Interesting article
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From: Hertford
Interesting article
Der Spiegel via Bizweek
Interesting because it points out some of the weaknesses of the model that have concerned me over recent years.
Interesting because there is some realisation as to the severity.
Interesting because Der Spiegel famously published a similar report (but with a definite smear angle engineered in by the editor!) against Borgward in 1960, which was nationalised and buggered-up the following year!
Hopefully this time the politiciunts will butt out!
Interesting because it points out some of the weaknesses of the model that have concerned me over recent years.
Interesting because there is some realisation as to the severity.
Interesting because Der Spiegel famously published a similar report (but with a definite smear angle engineered in by the editor!) against Borgward in 1960, which was nationalised and buggered-up the following year!
Hopefully this time the politiciunts will butt out!
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From: Bournemouth
This is going to be a rough one which just sees the rich getting richer, the poor will not change as benefits will continue to roll in, so majorly hit will be the low and middle end workers. The ones that are already struggling to keep this country afloat.
Job creation strategies are needed, encouragement to get people spending.
Too much emphasis is on the interest rate which even the BoE have said will not get this country out of the global recession.
Encourage people to get rid of their old cars, I know there was a plan to give
Job creation strategies are needed, encouragement to get people spending.
Too much emphasis is on the interest rate which even the BoE have said will not get this country out of the global recession.
Encourage people to get rid of their old cars, I know there was a plan to give
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From: Nottingham
I sympathise a little with the current automotive crisis, but I can't help but think that they have brought this on themselves?
It's not just the German manufacturers, but in the battle for market share both BMW and Audi have artificially created a market that does not exist.
They have both been over producing to the tune of around 25%, which, even in good times was unsustainable. The situation is now being exagerated by the current downturn in new car sales figures (12% in 08).
The current situation is a necessary evil, so that the manufacturers can re-establish a realistic production level which will unfortunately lead to massive global redundancies
It's not just the German manufacturers, but in the battle for market share both BMW and Audi have artificially created a market that does not exist.
They have both been over producing to the tune of around 25%, which, even in good times was unsustainable. The situation is now being exagerated by the current downturn in new car sales figures (12% in 08).
The current situation is a necessary evil, so that the manufacturers can re-establish a realistic production level which will unfortunately lead to massive global redundancies
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From: omnipresent
Originally Posted by moff' date='Jan 19 2009, 02:14 PM
It's not just the German manufacturers, but in the battle for market share both BMW and Audi have artificially created a market that does not exist.
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From: Hertford
The trouble is Simon, the gov't has spent the last 10 years creating non-jobs in their own departments, so (unlike the Germans!) there is no money to do those civil-engineering "Keynesian" jobs that would generally improve efficiency for the future.
They've added friction, not lubrication, to the economy and have been as bad as the banks and everyone else at blowing illusory credit.
We're gonna have to dig ourselves out of this one, which probably means a decade of extreme Thatcherism all over again.
As for the German Autoindustrie, they're probably gonna have to take a close look at Honda and cancel a lot of their more extravagant plans...
They've added friction, not lubrication, to the economy and have been as bad as the banks and everyone else at blowing illusory credit.
We're gonna have to dig ourselves out of this one, which probably means a decade of extreme Thatcherism all over again.
As for the German Autoindustrie, they're probably gonna have to take a close look at Honda and cancel a lot of their more extravagant plans...
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How many competing model lines do VAG need to have?
Does the world need the X6?
Moff is right, for the last 10 years the German manufacturers have ridden high on their 'premium' reputation and created niches and sub-niches which sold because of cheap financing (PCP deals and the like). The customer is asked how much they want to pay a month then the figures massaged to make the car, which under normal circumstances would be considered out of reach or more significantly overpriced, seem affordable. People's desire to be seen to be driving the latest fashionable blandmobile from Germany (one up on the neighbours with their better built, nicer driving, more reliable Japanese car wearing the 'wrong' badge) only extends as far as credit availability and the willingness to spend in uncertain economic times.
Does the world need the X6?
Moff is right, for the last 10 years the German manufacturers have ridden high on their 'premium' reputation and created niches and sub-niches which sold because of cheap financing (PCP deals and the like). The customer is asked how much they want to pay a month then the figures massaged to make the car, which under normal circumstances would be considered out of reach or more significantly overpriced, seem affordable. People's desire to be seen to be driving the latest fashionable blandmobile from Germany (one up on the neighbours with their better built, nicer driving, more reliable Japanese car wearing the 'wrong' badge) only extends as far as credit availability and the willingness to spend in uncertain economic times.
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From: Leeds
[quote name='MarkB' date='Jan 19 2009, 04:45 PM']How many competing model lines do VAG need to have?
Does the world need the X6?
Moff is right, for the last 10 years the German manufacturers have ridden high on their 'premium' reputation and created niches and sub-niches which sold because of cheap financing (PCP deals and the like).
Does the world need the X6?
Moff is right, for the last 10 years the German manufacturers have ridden high on their 'premium' reputation and created niches and sub-niches which sold because of cheap financing (PCP deals and the like).
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From: Hertford
The old cliche about the plastic feel! The rest of the car may be inferior, but just feel the warmth of the badge cover...
No, the leasing plan is part of the USP and the look and the feel of the thing IS more important than the dynamics/ergonomics, to most buyers. Otherwise the only BMWs sold would be the Zs and not the poverty four bangers...
There is also safety in establishment, which is why the jp. premium brands are falling faster than the germans'.
Whether there is better VFM elsewhere is noted by the punters will be a function of the collapsing residuals and the costly leases that will ensue...
It's more the industrial model that's worrying. The German premium brands have held up sales remarkably well, but the plethora of pointless models mean a very high breakeven point. Less so witn Audi, which is the only way their ridiculous product onslaught can make any sense at all.
No, the leasing plan is part of the USP and the look and the feel of the thing IS more important than the dynamics/ergonomics, to most buyers. Otherwise the only BMWs sold would be the Zs and not the poverty four bangers...
There is also safety in establishment, which is why the jp. premium brands are falling faster than the germans'.
Whether there is better VFM elsewhere is noted by the punters will be a function of the collapsing residuals and the costly leases that will ensue...
It's more the industrial model that's worrying. The German premium brands have held up sales remarkably well, but the plethora of pointless models mean a very high breakeven point. Less so witn Audi, which is the only way their ridiculous product onslaught can make any sense at all.