Wolfgang Hatz is a member of Porsche AG Board of Management in charge of Research and Development, and is additionally Head of Engines and Transmissions Development for the Volkswagen Group. Hatz talked to Lou Ann Hammond, CEO, www.drivingthenation.com.

How much further can the gasoline engine go for fuel efficiency? Hatz talks about the hybrids that have come out and whether there will be a plug-in hybrid.

What is the most important research & development issue Porsche is working on right now?

How critical is California for Porsche?