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And yet that's exactly what Porsche did with the Boxster. It's exactly what BMW did with expanding their product line with the 1 series. I guess if you want con
by SupremumLimit 13y ago
And yet that's exactly what Porsche did with the Boxster. It's exactly what BMW did with expanding their product line with the 1 series. I guess if you want continued growth, eventually you might have to expand into lower margin products.
It's not so black and white between expensive products and commodities, by the way. Both Boxster and 1 Series are still relatively expensive.
- LekkoscPiwa 13y ago>> Both Boxster and 1 Series are still relatively expensive. Right, spot on, $50k for a 6-cylinder two-seater while American counterparts are half the price with 8-cylinder engines. And who says Porsche/BMW are in trouble because of that? And who says GM has a great business model because of that? Nobody! But in the tech it is somehow backwards. Who cares about Porsche market share in their right mind? Porsche makes about $20k on average on every vehicle they sell in Europe. And they have maybe 0.5% of the market share. GM losses nearly $2k on every vehicle they sell in Europe. And has about 20% of the market. I don't think that "commodity model" makes sense for Apple. They should stay away from it.