Quote:
Originally Posted by BlaqWhole
So what you're describing is profit. Am I right? It all boils down to how much they profit off the car. And profit takes into account everything. R&D, production costs, materials, labor costs, sales, facility costs, etc...down to minuscule details that you, I, and nobody else even realize. The end result is profit. Meaning once all the costs are tallied, how much money is being put in your pocket. And if the Camaro is not making enough profit to justify it's continued production, then that is a problem. Am I right? So if it does make enough profit regardless of one or two variables, then it is well worth continuing production. Am I right? So when you look at sales alone, if you don't know production costs, production numbers, how much above production each individual unit brings in and put together as a whole, etc, can you honestly tell me that sales are a problem? Just looking at sales alone, what can you tell me besides the fact that the Mustang sells more? Do we even know how many units GM NEEDS to sell to make a decent enough profit? Do we know how many are produced. What percentage of them are sold as compared to Mustangs? Can anybody on here give me an intelligent reply to this question? The fact that I have asked and it has not been answered in over a year tells me that nobody knows and any speculation is simply based on opinion, imagination, delusion, fantasy, whatever.
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Neither you nor I know how many Alpha vehicles need to be sold to reach black ink for the platform or Mustangs for that matter. I suspect they are well below that number given how poorly the Caddy's have sold and Camaro sales being what they are. I could be wrong , but it's hard for me to believe the production #'s have covered R&D and tooling at this point. Maybe Jim Martin can shed some light?
As far as "If it makes a profit does it justify its continuation?" Thats depends I suppose, If GM feels they could produce another vehicle that would cost similarly in R&D/tooling but sell much more and return more profit then no it doesn't warrant continuation. Same for Mustang, but I believe there is more at stake with axing Mustang for Ford.