Chrysler's Minivans Going Cheap
The Boston Globe says Chrysler’s 2008 minivans are set to arrive at dealer showrooms with more features– extra air bags, electronic stability control, seats that swivel six ways to Sunday– and sticker prices averaging $2k below ‘07 models. The official party line: the price reductions will improve residuals and lower incentives (current average: $4,400 per vehicle). Yes BUT—Chrysler’s current family taxis are already sold at bargain prices. Base vs. base, the Caravan’s less expensive than a Toyota Sienna (-$4,400), Honda Odyssey (-$5,900) and Hyundai Entourage (-$4100). How can everyone else sell their minivans for thousands more than the company that invented it? The answer has very little to do with the price, indicating that Chrysler's financial salvation does not lie in offering bigger discounts– or more spin.