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How many baby steps does it take to get to 2007?
Posted by KenB [Email] (more from KenB) on Tue, 5 Aug 2003 05:01:05
In Reply to: Clouds inside the "Sales are up" silver lining, KenB, Mon, 4 Aug 2003 19:56:57
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I agree that Saab has been moving in the right direction and that sales matter. What drove my concerns was Mike Lynch suggesting that a 9-5 makeover might not come until 2007. (My pessimism is all Mike's fault! ;-) Can the current strategy make it that far?
The sales figures that I've seen do not break out 9-5 and 9-3 convertible sales. As a group, their sales are down 54% in July. Maybe 9-5 sales are fine and convertible's sales are dead as people await the new model this fall. (Can anyone validate that?) However, if people are not buying 9-5's in large numbers even with high incentives that make them as cheap as some 9-3 SS's, margins and profitability have got to be down.
Further, the old industry/market complaint about Saab's lack of product line depth isn't helped by the soon-to-arrive 9-2 if buyers ignore the 9-5 -- it will still effectively be a two car company.
The 9-7, which I don't oppose as long as the company does more than just glue its own logo over Chevy's, may give Saab the sales AND margins it to please GM and buy itself more time for new car products.
Can the company make it to 2007 with a high-end car that was designed in 1999? Is a nine year flagship product life too long in today's auto design world? Or is this all moot because an all-new 9-5 is coming sooner rather than later?
posted by 144.118.2...
Posts in this Thread:
- Clouds inside the "Sales are up" silver lining, KenB, Mon, 4 Aug 2003 19:56:57
- This time last year..., Stephen Goldberger, Tue, 5 Aug 2003 12:44:23
- How many baby steps does it take to get to 2007?, KenB, Tue, 5 Aug 2003 05:01:05 <-- Viewing This Message
- baby steps... all in the right direction..., Scott Paterson , Mon, 4 Aug 2003 21:49:39
- Re: Clouds inside the "Sales are up" silver lining, Bill McD, Mon, 4 Aug 2003 21:30:45
- You're a glass is half empty kind of guy, aren't you?, J, Mon, 4 Aug 2003 20:22:38
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