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Does Toyota lose money with each Prime sale?

Discussion in 'Prime Main Forum (2017-2022)' started by PT Guy, Dec 4, 2016.

  1. bisco

    bisco cookie crumbler

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    seeing a ton of chargers here in redneck county.
     
  2. pilotgrrl

    pilotgrrl Senior Member

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    They build lots of Cowboy Pimpmobiles and Stupid Utility Vehicles here. Tacoma and Tundra are built in San Antonio. GM builds Escalade, Suburban, Tahoe, Yukon, and Yukon XL in Arlington.

    Ford builds lots in Mexico, but nothing in Texas. They used to ship lots of marijuana in the spare tire compartments of the vehicles they shipped from Mexico. Big surprises for some owners.


    According to

    Here's why automakers roll out those Texas-themed pickup trucks - Autoblog

    As it turns out, part of the big deal with Texas is big truck sales. According to Dave Sullivan, product analysis manager at AutoPacific, Texas buys more trucks than any other state in the country. It's not a small margin either.Edmunds.com, one in five trucks sold in the US are sold in Texas. The state also accounts for 15 percent of the country's large truck sales, which is more than twice that of California, the second largest truck market in America. Even when you break down sales only in Texas, trucks are a huge piece of the pie - Sullivan says that a quarter of new vehicle sales in Texas are trucks.

    And

    Why Texas loves trucks | Inquirer Business

    said a lot of interesting things, including stolen trucks are often used to transport contraband, then they're burned, but that is from a 5 year old article.

    Posted via the PriusChat mobile app.
     
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  3. bisco

    bisco cookie crumbler

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    no wonder toyota moved hq there from cali, black gold.:cool:
     
  4. bwilson4web

    bwilson4web BMW i3 and Model 3

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    Longitude and latitude?

    Bob Wilson
     
  5. bisco

    bisco cookie crumbler

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    just north of magueritaville.:cool:
     
  6. bwilson4web

    bwilson4web BMW i3 and Model 3

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    Works for me, a buyer.

    Bob Wilson
     
  7. Tideland Prius

    Tideland Prius Moderator of the North
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    Also SUVs and trucks have large profit margins (both for the manufacturer and dealership).

    Is a base 2WD RAV4 really $10,000 more vehicle than a base Corolla CE?

    Is a base Highlander really $10,000 more than a base Camry L?

    This is based on MSRP and not actual manufacturer cost.

    (top models have larger differences).

    The trucks are the ones that funnel the profits for R&D on other vehicles (hopefully hybrids and BEVs).


    Some of you may recall the joke from the mid 2000s where full size SUV owners would claim "thanks Prius owners for saving more fuel for us to burn". The reciprocal would be "thanks for buying the full size SUV and funding R&D for hybrids".
     
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  8. Old Bear

    Old Bear Senior Member

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    According to a March 15th Forbes story about Ford's announced plans for the future:

    Ford Teases New Green SUV Lineup, Aiming To Surpass Toyota As No. 1 In U.S. Hybrids

    Most intriguing is a new four-door, Mustang-inspired, electric performance utility with a 300-mile battery range.

    Ford is adding hybrids across the entire lineup, including vehicles as diverse as the Mustang and F-150, both as a hedge against higher fuel prices and a way to meet stricter CO2 guidelines. By 2021, Ford said it will sell more hybrids in the U.S. than Toyota, the current hybrid leader.

    “We’re moving past hybrids as a science project,” said Farley. “It’s become an accepted, reliable technology and we’re going to make it as desirable as an EcoBoost engine,” Consumers have fallen in love with the size and flexibility of SUVs, he said, “but someday, we expect fuel prices to go up.” By giving them the choice of hybrid SUVs, Ford hopes it won’t face a rapid shift back to small cars as it did during the last spike in fuel prices.
    So, it would appear that the new holy grail is the plug-in hybrid SUV. Who knew?

    plug-in-tank.jpg
     
    #68 Old Bear, Mar 15, 2018
    Last edited: Mar 15, 2018
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  9. Tideland Prius

    Tideland Prius Moderator of the North
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    You mean a hybrid/PHEV/BEV SUV would sell better than a car? who knew? lol

    RAV4, Outlander PHEV and Model X seem to perfectly illustrate that. (There's already an Outlander PHEV on my block and I've seen a few others around town)
     
  10. bwilson4web

    bwilson4web BMW i3 and Model 3

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    I remember similar talks when I was employed. Strong on the goals and light on the objectives. But I also remember Ford did not go bankrupt in 2008. Ford's technical foresight includes aluminum in their pickup trucks and more than one, hybrid electric. So I'll give them more credibility than some.

    Bob Wilson
     
  11. Trollbait

    Trollbait It's a D&D thing

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    Their pick ups, by sales, are the real cash cows.

    Its renamed Explorers with some Tauruses here.

    For plug-ins, or the car for police vehicles? I've seen both here.

    No, Ford was going bankrupt a few years before. They took loans out against nearly everything they had, including the Ford logo, in order to stay in business. They also cut Mercury at the time. Getting back on their feet is what has delayed their hybrids and other technical advances; rumor had the Fusion getting the Ecoboost engine two years before it actually happened.

    If their crisis had happened later, we would have been bailing them out too. Part of the problem facing GM and Chrysler and many businesses was that the banks had stopped lending. Even after we bailed them out.
     
  12. bwilson4web

    bwilson4web BMW i3 and Model 3

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    And then:
    Kinda negates the "No, . . ." don't cha think given Ford never had to declare bankruptcy and appeal for a Federal bailout.
    I'm pretty sure the GM and Chrysler actual bankruptcies involved some significant changes in their businesses.
    Ford had liquidity to meet payroll and supplier bills.

    Bob Wilson
     
  13. Trollbait

    Trollbait It's a D&D thing

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    Killing off a car brand is not a minor undertaking. Neither is selling off Jaguar, Land Rover, and Volvo. Selling off about two thirds of their stake in Mazda was easier for Ford, but still a big step(and likely a boon for Toyota).

    Without the ability to get loans, Ford would have failed. That would have been the case if they needed them in 2008. Ford was heading for a crash like GM and Chrysler. Whether they were closer to it or saw what was coming isn't important. What is is that they made the turn around, and were climbing up before the Recession hit.

    Ford didn't declare bankruptcy, but if they had to take the steps they did to save themselves when the crash hit, they wouldn't have made it.

    I've owned Fords, and may do so again. I hope they do offer Toyota stiffer competition on the hybrid front. My bet is on them for full size truck and SUV hybrids being successful. But admiring them for avoiding bankruptcy is misguided. Different leadership, and it could have easily been them needing a bail out and not GM.
     
  14. bwilson4web

    bwilson4web BMW i3 and Model 3

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  15. pilotgrrl

    pilotgrrl Senior Member

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    I've never owned an American car. They weren't reliable the first time I was in the market. After the SAAB, I had an unremarkable Honda, then turned to Toyota.

    I've stuck with Prius for my last two. Dependable, reliable, safe, eco-friendly, great driving experience. They've been hassle-free for me.

    Posted via the PriusChat mobile app.
     
  16. Trollbait

    Trollbait It's a D&D thing

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    SAAB could have been an American depending on age. Or a Subaru.
     
  17. pilotgrrl

    pilotgrrl Senior Member

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    Still made by trolls in Trollhätten when I bought mine

    Posted via the PriusChat mobile app.
     
  18. bisco

    bisco cookie crumbler

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    police. or challengers, i don't know the diff. i did see some tesla chargers tonight in the hotel complex in rocky mount, nc. great placement for i-95 travelers.
     
  19. SteveMucc

    SteveMucc Active Member

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    Bring back the Daisy Dukes!
     
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  20. Wolfie52

    Wolfie52 Senior "Jr" Member

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    Tesla has made NO MONEY on their operations. The only way they have reported a small profit, was with to a bookkeeping "maneuver"

    Their business model is based on subsidies and kickbacks (via gov't). Their investors "hope" for future profits, but as some (rightfully) point out, the gov't shouldn't be picking winners and losers. They haven't made an honest red cent of profit. If my business went on this long depending on loans, government largess and investors, without making any real money...I would be relegated to to the dustbin of the business world.

    And I would never put a deposit on a car they can't produce in a decent amount of time, not to mention- you can't drive. They depend on people with Dunning-Kruger syndrome..just sayin.

    From this year (2018!) "...After reporting largest quarterly loss in a long history of losses, Tesla..." need I say more...it is always "next quarter/year."

     
    #80 Wolfie52, Mar 20, 2018
    Last edited: Mar 20, 2018
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