Geely deal to buy Volvo on the rocks?

  • Thread starter Thread starter sjmmail2000-247
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Although previous reports indicated Ford's plan to sell its Volvo brand to Geely was progressing as scheduled, a new report suggests the deal has hit a bump in the road. Geely's chairman has revealed his company's plan to acquire Volvo has "hit a snag." While Li Shufu - chairman of Zhejiang Geely Holding Group - [...]
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The problem with these companies is they all refer to a car make as "the
brand", to them a car company is nothing more than a brand name and some
other intellectual property, and it's as if they pay a lot expecting the
"brand" of expensive cars to produce a lot of profit. In reality, a lot
of these cars are expensive because they are well designed and well
built cars that cost a lot to make, and the reason people buy them is
because they are well made, not because they are loyal to the name glued
on the back.
 
James said:
Although previous reports indicated Ford's plan to sell its Volvo
brand to Geely was progressing as scheduled, a new report suggests the
deal has hit a bump in the road. Geely's chairman has revealed his
company's plan to acquire Volvo has "hit a snag." While Li Shufu -
chairman of Zhejiang Geely Holding Group - [...]
Read More:
http://feeds.leftlanenews.com/click.phdo?i=9bd8e39c8bc429c3da160ddff6ee5714
Click to expand...


The problem with these companies is they all refer to a car make as "the
brand", to them a car company is nothing more than a brand name and some
other intellectual property, and it's as if they pay a lot expecting the
"brand" of expensive cars to produce a lot of profit. In reality, a lot
of these cars are expensive because they are well designed and well
built cars that cost a lot to make, and the reason people buy them is
because they are well made, not because they are loyal to the name glued
on the back.
Click to expand...

I know what you mean, but I don't really agree. People are not that
discerning, the people that buy new Volvos are doing so because of
fashion built on the reputation from the RWD cars, but not the current ones.

Volvo like many other bands have been divesting their brand, not enough
people wanted to pay the premium for a car that lasted 20 years.

Volvos are even more fashionable now because;
A. They USED to be reliable and tough
B. They are now cheaper
C. They now look nicer and more up to date
D. They have a safety reputation that has been maintained but probably
only because its mandatory.
 
tell me about it! i have only ever purchased Volvos & fords don't
count. luckily Volvo AG & Saab have joined forces to build my next
vehicle -- a Grippen.
 
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