Good read from Fiat's Marchionne from automotive News Europe.
http://www.autonews.com/apps/pbcs.dll/article?AID=/20081208/ANE03/812079963/-1
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Thanks for posting that. A refreshingly honest interview. I wish I didn't share his views, but I do.
M
M
I was watching a TV show the other day. Sorry cant remember the name of the show. But it was the guy in CT who owns F40 Motorsports car dealership. Well he was in CA and he was talking to a Ford Design Eng who was driving a old Porsch( That fits doesnt it designs Fords and drives a Porsch) But he was talking that the car world would be going back to a very simplistic automoblie.
This Fits Marchionne ideas to a "T". A no frills Wal-Mart car.
Jeff
This Fits Marchionne ideas to a "T". A no frills Wal-Mart car.
Jeff
I am glad the party is over for car-makers. My apologies for everyone that loses its job through it.
I have been watching for 5 years from close by the disappearing act of Opel in Belgium.
They make cars that bring you from A to B. They look bland or just another me2 product. But still they want 20K for it (I am sure that that price is justified) But I ask you what do you expect if you have ten other alternatives for the same price all within 1 km of each other. There is an ugly street about 10 minutes from where I live that has Ford, GM, FIAT, Alfa, Renault, Suzuki, Honda, VW, Peugeot, Mitsubishi and I probably forget one. In 4 houres I can have 10 test drives and 10 quotes for cars that are different but look the same. What do you think I would chose knowing that within 2 years the value of that new car will be reduced to 40% of its today value?
My company is in the same predicament (Outsourcing) since 2 years. The only difference is that we are only competing for the same clients with three to four players (coming form about 13) and we need to hold off the Indians which we do with innovation and knowledge of Europe.
I bought a new car last year and after a long search I found only 2 that ticked all the boxes, but that is because I care about cars, I would not have bought a Pantera otherwise as well. I think i paid a premium on that car. 5 years ago I bought a family car (slight depression on my side). Guess what I bought. Exactly the cheapest best equipped POS I could find. "Excuse me someone hit your car, I have part of the license plate, do you need it? No that is quite alright it is not worth the wait at the Police station".
I am convinced that we will end up with a small number of mass car maker for people who do not care and that we will see specialized car makers with low production pop-up using R&D and pieces from the mass makers. look at Lotus. I had a freaking ROVER engine before Rover went belly up. Today it runs on TOYOTA power. I would not even come close to a TOYO but a Lotus Europa, well...
Rant over. The Italian is right (must be a first).
Michel
I have been watching for 5 years from close by the disappearing act of Opel in Belgium.
They make cars that bring you from A to B. They look bland or just another me2 product. But still they want 20K for it (I am sure that that price is justified) But I ask you what do you expect if you have ten other alternatives for the same price all within 1 km of each other. There is an ugly street about 10 minutes from where I live that has Ford, GM, FIAT, Alfa, Renault, Suzuki, Honda, VW, Peugeot, Mitsubishi and I probably forget one. In 4 houres I can have 10 test drives and 10 quotes for cars that are different but look the same. What do you think I would chose knowing that within 2 years the value of that new car will be reduced to 40% of its today value?
My company is in the same predicament (Outsourcing) since 2 years. The only difference is that we are only competing for the same clients with three to four players (coming form about 13) and we need to hold off the Indians which we do with innovation and knowledge of Europe.
I bought a new car last year and after a long search I found only 2 that ticked all the boxes, but that is because I care about cars, I would not have bought a Pantera otherwise as well. I think i paid a premium on that car. 5 years ago I bought a family car (slight depression on my side). Guess what I bought. Exactly the cheapest best equipped POS I could find. "Excuse me someone hit your car, I have part of the license plate, do you need it? No that is quite alright it is not worth the wait at the Police station".
I am convinced that we will end up with a small number of mass car maker for people who do not care and that we will see specialized car makers with low production pop-up using R&D and pieces from the mass makers. look at Lotus. I had a freaking ROVER engine before Rover went belly up. Today it runs on TOYOTA power. I would not even come close to a TOYO but a Lotus Europa, well...
Rant over. The Italian is right (must be a first).
Michel
Regardless of the change - or lack of it - forthcoming in the auto world, we PIBB dudes will always be pampered.
We march to own drummer, appreciate style, like to go fast, make noise - and we're ready to pay for our pleasures.
We will always be a prime market for auto and aftermarket manufacturers as we've been and will continue to be the segment that generates their profit.
We march to own drummer, appreciate style, like to go fast, make noise - and we're ready to pay for our pleasures.
We will always be a prime market for auto and aftermarket manufacturers as we've been and will continue to be the segment that generates their profit.