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The main objective of this work is to reflect on the relative position of Japanese car manufacturers in Europe and North America, with a major focus on the United States. Furthermore, this work looks at the reasons for the sales differences between Japanese car manufacturers in North America and Europe. Is it fair to say that they are unsuccessful in Europe or that the European market is tougher than the North American? Is this the reason why their sales are lower in the European market? What are the differences between their strategies for their premium brands and market shares in North America and Europe? The subject matter of this work throws up certain challenges. Some information has not yet been published, as it is still confidential to only the company executives. Furthermore, obtaining certain data is just not possible such as; the sales numbers of a brand s model with a specific engine type, or customer and quality ratings of a brand or a model. In order to overcome thisproblem, the sales and production figures of Japanese carmakers in Europe, between 1994 and 2006, are thoroughly investigated; these numbers are derived from Automotive News Europe.