Originally posted by The Mighty XE
we might miss out on the new Fiesta because it couldn't be brought here cheap enough and might not be available numbers-wise anyway...
My questions are as follows:
1. How can GMH afford to import European Barina (corsa), Astra, and Vectra if Ford cannot even afford to bring in a single model profitably?
2. What other small car options are there out there for Ford Aus that could compete quality and price wise with Barina and co?
3. How important is a volume segment like small and light car to Ford Aus?
Read that article too. Although I have heard contradicting reports on whether the Fiesta will make it here. My other half works at a Ford dealer and they have been told it's coming. It definately has to come here. Ford/Geoff, I hope your listening!!
Regarding your questions:
1.Holden can afford to bring the Barina/Astra and sell them at competitive prices because they earn export credits from the govt for exporting the Commodore to the middle east and now South Africa and the 2.2l 4cyl to Europe for the Vectra etc. I don't know exactly how it works but I think they receive some sort of subsidy.
2.The Fiesta I think is the best option as already pointed out here.
3.Small cars are very important for overall volume and having an affordable Ford for the market. It gets people into Ford dealerships. Once a person buys a certain brand of car (eg Fiesta), they are more likely to buy the same make for their next purchase. So a Fiesta buyer may buy another Fiesta or new Laser/ Falcon a few years later as they would have to keep in touch with the dealer/s for servicing etc. As long as the car is reliable, meets their expectations and the dealer/s provide good service to the customer, they would be more likely to be a repeat buyer.