GM #1

For the last 73 years GM has been the worlds number one automaker. They sold about 9million car last year. There is a caveat, their trend is moving in the wrong direction. Growth of sales and market share is barely upward. Its main competitor in this field, Toyota, is expanding every single year. They are now the number two carmaker worldwide and want to surpass GM by 2008. To do this is a very aruous task, yet look at how far they have come so far. Last year GM made only 1.9billion dollars from car sales, while Toyota made over 16billion from car sales. Their methods and research are on the forefront of technology and innovation. To me, this is a very likely scenario. GM responds with "well, we've been on top for 73 years, and will probably be there for another 73." That sort of arrogance and lack of motivation is what has held the company down for years. The benchmarked company will be surpassed, and GM will have to regroup and restructure in order to be the worlds number one car maker.

SUV's gone mad

With all the talk of high gas prices and the like, you think people would stop wanting the big SUV type trucks?? Well, the answer is yes and no. Minivans are still 'uncool' and only to be driven by soccor moms and dads. The Hummer and Suburbans are often to 'truckie' for people who want a powerful, roomy and prestigious ride. What is left?? Well, the new segment of crossover SUV's are flooding the market. Upscale carmaker, Porsche introduced the Cayenne, and it now accounts for over half of total Porsche sales. BMW has the X5, Lexus the Rx330 (and the new hybrid Rh400). Volvo and Mercedes have had a crossover SUV for years and rumors are spilling about a possible Jaguar vehicle. These 'trucks' are roomy, big, powerful, loaded with gizmos and gadgets, yet are built in a unibody manner. While most big trucks and SUV's are body on frame construction, for added durability and towing capacity, but this is rarely used for the average buyer of an Escalade or Denali.
Porsche recently topped the market with a 450hp twin turbo Cayanne Turbo, that ran to 60mph in about 5 seconds (the usual sports car benchmark) and was electronically limited to 155mph, but would go faster. Well, the ante has been upped another level. Bentley, the supercar luxo-barge maker has introduced a vehicle that will cost around $160,000-$200,000 and be powered by a VW 12cyl producing around 550hp. They expect to make and sell 2000 units a year. Looking slightly like the Infinit FX 45 with a Bentley grill, expect luxory performance, with SUV people hauling capabilities. When will it end? who knows....is Ferrari next for and SUV????

Pedestrian Accidents

In Europe 30% of all automobile fatalities are caused to pedestrians getting struck by vehicles. Even in the US, where it seems EVERYONE drives EVERYWHERE, 15% of all traffic fatalities are to pedestrians. As a result, the EU has mandated that new cars (to be fully phased in my 2010) be able to hit a pedestrian at 30mph, and in general, have a sufficient design as not to kill them. This presents a challange similar to that of the 1970's in the US, when automakers were regulated to have 5mph bumpers on their vehicles. The designs of new cars are aerodynamic, and tailered to the driver and passangers. This new law will not only affect cars in the EU, but also in America, as it is too costly to develop two different versions of the same vehicle. Sports cars and Minivans are two of the toughest segments to make this work. As of now, companies have been raising the hood approx 3" off the engine to provide a crumple zone for a pedestrian body. Jaguar is taking a technological approach by having a hood that rises on impact, and would possibly deploy an airbag outside the car. This all seems kind of ridiculous, and nobody wants to see a new version on the 1970's chrome bumber reappear (the best idea designers/engineers had to make a car sustain a 5mph crash). Perhaps in the short term design my suffer, but as technology improves and this becomes the new standard, engineers and design teams will figure out possilbe ways to have pedestrian safe cars that are stylish.

c6r

c6r
Originally uploaded by Mantle107.

This is the race version of the upcoming C6 Z06 Corvette. Many of the features are shared between the two platforms, and at the NY Auto Show they had both on display. The production Z06 will have 500hp and 500lb-ft of tourque. Sounds extremely familiar to the new Dodge Viper which has the same output numbers. Relativley speaking, the new Z06 will be a racecar for public sale. Expect pricing to be upwards of 65G yet lower than the Viper's 80G pricetag. As more info is available I will keep you posted.

M3 Driving School

M3 Driving School
Originally uploaded by Mantle107.

Although Germany has the Autobahn (a world reknown stretch of road with no speed limit) they have lower per capita accident and fatality numbers than the United States. This can be attributed to many reasons. Mainly, their liscensing regulations are much tougher than the United States, and they have to prove they maintain their driving abilities as they grow older. Also, many of Germany's drivers attend driving schools to help them handle cars in appropriate manner. The photo above is a driving school offered by BMW USA. It teaches evasive maneauvers and how to handle a car at its limits of speed and traction. Very helpful. Perhaps 55mph speed limits is not the answer, rather more educated drivers on the roads will help.

Hybrid Cars

The recent high gas prices have spawned new development into Hybri Cars. Toyota, currently on the forefront plans to sell 300,000 hybrid cars before the end of 2006. Currently they have two massed produced models available for sale. The Toyato Prius is a compact sedan with a gas and electric engine estimated to average around 50-60mpg. They also have the Lexus RX400h (hybrid powered with gas/electric motors) as their SUV/Crossover available in this energy saving format. By 2010 Toyota has two goals. 1) have a hybrid choice for every model line they sell, and 2) to have sold more than 1million hybrid vehicles. This seems ambitios, yet attainable, as Toyota spends billions a year on reserach in this field

Gas Prices Sky High??

Many people and industries are complaining of high gas prices. However, as anyone looks at the prices of a good, it must be adjusted for inflation. Using simple calculations, the price of gas has not risen as fast as many other goods and services. Everyone knows about their parents talking about a slice of pizza and a coke cosing 35cents. Do we complain that the average price of one slice of pizza is now $1.75?? Generally, we dont. The issue arises because as Americans, we have been spoiled with comparatively low gas prices. Europe has been paying over $3-$4 per liter for years already. America has just basically caught up to rising gas prices world wide. Comparatively speaking, gas prices are no higher than they were in the 1980's (after adjusting for inflation) and are relatively lower than the gas prices in the 70's when we went through a gas crisis. All this however does not mean people shouldn't care about these prices. Hummer H2 sales are off 17% from last year ( a SUV that gets approx 9mpg on a good day). SUV sales overall are down, and comsumers are switching towards 'crossover' vehicles. Be careful not to call them station wagons, because some PR guy from Mercedes or Cadillac will jump down your throat to clear up the differences. Bascially, they are raised stationwagons with lots of features. Some examples are the new Mercedes M-Class, the Cadillac SRX and the Audi Allroad. As gas prices continue to rise and travel becomes more expensive, people will switch to more economical cars. I do remember one thing that my grandfather told me years go. "If you cannot afford the gas, then you can't buy the cadillac." That makes me wonder why people who can spend $60,000 on the Escalade or Hummer are complaining??