Chris, Large profits arrive when lots of consumers are clamoring for the cars - and consumers loved the SUV's.
With the advent of higher gas prices, the car companies are having a hard time. All of them are deep discounting their producers. Well, it's true that SUV's are just a smidgen less safe than compacts, though they are safer than sub-compacts. Trouble is that people are likely to start buying those unsafe sub-compacts to save on gas costs. I'm sorry you are so affected by advertising. You must try to ignore it as we do. Harry ******************************* Henry George School of Social Science of Los Angeles Box 655 Tujunga CA 91042 818 352-4141 ******************************* > -----Original Message----- > From: [EMAIL PROTECTED] [mailto:futurework- > [EMAIL PROTECTED] On Behalf Of Christoph Reuss > Sent: Monday, July 18, 2005 6:34 PM > To: futurework@fes.uwaterloo.ca > Subject: RE: [Futurework] some really big questions > > Harry Pollard wrote: > > The car industry doesn't "prefer" to sell "12-20 mpg rolling > > fortresses because they (and their buddies in the oil > > industry) can make much higher profits that way." > > > > It can sell only what people want - otherwise they go broke. > > On the contrary... the profit margin for SUVs is up to $15,000 per > car, > compared to a few hundred bucks for a "normal" car. So much > money for > such cheapo and unsafe trash. That's why all car manufacturers > jumped > on the SUV bandwagon -- not to go broke! (Market competition, > you know.) > There are even Porsche SUVs -- basically an oxymoron, one would > have thought. > > > > It's called the market. > > Yeah, eh. Guess what's the purpose of advertising ? > Image is everything. Lemmings buy what the ads are pushing. > > > > As gas prices rise, the consumer is beginning to look > > askance at the behemoths. So, the car industry will have to > > sell smaller or more economical cars. > > The SUV arms race on the roads will prevent that. A few SUVs on > the roads are enough -- and people will grab for the ever-bigger > calibres of rolling fortresses, for fear of being crushed. > > As for gas prices, the empire will see to it that they won't rise too > much. > That's what all the fuss since Gulf War I is about. > > Chris > > > > > ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ > ~~~~~~~~~~~~~~~~~~~~~ > SpamWall: Mail to this addy is deleted unread unless it contains the > keyword > "igve". > > > _______________________________________________ > Futurework mailing list > Futurework@fes.uwaterloo.ca > http://fes.uwaterloo.ca/mailman/listinfo/futurework _______________________________________________ Futurework mailing list Futurework@fes.uwaterloo.ca http://fes.uwaterloo.ca/mailman/listinfo/futurework
