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Saab is too small and too broke....
Posted by David Ingram (more from David Ingram) on Thu, 6 Jan 2005 12:59:36
In Reply to: Why a Saab is not a Mercedes...., Joe [Profile/Gallery]
, Thu, 6 Jan 2005 09:28:20
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...to keep up with large, extremely wealthy competitors such as the manufacturers you've mentioned. As for Mercedes quality, I've never heard anyone claim that Mercedes reliability standards are world-leading, or their costs modest. Not to say that there aren't those out there who've experienced a real trouble-free example.
Herein we have the dilemma posed by a small company with minimal resources at their disposal. The development of all their cars has always depended on quite a bit of reuse of old bits to keep costs down, going all the way back to the beginning -- pretty important when you're losing money. Model cycles are necessarily longer, and running changes fewer, in part because making frequent parts changes makes each part more expensive in the end.
Mercedes, on the other hand, makes many times more cars per year than Saab, gets stratospheric prices for them, and can more easily integrate upgrades and changes for this reason. In the case of Honda, the volumes are massive, even if profits are smaller per unit, giving them the ability to spend whatever is required to perfect the imperfect and improve the improveable.
I agree that Saabs' perception in the marketplace is that of an inferior-quality car, so far as reliability is concerned. This does indeed depress their values below VW level for us, and I am grateful for that. But every car, whether it be Mercedes or Honda, has finite life.
In the case of Japanese and American cars, when they're so crummy to start with, how can you tell when they're broken?
posted by 155.212.49...
Posts in this Thread:
- Why a Saab is not a Mercedes...., Joe , Thu, 6 Jan 2005 09:28:20
- Some of the things you mention are done very early in, Noel, Thu, 6 Jan 2005 13:57:26
- Saab is too small and too broke...., David Ingram, Thu, 6 Jan 2005 12:59:36 <-- Viewing This Message
- Re: Why a Saab is not a Mercedes...., TML , Thu, 6 Jan 2005 12:18:09
- C'mon Joe...have you ever owned a Mercedes?, turrbo , Thu, 6 Jan 2005 10:24:30
- mercedes also brake, but more expensive..., aaron, Thu, 6 Jan 2005 10:10:25
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