Category: News Blog

By Edward Niedermeyer on November 22, 2009

By Edward Niedermeyer on November 22, 2009

Ford illustrates the ugly side of social media-based advertising: exploiting and promoting baseless prejudices by reprinting ignorant opinions. Like this misguided and misleading “thank you” posted at Thefordstory.com.

I am here today because 5 years ago, I was driving my 1993 Ford Ranger XL. Thats a midsize truck, but not midsize in saving my life. I have not ever written about this before, but I thought Ford (and all its engineers) would benefit in knowing that they have been instrumental in saving my life. The reason I can say this with certainty, is because of the nature of my car crash. I ask you, if you were broadsided at 60+ ( I was on a highway in Ca) and all that saved you was your vehicles chasis..if you were driving say, a Honda..would you be here reading this?? Maybe, but not likely. All that happened to me was, I had a heck of a bent truck frame (rear suspension) and a minor seat belt bruise! I almost tipped the truck over on its side, I was hit that hard..but luckily, she righted herself in time! (I know its silly, but you got to name your trucks) This was my first Ford, and god willing not my last. I may have lost traction, due to the road being wet..but I tell you I would not be soo lucky driving anything other than a Ford. Thank you for all your hard work and dedication. I just thought it would be nice to tell someone. Thanks..I could never be more grateful for your company, God bless you.

Your friend,

Rose

[Note: the Ranger pictured above is not the one from the wreck]

By Edward Niedermeyer on November 22, 2009

Giftig.

Despite already having some of the highest incentives in the game right now, Chrysler is joining GM in putting more cash on the hood to clear out year-end inventory. Automotive News [sub] reports that Chrysler will be adding $1,000 to $1,500 in incentives per vehicle, on top of October’s $3,219 per vehicle average (as calculated by Edmunds). According to the same Edmunds analysis, the average industry incentive is $2,468 per vehicle. This continued reliance on incentives contradicts a number of Sergio Marchionne’s statements at the presentation of Chrysler’s five year product and business plan, in which he argued that Chrysler could not rely on incentives to push volume. Marchionne claims to believe the incentive-based volume chasing is “insane,” but his commitment to a sustainable business plan is about to be tested. For Chrysler’s five year plan to succeed, its sales need to turn around fast, making 2009 the trough year indicated on this graph. But with no new product (and by new product, we mean refreshed product) due out until the fourth quarter of next year, such a turnaround seems impossible without huge incentives. And yet Chrysler also showed graphs projecting a direct relationship between volume and profit, meaning there is little to no wiggle room for profit-sapping incentives. Rock, hard place, I’d like you to meet Chrysler Group.

By Edward Niedermeyer on November 22, 2009

In need of a charge?

Reuters reports that Tesla is planning an Initial Public Offering, after postponing planned IPOs in 2008 and 2009. Tesla reportedly hopes to capitalize on the recent success of battery developer A123 Systems, on the assumption that the A123 IPO has raised interest in electric auto firms. According to one of Reuters’ sources, Tesla’s IPO filing could be made “within days.” And the Silicon Valley startup, which currently has only one product, the $100k+ Tesla Roadster, will most likely have to hurry. Both Nissan and General Motors plan to enter the electric car market this year, marking the initial entries by established auto OEMs into the American EV market. Both of their initial products, the estimated $30k Nissan Leaf and the estimated $40k Chevrolet Volt, will cost considerably less than Tesla’s estimated $50k Model S sedan and will beat it to market by at least a year. Acquiring funding after cheaper competing models go on sale could be extremely challenging for a boutique automaker like Tesla.

(Read More…)

By Cammy Corrigan on November 22, 2009

No regrets? (courtesy:theautochannel.com)
Ford were mighty relieved when it managed to off-load it’s British marques, Jaguar and Land Rover, to Tata. Now after 1 year and 9 months of ownership, causing the normally profitable Tata Motors to fall into a £41 million pound loss and falling sales, how do you think Tata are feeling about the purchase of JLR? Sad? Depressed? Suicidal? According to steelguru.com, Ratan Tata is surprisingly optimistic.

If we assume that the global meltdown is a phenomenon that will be over in the near term, I think we will look back and say that these are very strategic and worthwhile acquisitions. There were many questions raised regarding whether these two large acquisitions Corus and JLR are worthwhile and whether the prices were right in terms of being at the top of the market, virtually. My view on that is that if you want to buy a house and that house is of a particular value, then it may not be there if you wait

(Read More…)

By Bertel Schmitt on November 22, 2009

Fiat is facing a new distraction. While Sergio Marchionne has worldwide plans with zombie Chrysler, Fiat is facing an insurrection at home. Well, close to home. The German dealer council of Fiat has unanimously decided to sue Fiat Germany.

Two actions by Fiat raised the dealers’ ire:
(Read More…)

By Paul Niedermeyer on November 21, 2009

back to the future

Green Car Congress has digested the EPA’s Report on Vehicle Fuel Consumption and CO output for the period covering 1975 through 2008. For the fifth consecutive year, fuel economy of light-duty vehicles has improved. This trend reversed a long period of declining efficiency, which started in 1987, the all-time peak year for maximum economy (22 mpg average).  Model Year 2009 economy is estimated to be 21.1 mpg. The period from 1975 through 1981 saw the most rapid increase in efficiency, starting at 13.1 mpg. A  chart highlighting the changes in weight, horsepower, performance and economy follows: (Read More…)

By Sajeev Mehta on November 21, 2009

P1010053

By Paul Niedermeyer on November 21, 2009

I have a little more ground clearance

It’s time to get to know each other a little better. So which car best describes you? Pretend you’re on Dr. Freud’s couch and take your time, unless you’re impulsive of course. Me? I spent almost a half hour tossing this around while still in bed this morning, but here goes: a Mercedes 300 TD 4-Matic Wagon, late eighties vintage (W124): Germanic, pretty solid and trim for an oldster, a touch arrogant, thrifty but like not poky (turbo diesel), practical, versatile and everything still works! It’s a variation of one I had, and it did feel like an extension of my personality. Now I’m not sure this exact combination was ever made, but it’s good enough for this exercise. Since we’re throwing in a little wishful thinking, how about an adjustable suspension, since I spend a lot of time on hiking trails. For bonus points, name a new car if your first choice was an out-of production car; or conversely, a vintage car if your first pick was a new one. For me, that would be a VW Tiguan TDI.

By Bertel Schmitt on November 21, 2009

rollschina

“Rolls-Royce said Friday the market for its super-luxury cars was picking up dramatically across Asia as the effects of the global financial crisis recede,” says AFP.

“We’re fast coming out of the financial crisis and China and India look like they will lead the way out in 2010 on a feel-good factor,” quoth Rolls-Royce Asia-Pacific regional chief Colin Kelly.

Rolls-Royce expects sales in the alleged poorhouses of China and India to grow to three-quarters of its total business in the Asia-Pacific region.
(Read More…)

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