BinaryRotary said:
Porsche and Hummer have the worst reliability on the market.
<----- Try a BMW 7 series. Porsche I havent heard of that much. the higher end Mercedes are horrible. Theres a joke/rumor going around that they delibertly try to make car with problems so the dealer can profit off you taking to the dealer for a fix. maintence cost more then the car itself. I think it sthe amount of electronics and advance technology in it. I think the new high end BMW are better but the old high end BMW are just a pain.
b00sted said:
this is amusing..more power to ya tito. some people just dont appreciate the value of money. as far as im concerned - regardless of how much money i spend on ANYTHING, whether it be $5 or $20000000000...i want it to be in PERFECT working order
Not as amusing as your statment.....
Well no s*** shirlock. I enjoy spending money and getting broken, cheap, and bad stuff (sarcastic). The problem is if you have taken a mangerial accounting course its nearly impossilble to get perfection at low cost. Good material that lead to relability cost money and business need profit to survive. In that case you would see prime rib sandwiches and grade A Fillet Migon stuffed with golden flakes and cavior Hamburgers at Mcdonalds 99 cent menu. insteadof sesame buns you will see diamond studed buns.
In a ideal/perfect world (your world) I could get a porsche GT1/ferrari Enzo for $50 and have it produce 1000 hp, handle on a dime, stop on a penny, last 1,000,000 miles with absoluely no engine rebiuld, get 1,000 miles to the gallon, a seat made of solid gold with eagle down seats made of manatee skin and throw in a Micheal Shumacher as your chuffer/instructor. oh what the hell throw in a supermodel with it too....or Jenna Jameson. All under $50.
But this is reality and money is the bottom line. Damn straight, when I spend $1 or how ever much it is, you would want the best/perfect product. But reality you cant and there is no such thing. You could spend $10 on a burger at houston and it would use the greatest meat and bun possible for a burger place but then you would b**** about how it doesnt come with a salad and soup. And if they include soup and salad you would b**** about how it doesnt come with dessert. Then you would say its not worth it because $10 only included salad and soup but not dessert. Perfection is hard to strive especially at a bargin. So I say again what did you expect from a $20K car? A freaking Porsche? What did you expect from a $10 burger? For them to go out of business because they made you happy and gave you everything you could have wanted in a car, burger or whatever at a cheap price?
The question at hand is how much reliability/quality can you get out of a car that is $20K brand new? let say You think a honda civic is reliable and a good "value," its also cheaply manufatuered in MExico, underpowered, feels cheap and handles like crap. But one thing you wont get with a civic is klunking noise but you will get all 115-130 hp and a 17 sec 1/4 mile..
How am I missing the point? I told you many times....brand new $20K cars at the time are 2003 SRT-4, MSP, Civic, Kia, Toyota Corrolla, camery, base RSX, base Celica, Sentra and many more but out of those which one would you choose?
And how is a volvo comparable to a MSP? A brand new volvo today starts at 23K. And comparing a car thats is 2 decades old is hard to pin point because you need to see how much the MSP time value of money. im sure the volvo cost more at the time then a $20K car now, and thus it had better quality parts which improves relability. Its all in how a company spreads it money. lets compare a brand new volvo S40 vs a SRT-4 similar price. SRT-4 has a amazing engine and tranny superior to the Volvo. But the volvo is more refined, leather seats, 6-speed, and most importantly it wont kill you in a crash. Thus Dodge gave you quality in the engine and tranny department giving you relability. The volov might not have the same relability in the engine but the Volvo gave you reliability in a car crash with its drop down engine design so the engine isnt sitting in your lap in a front end crash, and side airbags standard. a good example of where the money was spent. both car has a value of 22-23K and has the parts for a 22K car...just invested in different areas.
Tito1 said:
Companies don't joining forces because they want the best of both worlds, They want their STOCK HOLDERS to be happy.
Goal of a firm is to increase Shareholder's wealth...#1 thing they say business school. And you increase shareholder's wealth by running highly efficent operation. The right thing to do is to used beautiful internals and qaulity stuff but that would almost mean no profit for the firm. Joining differnt parts together allow things to be built in bulk quantity and thus cuting cost (saving design and production for many engines). 1 engine can be used in many different cars and thus cuting cost to producing/designing engine for different cars. engines like LS1, 4g63, FS-DE and even Mazda's new MZR. And thus you have a Ford Duratec V6 in the new Mazda 6. Meaning sharing existing platforms or technology will make cars cheaper and easier to manufatuer....thus combining the best of both worlds. AMG is now desinging alot of Chrysler dodge's cars. The Chrysler Crossfire is really a Mercedes SLK with a different body. The new Chrysler 300 is really a Mercedes E class...how is that not sharing of thecnology and combining the best of both world to cut cost? The Chrysler dream car known as a ME412 is a a chrysler but the engine is a AMG V12 producing 850 hp along witha mercedes 7 speed Transmission. is that not an example of combining the best of both world to cut cost? All of it is done in house and thus they are sunken cost on payroll instead (work for the same copany) of outsourcing to lets say Cosworth/lotus. SRT-4 uses a Mitsubishi turbo becasue they are partners and own shares in each other thus comigning the best of both worlds to cut cost. How uch would it have cost them to source out a Garret turbo or design its own.
with that said....Read and this:
http://www.chugoku-np.co.jp/MAZDA/tokusyu4/e980526.html
Looking at the restructuring of the world's automobile industry that is currently taking place, I feel that things are going the way we predicted. In the future, world industry will gravitate around the GM and Ford in the US, Toyota and Honda in Japan, and Volkswagen and Daimler-Benz in Germany. Nissan will make efforts of various kinds to keep itself going. What will happen to French and Italian automakers, and Germany's BMW, I'm not sure. Most likely, they will arrive at some form of balanced cooperation and interaction with one another. I should mention that on several occasions talks have been held concerning a merger of Italy's Fiat with Ford, but nothing ever came of these talks.
Around the time of the stock acquisition two years ago, Ford was prepared to take a 51% holding. I thought a 51% holding would be too much at that point in time, and was unsure of the consequences. So it was arranged for Ford to increase its holding to a little over one third instead. Recently, following a Stockholders' General Meeting, Ford Chairman Alex Trotman touched on the subject of Ford increasing its stock ownership in Mazda. But this doesn't mean that such an increase is going to happen right away. Rather, what his words meant was that, taking a long-term view, there is no obstacle whatever to Ford acquiring a majority holding in Mazda. I believe he feels that, provided such a move becomes necessary, it will be appropriate for Ford to acquire a majority holding at any time.
Ford does not want Mazda to become just like Ford. That would be of no interest to Ford. Let's make no mistake about that. Ford says it wants Mazda to maintain its own distinctive existence, and to produce characteristically Mazda vehicles. Ford doesn't want to make Mazda indistinguishable from itself. These sentiments are very strongly held at Ford, you know.
Tastes in cars vary widely among different groups of people. Japanese people have their favorite kinds of car and so do the elderly and the young. Men prefer different kinds of car to those women prefer. But cost is an important factor, and to cut costs, the adoption of common chassis is increasing. However, such use of common chassis will still permit a wide variety of cars being offered. Although a number of models will share the same "internal organs," extensive variation will be possible in the outer appearances of the different models. Just because the Ford Group is providing Mazda with capital doesn't mean that they want each and every aspect of Mazda made uniform with Ford! For Ford, Mazda isn't simply a collection of plants. It's a fine affiliate company located in the Far East. A relationship in which Mazda languished while Ford thrived, could not be long-lasting. The two companies must prosper together.
The reform of Mazda is going well - thanks to "good American management," you could say. Usually when we think of US-style management we think of intense survival-of-the-fittest practices, especially regarding finance, and of sudden and drastic personnel reductions. But Ford is a little different. I've been in contact with, and observed, Ford since 1975 and that is over 20 years now. I've noticed that they really care about their employees. They have a friendly relationship with the United Autoworkers Union (UAW) in the US. But that's not to say they have a halfhearted approach to business. They run a very efficient operation.
Ford attaches very great importance to profitability, and considers how to lower costs an important issue. They set very strict guidelines for their parts purchasing, but that reflects a highly rational approach. They engage in intensive negotiations with prospective suppliers, recognizing that they naturally expect a certain profit of their own. But in such discussions Ford won't ask point-blank for discounts. Rather, they'll be working hard to find ways of making the supplier's manufacturing processes more efficient to bring costs down. To survive in the automobile world today, you must make cars which are world leaders, but at the lowest possible cost. But Mazda, which sells only 300,000-400,000 vehicles per year domestically, cannot do that alone. So, rather than spend tens of billions of yen on developing its own large vehicles, it's better for Mazda to market Ford's large vehicles as its own. In return, Ford will have Mazda develop the small vehicles that it's good at making, and market those vehicles as its own. Thus, I don't think that Mazda could keep going if Ford were not in charge of its management.
I was due to fly back to Japan the following morning, and as promised, a person from Ford delivered the letter to me at the airport. It said that Ford primarily wanted Mazda to make gears for them, and to progressively increase the number of small-size trucks it received from them. The letter also requested an assurance that the Sumitomo Bank would support Mazda. Another condition expressed was that Mazda produce front-wheel drive vehicles-an area Mazda had no experience in. Ford said such vehicles were set to be a major trend worldwide. Mazda's response was somewhat downbeat, but they eventually agreed. The arrangement brought Mazda orders for 200,000 gear sets annually, which boosted its income. At the time of that first capital tie-up, there were people saying "How about asking Toyota for help?" "What about Nissan Motors?" and so on. We did consider many alternatives. But it was clear that in the 21st century, reorganization and consolidation among the auto industry would occur, not just in Japan, but on a global scale. Accordingly, we thought in terms of either GM (General Motors) or Ford. GM had already formed a relationship with Isuzu, so we came down in favor of requesting help from Ford. As the first company in the world to mass-produce automobiles, Ford has superb resources for anticipating and exploiting trends and currents in the automobile world. I feel today that that decision was the right one, just as I did 20 years ago.
there you go example of effiecny in practic and again like I said those that are effiecent are in business. Those that didnt care about cost and used the best material made no profit and eventually got eaten up by companies that had a more efficent operation. As a plant manager you want to be efficent as possible....because it whats keep you in bsuiness. Whats so hard to get about that?
Have you notice what happened maybe a month ago when proctor and Gamble bought Gillet saying it could reduce cost by being more efficent. combining their managment and their assembly lines they combined the best of both worlds. And the trade off of technology. Gillet #1 income is from innovation...they come out with a new razor all the time. MAch 3, mach 3 turbo blah blah blah. Proctor and gamble hoped they can profit off the innovation because P&G has what people say is "stagnent" innovation as their products havent changed in awhile. Thus combineing the best of both worlds. A more efficent manufatuering from Proctor And gamble. And innovation from Gillet.
Was a MSP really not worth $20K how much does a protege cost with all its suspention component, interior and turbo cost? Probally close to the same price.
I love how you are bitching about how much the MSP cost yet you are talkign to a lawyer that probally charges $200 an hour + legal processing. Loosing your interest on the car by having Mazda buy it back and spend it on another car above $20K. actually if Mazda does buy it back you they should pay you for what you paid plus interest. but you still have your legal fees, gas and insurence (sunk cost) that you paid for the car. And im sure a 175 hp turbo Miata isnt cheaper to insure then a 170 hp 4 door protege.
Good thing is the Miata is a car that cost mroe then the protege when it was brand new so technically you get a better car for that price.