Wal-Mart says 'auf wiedersehen' to Germany

Discussion in 'Wall St. News' started by Optionpro007, Jul 28, 2006.

  1. My feeling is that it's difficult to make a persuasive argument for protectionism being a factor in the lack of success of the US auto industry overseas, because nobody other than Americans even tries to buy US autos. By "US autos" I mean cars designed and built by US companies for the US market, not cars from companies (such as Saab or Jaguar) where owner may be American (e.g. GM) but the company is clearly not. Honda makes cars in the US and for the US market but the approach to design and manufacture is Japanese through and through. Renault owns a chunk of Nissan but that doesn't make Nissan French; it's still very much a Japanese company.

    What this means is that you'll see the odd Hummer or Grand Cherokee rumbling about in Europe or Japan, but the volumes are tiny. Why is this so? My guess is that this is because US cars (using the above definition) are built very much for the US market and make no allowances for other regions. Take a Lincoln Town Car or whatever those things that the NY limo companies use are called. It's roomy inside, yes. It's also a bulky, thirsty, car that wallows horribly and has a cabin made from cheap plastic and fake chrome. Americans no doubt have good reasons for liking this kind of car: cheap(er) fuel prices; plenty of internal space for those, ah, larger citizens; the assumption that roads will wide and straight and will not require sophisticated suspension; a cultural preference for a lower price tag rather than a pretty interior.

    On the other hand, nobody outside the US chooses one of these over an Audi or a Mercedes or even a VW outside the US. The question of "value" would be irrelevant for most Europeans in this case - a couple of thousand dollars difference in price (which is what import duties in theory might cost a buyer) would not matter. Nor would it matter in Japan. Different cultures really do perceive these things differently, which may be hard for some people to accept, especially those with relatively little experience of other cultures. If you don't accept that other cultures tend to have different priorities, the tendency is to start looking for other explanations, like protectionism.

    In my not-so-humble opinion, The US does many things well relative to other countries. Cars are not included in this category. The only exception to this rule is Ford, which has for decades been using international designers to tailor cars to local markets. Cars like the Mondeo and Focus are certainly competitive in Europe, but then nobody regards them as "American" cars. I visit the US frequently but I couldn't name a family sedan made by a US company. I'm sure I must have seen hundreds but all I remember seeing is trucks. :)

    As for quality reviews, one thing to bear in mind is that many of these are based on problems reported by the customer. As you can imagine, the more expensive the car, the less likely the customer is to ignore something he perceives to be an issue. The expectations of a BMW owner are very different to those of somebody who buys a $15,000 entry level car. In absolute terms the quality of the BMW is probably significantly higher, but if the owner is dissatisfied with (say) the feel of the leather on the steering wheel he's likely to tell researchers that it's a problem when they ask, while the driver of the $15,000 car probably would not even mention it. So this might in some cases lead to the overstatement of "problems" in ALL higher-end cars, which is a market currently dominated by the Germans. (This is not to say that they don't have real problems as well, such as the well-known Mercedes electrical gremlins.)

    Suss
     
    #31     Jul 30, 2006
  2. bsmeter

    bsmeter




    The same way Americans today got into Bush. The first time the guy was'nt even elected by the majority. The second time he had to play up the fear card and use electronic machines. Like the counties with 500 registered voters providing 5000 votes for the Republican candidates!! LOL :D
     
    #32     Jul 30, 2006
  3. Indeed German cars suck.
    That's why BMW has such a strong sales.
    All the new rich in Asia want to drive BMW or Mercedes. And in the US the second best sold car in the luxury class for 2005 is, according to Forbes, the BMW 3 Series ( the better models are probably too expensive for the Americans).

    None of them probably know that they bought garbage.

    :D
     
    #33     Jul 30, 2006
  4. It's interesting that some of the European criticisms of Wal-Mart are that they use Chinese slave labor.

    I lived in China for 13 months during the 1999-2000 time period and had opportunities to travel throughout the country. I dare say that I saw more German manufacturing plants in China than American ones. Stay in any of the major hotels in Shanghai, Beijing or Nanjing, and half of the people there are German manufacturing executives.

    I do not know where their products are being sold in the world, but I find it had to believe that these products are not making their way back to Germany.

    Charles
     
    #34     Jul 30, 2006
  5. This "German" thing reminds me of few German jokes...


    Q: Have you heard about the new German microwave ?

    A: It's got ten seats inside.


    Or how about this one?


    Why didn't Hitler drink vodka?

    It made him mean.


    Or this one?


    Three guys are debating about which of their languages is the
    most pleasing to the ear.

    The Spaniard says, "Consider the word for 'butterfly'.
    In Spanish, this is Mariposa, a beautiful sounding word."

    The French guy says, "True, but Papillon is even more beautiful".

    "What's wrong with Schmetterlink?", says the German...


    :) :p :D
     
    #35     Jul 30, 2006
  6. AK100

    AK100

    See, that just sums up the MO of many Americans.

    To think Europe is boring is nothing short of an imbecilic statement.

    So many different cultures, ways of thinking, ways to doing things, buildings, history, idiosyncrasies etc. Important in my view to see how others live and think, that’s why I’ve spent a fair few holidays in the US .

    Met some fantastic American college kids in Cambridge last night. They were having a great time, loved everything, were pulling the girls, getting pissed and broadening their outlook on the world before they headed home to enter the Marines.

    That's the way to do things in my book rather than become ever more isolated........
     
    #36     Jul 30, 2006
  7. Unfortunately this isn't something you can change through argument. Words don't help change minds as closed and as lacking in inter-cultural experience as the one belonging to the person who posted that comment. A Canadian friend of mine suggested that this was a natural consequence of living in a really, really big country. You tend to think you've seen everything there is to be seen, when really you've just seen dozens of minor variations on one theme...

    The other important thing is to not assume this person is representative of his country. Everywhere there are people who are full of curiousity and open to new experiences. You met some last night!

    Suss
     
    #37     Jul 30, 2006
  8. great post.

    there are narrow minded people on both sides of the pond...

    and there are great open minded gracious and hospitable people on both sides too..


     
    #38     Jul 30, 2006
  9. No Offense taken (I am German), the vodka joke is great!

    I hate a lot of things in germany, a lot of narrow thinking here, nevertheless I love germany for a lot of good reasons, hey it is my home and we had a great world cup ;-)

    I have been in the US for a longer time and really loved it over there, very, very friendly and positive people (I have been to Denver, Boston and Minneapolis for longer time periods), nice freeways, a lot of people can afford a house (at least much more then in germany), huge country, people have a good spirit, 24 hour shopping, I love starbucks (and hate to see it that it is not in every city here!).

    I think the US can do a better job in energy consumption and I do not like bush (but I loved clinton).

    And I trade in the US, even I live here in Germany and the market gives real good opportunities.

    Another thing (this sounds pathetic, I know!): You saved my parents in 1945 and freed my country from the nazis and after that protected us from communism and taught us democracy!
    60 Years ago we were in the dirt and you helped us out, it is a bloody simple as this!
    We did a good job the last 60 Years, though we could not have done it without help!

    So I am rather thankfull! That does not mean I like everything that the US does or produces, but that is not the point.

    SO PLEASE DO NOT LISTEN TO THAT (PSEUDO LEFT WING) GERMAN IDIOTS THAT BUY CHEAP PRODUCTS AT ALDI AND AT THE SAME TIME THEY LAMENT ABOUT SLAVE WORKERS in China.

    TO ALL PSEUDO LEFT WING GERMAN IDIOTS:

    WATCH

    "SAVING PRIVATE RYAN"

    AND THEN FOR GOODS SAKE SHUT YOUR MOUTH, GO FISHING AND EAT DIRT!


    Dr. Andreas Himmelreich alias Judgejimmy
     
    #39     Jul 30, 2006

  10. For some balance, here are a few American jokes...:p


    Q: How can an American be certain that the car he's just bought is actually new?

    A: When it's recalled by the factory.


    Another one...


    Q: What do Americans call a TV set that goes five years without need of repair?

    A: An import.


    And one last one:


    Q: Why do American 18-year-olds take sex education courses?

    A: So they can learn what they've been doing wrong for the past five years.


    :) :p :D
     
    #40     Jul 31, 2006