Domestics vs. Imports: What Would It Take?
Here's some depressing news:
As sales continue to tank for the domestic automakers, production follows right along with the trend. So far this year, plant downtime is running nearly double what it was in 2004, with predictable impact on the bottom line of the Big 3. It’s a heck of a situation to be in, as the workers get paid whether or not they’re building cars, so it comes down to simply writing off the lost productivity, or building cars that will collect and need to be sold off as leftovers in whatever next summer’s big sales event happens to be. “New products” coming next year are said to be the hope for reversing the trend. Now, I don’t want to get too snarky, but, uh, haven’t we been pinning our hopes on the upcoming “new product” for about four years now?
I actually don't share the author's cynicism about GM/Ford/Chrysler's "new products." I find many of the new domestic cars to be very appealing, and it looks like the domestics may have turned a corner on the "new product" front. The question is: why aren't people buying them?
Consider the following choices:
1. Fusion vs. Accord or Camry
2. Solstice vs. Miata
3. Cobalt SS vs. Civic Si
4. 300C/Charger vs. Maxima/Avalon
5. Cadillac STS vs. Merc E-Class
In each of these cases, I would be heavily tempted by the domestic offerings because, for the first time in my lifetime, they appear fairly evenly matched with the imports.
A look at "future product" indicates even more goods news:
1. Dodge Caliber small car
2. European Focus (think Mazda3)
3. Saturn Aura
4. Saturn Sky
5. Mustang Shelby GT 500
And so on. These are inherently appealing products, even without deep discounts. So why aren't buyers interested? Is it a perceived quality gap? Resale issues? A "fool me once" mentality?
Believe me: I'm not an domestic car booster. I've owned imports all my life, and both cars in our garage were actually BUILT in Japan. But I could certainly see my NEXT car being a domestic. What about you? And if not, why not? ::StirTheP
S.