I suspect the disdain for Toyota won't last and with the money Honda spent on Super Bowl ads we should expect them to gain a larger portion of market share.  Now I have to ask myself, what does America need, to compete in this economy and against steep competition from imports?  I believe the answer lies in a budget friendly car and by that, I mean cheap.

Cheap means different things to different people.  To some, cheap means value, how much they get for the money they spend.  However,  in this situation, when I say cheap, I mean a brand new car, decent equipped for less than $10,000.  We don't need a Toyota Scion knock off and we don't need another throw away car, what we need is a cheap car that is easy to work on, a vehicle built by Americans for Americans.

Originally when Toyota announced the release of a Scion branded small car, I believe it was intended to fill this niche market.  Perhaps the niche proved too profitable and the demand for their go-kart style cars became too much, so like any good Capitalist they raised their prices.  Now it's not unusual to see Scions go for $17,000+, still a good deal in comparison to $25,000 cars, but not cheap enough.

Americans need a reliable vehicle they can purchase for under $10k, which is roomy enough to appeal to families.  This car needs to be serviceable, meaning drop all the bells and whistles, roll back the technology to a decade ago...or even further.  I understand the need for smog equipment, but lets leave off the equipment that takes millions of dollars worth or research and development.  Give me an engine bay that has enough room to turn a wrench and less electronics and I'll show you a happy consumer willing to get dirty, rather than go deeper in debt.

A car serves a purpose, get from point A to point B.  The problem comes when manufacturers decide that it's not profitable enough to fill that need, so they create a need in the mind of the consumer.  I need power windows, I need advanced engine computer controls, I need power seats.  These things are not needs, but they are all too soon becoming standard equipment, driving that inexpensive car price tag, to that of a luxury car just a few short years ago.  We need a company that can get this ideal across and sell it well.

The company, ideally a spin off from one of the Big 3, should embrace the culture of do-it-yourselfers and those wanting to live a lifestyle away from status symbols.  This company should spend marketing dollars on showing the value of having a reliable mid-size car capable of fulfilling a need and show what the money wasted on other products can now pay for.  A better life, away from debt, away from worry if it breaks down, and away from the stigma of a throwaway car.

This new market niche can be created, it can be exploited, and can be profitable based on volume.  We can have nice cars built for less than $10k, but as Americans we have to be taught that the most important aspect of a car is its ability to reach point B.  This new market won't care about $1 million prototypes or how shiny the concept model looked at the Detroit Auto Show.  This new market will fall in love with a car they can repair in their drive way and be proud to take the kids to school in.

It's a bold and brave endeavor, if only somebody would step up to the task.

Original automotive content: Automotive Blog

America Needs A Cheap Car

Green News

The Chevy Volt and other electric, hybrid, or alternative fuel vehicles need high gas prices.  Without the threat looming of $4 per gallon gasoline it makes it difficult to stomach a $40,000 investment, in some cases.  Obviously the higher the fuel prices the shorter time it takes to break even and to have the electric car start actually saving you money.

Looking at it this way makes me look like I hate the environment, but that's not the case.  I'm all for doing my part to keep the Earth green and blue, but not at the cost of being in debt up to my eye balls without any return.  There must be a breaking point, where investment shows return, even when talking about green technology.  So, I guess this idea only applies to those who aren't independently wealthy green freaks.

No doubt if fuel prices remain relatively low it will devastate the huge investment companies like Chevrolet have made with the Volt.  Everyone was able to jump on board the research and development when gas prices were high, but what will happen financially to the company now that sales will be directly effected by the fuel prices?  Surely there will be more financial incentive to buy a new all electric car or at least lower the expected price all across the board.

I hope that we will see falling vehicle prices on all cars, trucks, suv's, and not just the special niche green market.  The idea that a vehicle should cost 1/2 as much as most peoples homes is getting to be a little bit ridiculous.  Let's start by slashing that all electric Chevy Volt price.

Original automotive content: Automotive Blog

Volt Needs High Gas Prices

Normal wear and tear doesn't bother potential used truck buyers, because they are buying a truck for a purpose, not a luxury. Having a used truck for sale with general wear and tear, like scratches, and dents just adds character to a dependable investment. As mentioned, buying a used truck for a purpose means that the truck will be used for work and be more susceptible to these imperfections by the new owner anyway.

Small pick up trucks experience a little bit more depreciation on the market when comparing used truck prices.  This is due to the fact that a typical small truck will not have the durability or longevity of a heavy duty full size pickup truck.  Furthermore the uses for a full size pickup far outweigh what can be done with a small size, like a Ford Ranger or Chevy Colorado.

New Truck Buyers

The good news for those looking to buy a brand new pick up truck is that you could expect the resale value to hold.  The less depreciation you expect when driving off the lot, the better and the more likely you will be able to resell in a few years and recoop some of the original buying price.  There is always a market for used trucks that are priced right, because you just can't haul a mattress or tow a trailer with a gas saving small car.  Everyone needs a friend with a truck to help them move...right?

Used Trucks on eBay

Ford Ranger XLT PICKUP EXTENDED CAB 2WD 4 CYLINDER USED FORDS TRUCKS    US $405.00

Ford Ranger XL USED TRUCKS FORDS 4X2 PICKUP TRUCK AUTOMATIC 2WD AUTOS    US $510.00

Dodge Dakota ST 4x2 USED DODGES SMALL PICKUPS 2WD TRUCKS 4DR STANDARD BAD    US $1,525.00

Original automotive content: Automotive Blog

Used Truck Prices

It's not surprising that luxury vehicles will be going up in price, since their sales are not nearly effected as much as standard vehicles.  Standard vehicles being bought and sold by common Americans start feeling the pinch anytime the economy takes a dip, but luxury vehicles have a history of remaining unchanged during tough times.  One of the oldest examples of constant sales in automobiles is of the Chevy Corvette.  Even during tough times in US history, Corvette sales remained unchanged.  A different class of people buying a different class of cars...the minority.

Meanwhile in the real world, I'll keep my 97 F150 chugging along.

Original automotive content: Automotive Blog

BMW 750 Price Increase