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| Posted 8/18/2008 |
Toyota and Honda are the leading players in the auto business ... but they're being challenged by a whole host of new characters. The newcomers offer cars that are light, economical, speedy and miserly on energy. And there are a bunch of people making cars who have great reputations. Reputations in other products, that is. First up is the Tata from India: small, light, attractive and extraordinarily fuel-efficient. It was introduced in 2008, priced at $2,500. And China started exporting its Chery the same year. But some of our future auto guys weren't even in the auto business in 2008. There will be a "Brooks Bros" auto for those wanting a traditional, distinctive, expensive vehicle.
The Dell will be snapped up by those seeking a vehicle customized to their lifestyles. For those yearning for a big manufacturer with tech savvy, there will be a GE roadster. The Swiss Army Car will convert into 26 different configurations for those requiring a multi-purpose vehicle. How about Samsung for advanced electronics and tv screens replacing mirrors? Is this crazy? A 2008 survey indicates that Americans are ready to make big changes when gas hits $6 a gallon – even bigger ones when the $8 mark is breeched. A surprising 38% said they would buy a plug-in hybrid, while 46% would go for a battery/electric car when gas reaches $6 a gallon. At $8 a gallon? The numbers increase to 54% for the hybrid and 56% for the electric. According to the survey, at $6 a gallon, about a third of consumers would consider buying cars made by Google or Dell.
Distribution? It's there for the asking. With all the collapse of GM, Ford and Chrysler stock prices, networks of dealers are there for the taking in 2008. Women now control over 50% of U.S. auto sales and influence 20% more. And many women "wear" cars like fashion statements. So by 2011, you might see a sleek Gucci gliding down the boulevard. For those lusting for pricy attractive products, there could be a lavish Coach. But probably not a Wal-mart. It's not a wearable fashion statement. The old concept of concentrating the auto industry in one place is dead. By 2011, your new car will be made in 47 different countries. At least the parts will. (click here for a printable version of this article) |
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