Infiniti, Lexus and Audi are separate brands that need the models listed for their lineups. They also need all the volume they can get. And the models you list are priced to return a higher profit than the Genesis. A better comparison might be Toyota's Avalon. They expect to sell 40,000 units of the 2011 model. But even after six years, they oped for a refresh instead of a redesign and there are rumors that the Avalon will eventually be replaced with a stretched Camry. If the Avalon could not break 15 - 20k units per year, how long would it be around?
While the large, FWD sedan segment has shrunk over the years, sales of the Taurus and Maxima are relatively healthy and have taken significant market share away from the Avalon.
Also, you contradict yourself here - you speak of
Infiniti, Lexus, etc. needing all the volume that they can get, but sales of their E segment sedans seem hardly worth the trouble of developing a next gen model.
Plus, I'm also speaking from the viewpoint that Hyundai is planning to spin of their Genesis based models into a separate brand.
Btw, the LS400 (the flagship of the Lexus fleet) sold for the 1st couple of years at around $35K - which was closer to the price of a loaded C Class than a loaded E Class (much less the S Class).
Hyundai is making a healthy profit from Genesis sales in the US (well, the sedan, at least); despite the higher MSRP for the new
Infiniti M,
Infiniti is already having to discount the M heavily.
I think that Hyundai has too much invested in the Genesis to think about pulling the plug anytime soon. But I also think the next gen Genesis will be crucial to its success in North America. Will it compete more directly with the luxury brands or will it move downmarket (Azera will be gone by then) or stay where it is? And will it develop its own design language? Keeping a model in the lineup and giving it the proper care and feeding to succeed are two different things. I'm hoping the next generation will have a 5L V8, air suspension option, proper passenger seat controls, an upgraded interior and a less derivative exterior even though it would cost more.
Hardly.
The Genesis will continue to be the core for Hyundai's luxury offerings since the Genesis platform will continue to serve as the basis for not only the Genesis sedan and coupe (which will be going upscale), but for the Equus, a smaller RWD sedan and likely a CUV as well (not to mention Kia's RWD offering, the K9).
As for the Azera (the Avalon, Taurus, etc. competitor), it's not going anywhere since the next-gen Azera will hit the dealers sometime in 2011 or 2012 (w/ its Kia sibling, the K7, to hit dealers a bit earlier).