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Why BMWs are cheaper than Hyundais in Korea

Bloomberg reports shifting tariff regulations have upended the traditional automotive pecking order in Korea. Thanks to cheaper import taxes, foreign brands have seen market share jump from 28 percent to 41 percent over the last two years. BMW, Mercedes-Benz and Audi have all capitalized on the shift, with domestics like Hyundai and Kia suffering at the hands of their German rivals.
Taxes on European imports have fallen from 8 percent in 2011 to just 3.2 percent today. Over the next few years, tariffs will all but be eliminated for most imports, and taxes on US-made vehicles are expected to fall to just 4 percent in 2014. By 2016, that number will be zero. Needless to say, Hyundai and Kia are concerned about the shift.
Hyundai has seen profit fall by 15 percent last quarter, and the company says it is on pace to see the slowest sales growth since 2007. The company's shares have fallen by 12 percent. In order to stem the losses, Hyundai has discounted its midsize sedans and started working on diesel engine options.

Audi reveals virtual reality 'dealership in a briefcase'

Virtual reality still seems like technology that should be lumped in with the flying car and colonizing the moon as the sort of perennially "almost-here" Next Big Thing that never quite arrives. However, devices like gaming's Oculus Rift suggests that it's too soon to write off VR just yet, and Audi apparently agrees. The heart of its new VR Experience is a headset that customers wear that lets them see a virtual car before their eyes. Using the technology, the potential buyer can sit behind the wheel or open up the trunk. A camera tracks their head movements and adjusts the image on the goggles accordingly. To make the whole experience even more immersive, headphones let them hear the sound of the door or listen to the radio. The German automaker claims that the VR Experience technology will be available in "dynamic growth markets" by the end of 2015. The system will essentially offer the entire dealership experience in a device the size of a briefcase, and it'll be possible to view every possible equipment combination and color on all of the brand's models. The immersive hardware sounds amazing, if it's as good as the automaker claims. Among other things, VR will allow buyers to pick out just the right color and trim, even if the dealer doesn't have that specific combo in stock. Read below for Audi's announcement of this sci-fi gadget that the company claims is on the way. Audi VR experience: the dealership in a briefcase Innovative virtual reality headset extends advisory service at Audi dealers Sales chief Luca de Meo: "Further proof of Audi's pioneering role in sphere of digitization" First Audi dealerships to introduce new sales tool by end of 2015 Audi is taking the next big step in integrating digital technologies into automotive retail: The Audi VR experience gives customers the opportunity to configure their preferred car at the dealership through virtual reality headsets and experience it in a unprecedentedly realistic way. The headset showcases the entire model portfolio of the four rings, including all possible equipment combinations. Audi has become the first automotive manufacturer to develop a dedicated retail software solution for virtual reality headsets.

Audi on Demand pilot program launches in San Francisco

Customers eager to drive a new Audi but unwilling or unable to plunk down the purchase price for one will be intrigued by the launch of the new Audi on Demand program. Initially being rolled out in San Francisco, Audi on Demand is based around an iPhone app that allows clients to order up a new Audi of their choosing on a day-by-day basis for up to 28 days in a row. Order an Audi through the app and a "personal concierge" will deliver the car anywhere in the city – curbside, driveway, parking lot, office building... pretty much anywhere the customer chooses. The concierge will even help set up the audio and navigation systems to the customer's preferences. And if the customer isn't there to receive the vehicle in person, he or she can simply unlock it through the app, start it up and drive off. The service is being made available on a broad range of Audi models, from the A4 all the way up to the R8. Customers can even specify a child seat or (on an Allroad or Q5) a ski or bike rack, and are guaranteed that the vehicle they select will be the one they get, right down to the color and trim. Though being launched at first only in San Francisco, Audi says it will roll out the program in other American cities "in the coming years." In announcing the program, Audi also revealed that it's planning to launch Audi at Home as well, a "micro-sharing" service that will allow residents of select condo complexes to share a fleet of Audis as well. These, of course, are just the latest smartphone-enabled conveniences being introduced by the German automaker, following its collaboration with Amazon and DHL for in-trunk delivery. Related Video: Audi launches innovative mobility program: Audi on demand April 27, 2015 | SAN FRANCISCO, California - Audi on demand launches beta program in San Francisco - Innovative premium service allows customers to choose their preferred Audi model via iPhone app - Personal concierge delivers vehicle to a San Francisco location of customer's choosing Audi today introduced Audi on demand, an innovative mobility program that gives customers a new way to experience the Audi brand and its range of vehicles at the touch of a button. With Audi on demand, customers can reserve an Audi by the day for up to 28 days. The premium service is currently available in San Francisco as part of a beta program and will be rolled out across additional U.S. cities in the coming years.