In 1976, Bob Hall, a journalist at Motor Trend magazine who was an expert in Japanese cars and fluent in the language, met Kenichi Yamamoto and Gai Arai, head of Research and Development at Mazda. Yamamoto and Gai Arai asked Hall what kind of car Mazda should make in the future:[7]
I babbled [...] how the [...] simple, bugs-in-the-teeth, wind-in-the-hair, classically-British sports car doesn't exist any more. I told Mr. Yamamoto that somebody should build one [...] inexpensive roadster.[8]
In 1981, Hall moved to a product planning position with Mazda USA and again met Yamamoto, now chairman of Mazda Motors, who remembered their conversation about a roadster and in 1982 gave Hall the go-ahead to research the idea further.[7] At this time Hall hired designer Mark Jordan to join the newly formed Mazda design studio in Southern California. There, Hall and Jordan collaborated on the parameters of the initial image, proportion and visualization of the "light-weight sports" concept. In 1983, the idea turned concept was approved under the "Offline 55" program, an internal Mazda initiative that sought to change the way new models were developed. Thus, under head of project Masakatsu, the concept development was turned into a competition between the Mazda design teams in Tokyo and California.[7]
The Californian team proposed a front-engine, rear-wheel-drive layout, codenamed Duo 101, in line with the British roadster ancestry, but their Japanese counterparts favored the more common front-engine, front-wheel-drive layout or the rear mid-engine, rear-wheel-drive layout[citation needed].
The first round of judging the competing designs was held in April 1984, with designs presented on paper only. The mid-engined car appeared to offer favorable qualities, although it was known at the time that such a layout would struggle to meet the noise, vibration, and harshness (NVH) requirements of the project. It was only at the second round of the competition in August 1984, when full-scale clay models were presented, that the Duo 101 won the competition and was selected as the basis for what would become the MX-5.