Did The Germans Waste Too Much Time Focusing On Lexus When They Should Have Been Targeting Tesla All Along?

Did The Germans Waste Too Much Time Focusing On Lexus When They Should Have Been Targeting Tesla All Along?

BMW, VW’s Audi and Porsche, and Mercedes have invested huge sums to produce plug-in hybrid electric vehicles, but one German expert believes this is a big mistake, and Tesla Motors’ all electric approach is already eating into their high-end sales.

According to Professor Ferdinand Dudenhoeffer, director of the Center for Automotive Research (CAR) at the University of Duisburg-Essen, not only have the big three Germans wasted money on the blind-alley of plug-in hybrids, they are losing sales in the most profitable end of the luxury market to Tesla. Rich people who have formerly bought the flag-ship Mercedes S-Class, BMW 7 Series and Audi A8 are turning to the Tesla Model S.


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TheSteveTheSteve - 8/25/2015 11:35:49 AM
+4 Boost
Forgive me for my possible naïveté, but it appears to me “the Germans” are doing quite nicely, thank you! The top three luxury car makers are (in alphabetic order) Audi, BMW, and Mercedes. Do you believe they were “wasting their time” as they got to the top? Do you think they should have got there faster? Do you think EVs will be top dogs soon and the German brands aren’t positioned well to stay on top?

I’m of the opinion that they’re doing just fine, thank you very much :-)

Just look to the unit sales numbers, Income Statements (profit and loss), and Balance Sheets (assets and liabilities) of “the Germans” and compare that to the poster boy Tesla cited in the article, and you’ll notice that even though the German brands may have wasted a lot of money on dead-end alternative energy schemes (like hydrogen), they’re still healthily in the black and on solid footing. The same can’t be said for Tesla.


TomMTomM - 8/25/2015 3:47:36 PM
+3 Boost
Sorry - but Tesla has yet to make a profit - and unless something changes - I see them taking in a lot of Model S trades for those SUVs they are going to make - and that will eliminate the high profit there.

No Auto Company could have predicted the economic conditions that ended in the tanking of oil prices - It was almost a perfect storm. And as a result - people are not buying Hybrids in great numbers - because they don't have to - so they are buying 4x4s. However - they ARE the future of the Auto - not EVs. People still want the ability to go on long trips without losing time to find a charge station to charge their car. And that is where the Hybrids have the advantage. Charging is an option you have. OR You can run on Gas.

But none of that means anything when the price of oil is lower than it was 10 years ago. And until the current glut of oil - which will only get worse when Iran starts pumping again and Iraq oil reaches the market too - and the Canadian oil reaches a port - starts to ebb - in maybe 10 years or more - which is how long I believe we will have lower prices for energy - people will simply not buy any of these things. And that gives the GERMANS - a chance to introduce THEIR Tesla competitor. I do not see a good future for Tesla


grascykurtinegrascykurtine - 8/25/2015 11:48:59 AM
-3 Boost
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TheSteveTheSteve - 8/25/2015 1:51:54 PM
-1 Boost
^^^
FYI, SPAM :-(


Dr550Dr550 - 8/25/2015 3:48:24 PM
+2 Boost
I think BMW should have concentrated on a i5 sedan and a iX3 SAV rather than the i8. Too much time, talent, and money spent on the i8.


GMCadillacGMCadillac - 8/25/2015 7:12:39 PM
+2 Boost
They focused on Lexus? Oh, please. Give me the "name" of a Lexus car that has set the standard in anything.

The only thing that came out of Toyota/Lexus is

1. Sudden acceleration problems
2. Reliable appliances

And...can't really think of anything else.

In fact, many of uneducated Japanese wish to think their automakers rule the world (Which is just purely laughable lol this is like saying Tata is the best automobile company in the world), when in reality, they are nothing but garbage producers.


MDarringerMDarringer - 8/25/2015 7:16:19 PM
+1 Boost
In a word...NO. Tesla has literally no game-changing technology that the Germans don't already have and can deliver.


vdivvdiv - 8/27/2015 5:54:53 PM
+1 Boost
The problem is they are too scared to do it as it will render their whole ICE preoccupation as obsolete. The proof is in the pudding, if the Germans really have it and can deliver then let's see it.


HughJassHughJass - 8/26/2015 4:11:27 PM
+1 Boost
Nope. It doesn't take much skill to put a car together with current off the shelf technology and still lose $15K on a $100k+ vehicle.

Question is which company will buy Tesla when they run out of money after Christmas?


vdivvdiv - 8/27/2015 5:59:37 PM
0 Boost
Tesla just reaped $738 million from an equity offer and the share price went up after it was diluted. Which car company can pull 3/4 of a billion dollars out of thin air?


Current off-the-shelf technology?! As in it existed somewhere else? Where? And if it's so easy why aren't the Germans doing it?


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