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If Saab does it alone, then No....
Posted by Jon in Chicago (more from Jon in Chicago) on Tue, 4 May 2004 14:48:42
In Reply to: Interesting dilemna, Davecl [Profile/Gallery]
, Tue, 4 May 2004 13:32:05
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Well, I'm not an MBA (I have a Masters in Econ from U Michigan) but I think it takes a Psychologist to solve this! I mean, incentives are continuing partly 1) as a response to the (advanced-stage capitalist) buyer's internet driven knowledge and/or keeping-up-with-the-Jones'-incentive-mentality that they're a sucker unless they get some type of incentive and 2) the expectation for incentives is too deeply rooted in the public's mind for anything to change in the current high debt economy. (There was a reason most economists not on the dole [and even some of the ones on it, ala Greenspan, O'Neill, etc,] were against the idea of the personal tax cut for couples filing more than $200,000 per year... but that is another story) Now, once the economy truly does return to glamour bubble highs, cough, cough, then, sure, the current mind set requiring incentives among the working upper middle class, middle class, and lower middle class will change. But not til then.
The thing is, if Saab is the *only* brand currently offering incentives which breaks the incentive mold all together by, on the face of it, leveling out the field by simply lowering their MSRP do you really think they alone can get away with it?
Jon
posted by 12.100.24...
Posts in this Thread:
- Why not drop prices?, davecl , Tue, 4 May 2004 05:23:40
- IMHO incentive base selling works....., Mike Lynch , Wed, 5 May 2004 17:06:08
- Re: Why not drop prices?, saabnewbe, Tue, 4 May 2004 14:43:20
- Because every once in a while, Ells, Tue, 4 May 2004 13:53:57
- Saab's US Unique Selling Point (?), Jon in Chicago, Tue, 4 May 2004 11:56:36
- Re: Why not drop prices?, Davecl , Tue, 4 May 2004 10:21:02
- Re: Why not drop prices?, Gres718, Tue, 4 May 2004 10:00:13
- It would be a major risk ..., DougD, Tue, 4 May 2004 09:36:07
- Paid $31K for '03 Aero, would not have bought..., Lynn, Tue, 4 May 2004 09:25:56
- Re: Why not drop prices?, aizzo , Tue, 4 May 2004 09:19:05
- I never would have bought my 04 Aero Wagon at 40k+, Mike, Tue, 4 May 2004 08:23:32
- I agree, jeff, Tue, 4 May 2004 07:05:28
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