#CammyCorrigan

People have different ideas on what constitutes a good car. Some people think driving dynamics are the key, which explains the sales of cars like BMW and Ford. Others look to reliability, which accounts for cars like Toyota and Honda. Then you have the skinflints who consider value their key factor, Hyundais and Kias. While each car brand stands for something, there are many people who want a mixture of many factors. After all, a car is a major purchase and you’d want it to perform well over many areas and not just excel in just one. You car is your transport, it keeps your children safe, keeps you entertained in traffic and keeps the rain off your head. And all it asks for is a tank of petrol and regular servicing. So maybe there’s more to buying a car than just branding? So here’s the question of the day: Which one does it all?

The BBC reports that new car registrations in the UK have inexplicably risen 10.8 percent in June 2010 compared with this time, last year. What makes this “inexplicable” is the fact that sales have risen, despite the fact that the “cash for clunkers” scheme had ended on March the 31st, 2010. “The new car market continued to perform above expectations in June,” said the Society of Motor Manufacturers and Traders (SMMT) chief executive Paul Everitt said, “The results indicate improved business confidence and a strengthening economic recovery.” However, a quick look at the SMMT report reveals a potential answer. The article shows that fleet sales grew 25.3 percent. Those pesky fleet sales! Let’s take a quick look at some of the brands and their performance, shall we…?

Toyota’s having some pretty rotten luck recently. First was “acceler-gate”, the mass hysteria of how Toyota cars were going out of control and murdering innocent people. Then came stories of people blaming Toyota cars for accidents, when in reality it was the driver’s fault (or in the case of Jim Sikes, a scam). You would have thought this would pour oil over troubled waters for Toyota, right? Nope. The malaise continued. Then came the public humiliation of the senate hearings. Did anybody in the media point out the conflict of interest for the senate? Well, if they did, nobody listened. So, while Toyota is fire fighting in North America and is having a bit of a rough time in Europe, at least things are OK in Australia. A market where Toyota dominated for 5 years. Well…

Suzuki, Hyundai and Tata are the King Dongs (that WASN’T a spelling mistake, BTW) of India. Suzuki controls over half of the Indian car market. Hyundai and Tata have major chunks, too. Whatever is left is divided up amongst the smaller parties. But why have Indians put their rupees in the hands of Suzuki, Hyundai and Tata? National pride? Hardly. Suzuki and Hyundai come from a little further east. Nope. The reason is because they all excel in one thing. Small, cheap cars. The majority of Indians are relatively poor and don’t have much money to spend, so when they make a purchase as big as a car, it HAS to provide value (Indians LOVE a bargain as the video shows). If further proof were needed that India loves small, cheap cars, then this next story should put it beyond reasonable doubt.

Auto Express reports that GM is going to sell the Chevy Chevrolet Camaro in the United Kingdom by May 2011, with a convertible version later that year. It will only be available in the top level Gestapo SS trim, and will have the 6.2 litre, 426bhp V8 engine. Unfortunately, GM couldn’t be bothered to respect local driving customs and will sell the car in left-hand drive only. That’s right. Pricing is yet to be confirmed as exchange rates are sensitive at the moment, but GM is aiming to keep the pricing in line (I thought it was a V8?) with the Nissan 370Z, which starts at £28,345. Now while there are many American-philes (probably located in the North of England) who are doing a “dosey-doe” around their living rooms at this news, there are a few of problems (and here comes the pessimistic part).

Sergio Marchionne’s turnaround of Fiat was a weird one. He turned around a company, which most people thought had died already. Sergio’s turnaround was helped by GM’s unwitting “ re-capitalization” of Fiat, too. Recently, worker relations in Italy have been strained, to say the least. If you thought the situation with the UAW in the United States was bad enough, in Italy, things are spicier than Mamma’s Arrabbiata sauce. The Financial Times UK reports that Sergio Marchionne has finally lost patience with unionized Italian workers and has threatened them to change their mindsets or else be out of a job. The end of September is their deadline. Mr Marchionne wants Italy to help drag Fiat (and Chrysler) into one of the top five car companies in the world. But to do that, he needs concessions from his Italian workers. Big ones.

Pre-recall, Toyota was the company to emulate. It was very profitable, its business and production model was the envy of the world ( with Lexus-owning Alan Mulally praising it) and it had an iron grip on quality and reliability (even though Honda could have had that title). Then came “acceler-gate”. Customers were petrified their Toyotas would creep out of their garages and run them down in the middle of the night. The government held numerous show trials senate hearings to give the illusion that it was protecting the American people from the nasty foreigners. Only an outcast few questioned the fact that the hearings were conducted by an entity which held significant stakes in two of Toyota’s competitors. If you think about it, is like going to trial on a murder charge and the judge and jury are made up of members of the victim’s family. Yes, it looked like Toyota was down and out. Then, something amazing happened. The ABC News’ “ story” on Toyota acceleration was found to be a fake. Customers’ accounts of Toyotas going wild were exposed as lies and some countries stuck by Toyota. So after this roller-coaster ride, was else could happen? Well…

I don’t know whether you know, but the UK government has a deficit of £155b which needs to be slashed. On June the 22nd, Chancellor George Osbourne laid out his plans on how to eliminate that ugly budget gap. VAT would be increased to 20 percent from 17.5 percent, civil servants would have their wages frozen and benefits would be slashed. Yep, life is going to be pretty grim in the UK for the next five years. Unless you’re a multi-national company with an electric car up your sleeve.

As much as it pains me to admit it, Ford is a company to be admired. When bailouts were handed around like doobies in the Summer of Love, they didn’t partake (argue that point amongst yourselves, but you know what I mean). Their cars are interesting (to say the least) and their reliability is now being thought of in the same vein as Toyota, Honda and Hyundai. All of this is down to one man, Mr Alan “I bet you wish to made me CEO now! Eh, Boeing?!” Mulally. He put forward a vision of Ford divisions and subsidiaries working together to create a global product. He pared down the extraneous brands. He put the axe to Mercury and he didn’t need a bankruptcy to do it. In short, Mr Mulally has done well at Ford. The question is how well?

While GM has problems trying to get the Volt price point to a point where customers won’t suffer a coronary (even with help from the DC sugar daddies), Nissan has a few problems of their own. Nissan is still reeling from the news that a Nissan Leaf would save you the princely sum of $361. Now, Automotive News [sub] reports another black eye on Nissan’s “Prius Killer”. Automotive News says that Nissan’s “100 miles range” may be slightly off in real world conditions. How far off?

Ron Gettelfinger retired and Bob King took his place as President of the UAW. Mr King has some pretty big shoes to fill, but the name is a good start. After all, Mr Gettelfinger helped persuade President Obama to bail our GM and Chrysler (can’t say I blame him, quid pro quo, and all that). So what can Mr King do to really show the rank and file that he means business? Better working conditions? Input into designing cars? More job security? Nope. His next step is to make sure that Detroit and the transplants are evenly matched, so to speak.

I’ve declared many times on TTAC that I’m a bit of what you folks across the pond would call a liberal. I believe people should have a baseline in terms of living standards, but people should still work for the better things in life. The state should be there to help people, not sustain them. My point is that when an entity gets too much power (or THINKS it has) then the balance of power is shifted and seldom ever for the better. Everything is good is moderation. I feel the same way about Unions. Contrary to popular belief, I’m not anti-union. Unions have done a lot of good for the common working person. They fought for better working environments, better pay, better job security, etc. It is impossible to deny the good they’ve done. But like Harvey Dent said in “The Dark Knight”, “You can either die a hero or live long enough to become a villain”. And unfortunately, this article doesn’t exactly show unions in a good light.

Salutations, my good friends of the United States of America!

I am Mrs. Cammu Cori-Ganacha, the third wife of the former Nigeria head of State who died on the 8th of June, 1998. Under the strictest of confidence, I bring sad news that Automotive World are reporting that our good friends of Stuttgart, Daimler AG, are under investigation from the oppressive regime that is Nigeria’s Economic and Financial Crimes Commission for alleged bribes of 15 million of your U.S dollars. The alleged crimes of this upstanding and fine German company go back the 1970’s when they set up a joint with a local vehicle assembler called Anammco.

Designing a product for local tastes is a tricky affair. Just getting the name right is a hassle. Everyone remember the Toyota MR2? Not the French. They remember the Toyota MR. Why? Because “MR2” in French would have sounded like “Em-Ar-Deux” (“Deux” being French for “two”). And “Em-Ar-Deux” sounded very close to “merde” which is French for…..let’s not go into that. So, if getting the name right is a chore, you must do your car research with care if you want to pander to local needs. I mean, get that wrong and you could end up in deep Em-Ar-Deux. But Volkswagen reckons they’ve found what the Russians want …

Many people (especially on this site) worry that Toyota might become the new old GM. I beg to differ. Toyota is a well run company, it turns a profit and builds good cars (not great, but good ones). When GM was swirling around the porcelain throne, people were desperately seeking ideas to recall lost customers back to GM. One thought was the “5 year, bumper-to-bumper warranty.”

The logic was watertight. Stop saying that your cars are as good as the competition (I’m looking at you, Mr Lutz) and put your money where your mouth is. Why should a customer commit tens of thousands to a car, if you can’t commit to a measly 5 years? But GM never did it. We had a powertrain warranty, but not a bumper-to-bumper one. Now compare this to Hyundai, who where, and let’s not mince words here, a joke in the car world. A commitment to quality and a 5 year bumper-to-bumper warranty (in the UK) later and Hyundai is up there with the best of them. So, if it’s good enough for Hyundai….