On 1 Sep 2002 at 20:51, Adam Kuehn wrote:

> The auto 
> makers' primary goal is to make money and show a good return for the 
> investor.  Their repeated decisions to cancel EV production is almost 
> certainly motivated by that very goal, and this point of view is 
> backed by the auto makers' own utterances. 

Almost every new model loses money for some period of time.  One of Honda's 
strategies for years has been to launch new ICE models at a price under 
production cost, to build market share, then raise the price later.

In other words, there's precedent for mfgs eating some losses up front to 
make money later.  That appeared to be the initial strategy GM was following 
in the EV-1, feinting with the CARB dealings early so that the competition 
would be caught flat-footed while they launched a solid EV.  But then GM hit 
a glacier financially and had a management shakeup, and the new crew chucked 
the whole idea.  

My theory only of course, but you have to admit it's plausible.


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David Roden - Akron, Ohio, USA
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1991 Ford Escort Green/EV 128vdc
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