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Re: You've missed the point. (archive)

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Posted by Barnacle Bill on March 25, 2002 at 13:22:23:

In Reply to: You've missed the point. posted by Sam on March 25, 2002 at 12:59:45:


My rebuttal to that is when keeping price fixed, you can't add without subtracting.

Actually, that's a bad assumption. I work in the development of manufacturing equipment, and we constantly (successfully) work on ways to reduce manufacturing costs in order to be able to offer a better product at the same price (or the same product at a better price). From a purely technical point of view, I doubt there is much if any production cost difference between engines of different displacements built on the same block. Manufacturers often increase HP between model years without changing displacement, just through mechanical and software tuning (example - with no change in the base engine Saab added 20 HP to the 9-5 Aero for 2002). Finally, AWD could be converted into an option - same price today if you want it, lower price than today if you don't - and that would probably improve acceleration under normal road conditions without any HP increase.


Further, I cannot disagree more strongly with your assumption that the X-type's success relies on stealing BMW sales. I did not consider the BMW3 when I purchased my X. If the X did not exist I still would not have considered the BMW. As I stated earlier, Jaguar is and should be an alternative, not a competitor, to BMW.

Disagree all you want, but BMW has the largest market share in this segment so there is more to steal there than anyplace else - and I'm quite sure Jaguar management wants a piece of it.



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