery to be completed by March 31, 2009.

Takeouts -

- Honda has been able to liquidate all the stocks imported into the market
- will have these cars run on Indian roads and give complete inputs on the performance on an ongoing basis
- tested the price elasticity for the car
- a similar multipoint research would have costed at least 50 % of the cost incurred by this method (assuming hiring Booz or McKinsey or so)

But are consumers buying it because it is "cheap" or "value for money" or because there is a hefty discount and so a great short term bargain to flaunt!

Time will reveal what is the insight but I am keen to know. Comments welcome.

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