Quote:
Originally Posted by Poetic Justice
Yes, they have seen a sharp decline on the back of not having a price pointed Mazda 3.
It is true though, a number of manufacfturers are looking to do away with the price pointed car, having a higher entry point and attaining profit over volume.
Hyundai did it in 2017 when they released the current gen i30 - moving from a $19,990 auto car to $24,990.
Recent Corolla has also done away with the entry level model also.
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That business model works OK if you have market share, its not different to what the Japanese did when they started out. Come in cheap, build your base and then start looking at profit; it makes sense.
But once you move away from turn over to profit driven/margin then yoru risk is higher.
I think Ford in this country and the move away from Mazda product sharing is not a bad example. Fords small car range deserves to sell better but its just not getting the numbers. Im not privy to their P&L but they must be struggling if it wasn't for the ranger and mustang and the latter is risky.
Seems this next car will be the 6 replacement? They would be nuts to start Eunos again it will only dilute the brand.