Discussion in 'OT Driven' started by Redline Racer, Mar 18, 2005.
Courtesy of Autocar
Bleh. Why do so many car companies these days insist on getting into areas outside of their core competency?
Why? Money. Porsche made gobs of it with the Cayenne.
Core competency or not, the Cayenne is fairly decent, but more importantly, it brought in plenty of $$$. That's reason enough to venture out again.
of course money
I hate the people who think life should revolve around them. Most of the people hating on it are people that don't even own porsches and probably never will.
Capitalism... it's for the money. That will never change... and in the end it usually works out for the best.
Honestly, I like the look of it.
But you really wouldn't be able to tell the different from the rear between that and a CGT.
not enough people watch a one trick pony for too long. you guys act like this is some sacred artifact. its a business just like any other, and theres nothing wrong with that
What planet do you live on? The Cayenne has been a financial nightmare. They are begging people to buy them where I live. And I happen to like the Cayenne
Cayanne interiors are
You got me before the edit.
You're probably basing that off Cayenne sales in your locale. Some areas don't seem to take to the Cayenne and there has been some discounting taking place. Other places...not so.
Here's a bit of text off Forbes' website:
Apart from the introduction of the new Carreras, Porsche's lineup is changing in other ways. The company introduced an overhauled Boxster convertible last month at the Paris Motor Show, and Porsche's superb Cayenne sport utility now outsells its sports cars. (Much to the chagrin of many Porsche aficionados, who protested the apostasy of a Porsche SUV, but much to the delight of company executives, who have seen their big gamble pay off in spades.) For at least ten years, the company has been talking about the possibility of adding a four-door passenger car to its lineup. Schwarzenbauer said he wants a fourth model line as soon as possible, and his dealers feel the same way.
It's also true that sales of Cayenne are slowing, although there's debate over whether this is because the market itself is softening or because the Porsche faithful are saturated now, and new buyers are not looking at the Cayenne.
Here's a link to the BBC website which basically explains the rationale for Porsche's expansion strategy -- basically, why they feel they must step outside their "core competencies" and into SUV & four-door territory.
At the heart of the Porsche revolution is its Cayenne sports utility vehicle (SUV) which is widely hailed as the company's saviour.
The Cayenne hit the ground with its wheels spinning in December 2002, and the sporty truck has roared ahead ever since.
And this, insists Porsche, helps make up for sliding sales of its two other models, the 911 and the Boxster, which compete in the forever volatile and increasingly competitive sports car market.
"It was mandatory for Porsche to build a third leg to be able to balance that kind of volatility... and put the company on a solid growth basis, because we have to grow to stay independent," Porsche's marketing and sales director Hans Riedel told BBC News Online.
It seems their plan is to accept lower profit margins in return for rising volumes in the belief that this will lift the car maker's overall return.
"We are not a big player, but we have become a substantial player," said Mr Riedel.
By raising the number of Porsche's sold to 100,000 per year - from less than 50,000 cars before the Cayenne's arrival - the car maker could add double digit percentages to its already lofty profit figures.
Budget-priced Cayennes are bound to be popular
Porsche is already said to be the most profitable car company in the world, so the financial nous of its management seems hard to fault.
Indeed, even the recently crafted Cayenne which cost a fortune to develop is already profitable - essentially because the development cost was absorbed by its balance sheet even before the SUV was unveiled.
Porsche's dilemma is this: Unlike its main competitors, it has no large parent company to bail it out: Ferrari is backed by Fiat, Aston Martin by Ford and Lamborghini and Bentley by Volkswagen.
As such, growing into an automotive firm that serves a much larger market might serve an important purpose: It could safeguard Porsche's independence.
the cayenne is HALF of all new Porsche sales. i can't tell you how many people i've met that have told me how their skepticism changed to amazement the first time they dove their turbos
Looks like george was shot down before I could get here...
Those of you who complain about cars like this not being a "real Porsche" need to re-examine Ferdinand Porsche's vision for his company.
Again, I said I like the Cayenne....always have. They just don't seem to be selling as well here as other places. This new 4-door though.....eh.
Well, sure, but Cayenne did exactly what it was supposed to do: make money for Porsche. They can't make some of the greatest sports cars in the world without it! 911 and Boxster just don't sell well enough for them to keep pursuing their future endeavors. Porsche's always been ambitious.
Cayennes are a dime a dozen in the Northeast.
I happen to like this new 4-door model. Though I think Porsche should up the anti and put a a V12 in the more powerful one.
Anyone have pics of the front? I couldn't find any.
The latest from AMuS:
you know, i think it sucks as a porsche employee that we're the last ones tohear about this kind of stuff. but its been like that for every brand ive been with so, oh well
Hmmmm........the first pic looks to have suicide doors in the rear but this one looks normal.
Yeah, I can't tell which one is more accurate...the date on the AMuS article from which this picture came is dated the 14th of this month, but there is no date on the Autocar article.
The Autocar article was posted on the website Tuesday 15th. Was featured in the magazine in the issue released on Tuesday 8th.