Last post on Nov 25, 2013 at 11:27 AM
You are in the Sedans
What is this discussion about?
Lexus GS 430, Acura RL, BMW 5 Series, Volvo S80, Audi A6, Infiniti M35, Infiniti M45, Mercedes-Benz E-Class, Cadillac STS, Sedan
Aug 24, 2006 (7:28 am)
Two of my friends went from German to Japanese cars. One, had an Audi 5000S, the other an E Class Mercedes. They both said, visiting rights at the repair shop just didn't cut it. They both switched to Acura, one the RL one the MDX. They don't know each other as far as I can tell.
One is a PhD in Chemistry (Proctor), the other a CEO of a regional software company here in Porkopolis.
When I ask them, they say their German cars were "better" -- but so unreliable that they just "gave up" on the notion of having another.
What was that guy's name, Demming? Yea, now wouldn't it be something if the Germans (and the Americans for that matter) could adopt Demming the way the Japanese did?
Of course I read a BW article that said,"no matter what" the Americans simply have a legacy of retirement benefits to fund that is like an anchor around their ankles and they are in pretty deep water (or something to that effect.)
Hmm, the Germans seem (with 2 Germans in our garage, one Audi and one Bimmer) to have much higher quality NOW than even back in 2003. Maybe they read one of Demming's books or something.
#8192 of 10348 Re: I still [markcincinnati]
by kyfdx@Edmunds HOST
Aug 24, 2006 (7:45 am)
#8193 of 10348 Re: I still [cstiles]
Aug 24, 2006 (9:03 am)
At its core, Honda is a relatively small company without the resources of a GM, Ford, Toyota, or even Nissan and DC. When evaluating Acura, it's important to understand it in the context of what it has to work with. As long as Honda chooses to remain a relatively independent company without the overt financial alliances of the other bigger fish, it won't exactly be able to do everything it may want to do with Acura.
That just isn't true. Honda Motor Company is a very heavy hitter. They are the second largest auto company in the world by market cap, 62B to Toyota's 180B. Here's how the major auto makers rank.
1. Toyota - 180B
2. Honda - 62B
3. DCX - 53B
4. Nissan - 49B
5. BMW - 34B
6. VW AG - 31B
The idea that Ford and GM have loads of cash to throw around and Honda is a "little guy" is simply rediculous. Ford and GM are small fries, 12th and 15th place by market cap. Additionally, Honda is the second most profitable automaker in the world, raking in a cool 5B in net income on 85B in revenue, compared to Nissan's 4B on 74B in revenue. DCX, GM and Ford have twice Honda's revenue, but none can come close to matching Honda's profitability.
The truth is simply that HMC is extremely conservative. Much more so than Toyota. They can afford to do whatever they want, but the word "risk" is just not in the Honda dictionary.
Aug 24, 2006 (9:54 am)
#8195 of 10348 Follow-Up Test:BMW 550i From Edmunds
Aug 24, 2006 (1:26 pm)
As a proud lessee of a 2005 BMW 545i, I see that Edmunds got it right:
"New engine, new name, the 545i becomes the 550i, but the car's personality remains the same. A drive in the 550i is an experience of quality, satisfaction and exclusivity."
Yup! Pretty much what I have found driving my 545i over the last 13 wonderful months.
Thank you BMW!
What puzzles me is why anybody out there would choose any LPS other than a BMW?
Another one of life's unsolved mysteries, I reckon.
#8196 of 10348 Re: Follow-Up Test:BMW 550i From Edmunds [hpowders]
Aug 24, 2006 (1:51 pm)
Um, maybe because not everyone has your exact set of priorities, needs, wishes, beliefs and such?
Anyway, for those who would like to read it here's the link the article you quote: Follow-Up Test: 2006 BMW 550i.
#8197 of 10348 Re: I still [lexusguy]
Aug 24, 2006 (1:56 pm)
Ford's and GM's market cap is explained by their battered stock price. They are not #12 and #15 in relative size, vs. Honda's #2. GM is the 3rd largest corporation in the world, and Ford is #4, based on revenues. They dwarf Honda in terms of revenues and units (although they may not be making money on those units).
Honda is the #1 manufacturer of motorcycles in the world, and sells a variety of power products and engines. In 2005, they sold 10.5 million motorcycles, 5.3 million power products, and 3.2 million cars/trucks. They recently announced production of small airplanes and aircraft motors. They more resemble GE than they do GM.
In terms of luxury performance cars, I would still maintain that they are a relatively small player, and significantly smaller than Toyota/Lexus and the Big 3. If the LS were to fail, it would be a disaster for Toyota. If the RL fails, Honda can twitch a little, but eventually move on without losing too much sleep (assuming Honda execs don't read the opinions on this LPS board). (Joke)
But agree with Lexusguy that such "smallness" is driven by conservatism, independence, and product range beyond automobiles.
Honda announced that in 2008, they will be expanding the Acura brand into Japan.
#8199 of 10348 Re: Follow-Up Test:BMW 550i From Edmunds [hpowders]
Aug 24, 2006 (2:12 pm)
I can think of a number of reasons. But that certainly doesn't mean your choice is any less appropriate for YOU!
I am delighted to hear that you are delighted, in fact!
Aug 24, 2006 (2:30 pm)
I have read and heard is that Honda/Acura is a small but very profitable company. I hope they can get some platform/driving dynamic things worked out. I really doubt it's a budget problem. I think it's more of an entrenched mentality that says if it ain't broke [financially speaking] then don't fix it.
Anyway, welcome any new posters. [or maybe just new to me]
Viva la RL[He says to himself in his tiny little head ]