whats funny about people is they'll bend over backwards to buy a car that gets great gas mileage, but in turn spend extra money in doing so. My brother did a spread sheet on this once, when our mother was thinking of buying a new car (with a warranty, better gas mileage, etc)..and he figured that the amount of money she'd pay for the brand new car vs what she owed on her car (nothing) would mean she'd have to drive the new car for something like 250K miles to break even. The extra money you spend on a Prius, Leaf, Volt, can buy a LOT of gas, if you just buy wisely, and get a used car that gets good mileage.
The ROI (Return on Investment for the non-business folks) period for the Volt never made sense for anyone serious about saving money on fuel. It's market became rich people who wanted to seem environmentally conscious. Basically, the BMW/Mercedes Benz of the green vehicles. The Prius makes a lot more sense, and if it was bigger, I'd be buying one for my wife this summer.
Pretty much. I think, given the RIGHT market and the RIGHT pricing range, the Volt would've been a great car to sell. But it was too expensive (right now) and probabl came out a little too soon. It's not an indictment on the "bailout", but it speaks of GM's issues that caused the bailout.
They should have only made a few hundred of them. Kind of like what they did with the EV1, build a demand, make it cult-like. the general public doesn't want it now.
I think Toyota makes a bigger Prius model as well as a smaller one. In addition to the 4 door hatchback. Anyhow, the difference between a $25,000 Prius and a $15,000 Corolla is 2,000 gallons of gas at $5. You have to figure in the miles/gallon difference of maybe 10, and you might go a decade with that Corolla before spending $25,000 plus 10 years of gas for the Prius.
The question isn't the actual ROI, but how much money will we spend to be snooty green Yuppies instead of just driving a random Toyota that makes more sense if saving money is the primary goal.
At this point, I think my idea of cutting the price by 50% for the next 9 months will create a demand. Ultimately, if people like the vehicle, or hear their friends who own one talking about how much they love it, you can create at least a market for it. The marketing behind the Volt has been a clusterfuck since Day One, but then again, when you have politicos and political donors/dependents running GM, you're not giving your company its best chance to succeed. How in the world did Obama/GM think that people were going to flock to a $40k vehicle, especially in this economy? Reminds of when Obama, being completely serious, told the guy with 10 kids that he should just buy a 'hybrid van'. Nevermind there isn't a large hybrid van that is available. Talk about out of touch: [video=youtube;7Nung1MWBqU]http://www.youtube.com/watch?v=7Nung1MWBqU[/video]
they'll lose hundreds of millions. you're talking about a $18k subsidy per car sold and there is ZERO insurance that electric/hybrid cars will EVER catch on. American car engineering blows, it would work if it were Honda or Toyota, but Chevy? no.
They've lost tens of billions on R&D already with the Volt. Sure, it would be going all-in to cut prices like that, but GM still owes $23 billion on their bail-out, even though they have supposedly paid back their loan. For a normal company, I completely agree with you, but GM exists because of taxpayer money, and still exists because of taxpayer money. There is nothing we can do about the unions stealing money from the bondholders during this stupid 'bail-out', but since we're all in on it, why not subsidize losses in hope that it catches on with the American people? The government can't make a profit on anything, but at least there is a need for vehicles. Personally, I'm willing to let it all fail, because it would have already failed had there been no bail-out, but since it's up to us taxpayers to pay for UAW pensions at this point, we may as well try and get some sort of return on the investment.
Well, I just want a company to run like a company and not like a charity case. it should fail on its own merits.
With you on that one, but with this President, and how much money unions give him, that's not reality at this point.
