Re: decade long model cycles... - Saab 9-5 Bulletin Board - Saabnet.com
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Re: decade long model cycles...
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Posted by Tim (more from Tim) on Wed, 11 Nov 2009 12:32:37 Share Post by Email
In Reply to: decade long model cycles..., James, Wed, 11 Nov 2009 09:07:37
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Porsche operates in its own world, quite distinct from the normal value/cost analysis that associate with car market. What normal carmaker would be able to market an air-cooled rear-engined car without dynamic stability control in the 1990's? I used to joke about Porsche (and Ferrari, Lambogini, etc. being in the men's designer handbag/shoes market). LOL

Model cycles in the half a dozen years range, instead of the dozen-year range, would allow for more rapid incorporation of structural improvements, drive train improvements (such as the AWD that has been asked for in the 9-5 for over half a decade, but only available in a new generation), a more rapid response to shifting market taste (AWD would have caught on quickly in 2004,5,6,7, but now is almost superfluous as people focus on fuel economy). The cost of the proverbial missing the boat when the economy was booming means severe lacking of funds in down cycle. Likewise, shorter model cycle would also drum up more consumer demand, which in turn means more cars to help amortize model improvements.

The correct solution to first model-year problems is not beta-testing on first-year buyers. The correct solution is a more thorough and more expensive engineering department to work out the kinks before product introduction . . . which also would be greatly helped if there are more cars to help amortize the development cost. That's a big reason why cars from Toyota and Honda have less bugs in their first years than typical European cars: developing and engineering a new Honda Civic cost upwards of $4 billion dollars, whereas the entire budget for the Maybach project is only $100 million. Any wonder why there are more glitches on the Maybach than on a typical Honda Civic? Any wonder why German cars from the last couple decades often feel like a collection of good ideas on wheels that got slapped together without thorough engineering? compared to the more plebian offerings from Toyota and Honda? and why people are dissalusioned with "the German engineering"? Germans are great engineers, but they are not supermen; they too need money and resources to do the engineering.

Now, I'm not saying that Saab should become like Toyota and Honda, but the opportunity to amortize design and engineering cost over a much larger production run in a Chinese "after-life" will IMHO work out great in terms providing a bigger design and engineering budget up front in the first model run of a new generation.



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