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The KL,

And it will sell well, compared to the Fiat. They would have been better slap Chrysler on the Viaggios instead of Fiat.

Contrary to what one might think Chinese consumers are fond of American products. Fiat is not well reps or thought of. Cheap Italian cars would be the common vision.

But Jeeps now they really like them, Guy came up to me with his brand new Compass, was so proud, Yeah American car, sturdy and durable I really am happy with it.

The KL minus all the import taxes will sell really well.
 

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No, you won't bait me into discussing a version of "Moving Jeep production to China."! (When did that come up nationally---about a year ago?) Hmmmm....

Over the past three months, I had occasion to speak with three different groups of mainland Chinese---mostly younger, mostly of what we here call of "Millenial" age. Guess what? They love "SUVs", especially the "Jeep" brand. Guess what else? They love the swoopy, "spikey-but-smooth" look of vehicles like the new Cherokee. Ths is in line with what I've heard from vehicle industry insiders about the "KL looks testing well in China."

Their middle class alone numbers about 300 million--- about the whole population of the U.S. A lot of them can afford a KL and it would give them a sort of "affordable cachet" to own it; they perceive it as analogous to owning something with the prestige of a Jaguar (which most of them can't afford), but at a middle class price. Even if their economy SLOWS to a growth rate of "only" 7 percent per year (what's the U.S. rate, under 3%?), they still look like a tremendously lucrative market for the KL. I personally don't like the look of the KL, it doesn't do what I've wanted from a vehicle before or after my injury, but a big rule of marketing is: "Not what you like, but rather what does your target market like?"
 

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I think, a small diesel jeep with PTO that could pull a plow and take stuff to the market place,would be the big hit in China and else were? :thumbsup:
 

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tomtex said:
I think, a small diesel jeep with PTO that could pull a plow and take stuff to the market place,would be the big hit in China and else were? :thumbsup:
Most of the people that can afford something other than a Chery or BVD are more metropolitan that 75% of Americans. Road do seem to be much rougher and the civil engineers never get a bridge transition correct.

One lung diesels pull the plows and take things to market.
 

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Jeepophile said:
Their middle class alone numbers about 300 million--- about the whole population of the U.S. A lot of them can afford a KL and it would give them a sort of "affordable cachet" to own it; they perceive it as analogous to owning something with the prestige of a Jaguar (which most of them can't afford), but at a middle class price. Even if their economy SLOWS to a growth rate of "only" 7 percent per year (what's the U.S. rate, under 3%?), they still look like a tremendously lucrative market for the KL. I personally don't like the look of the KL, it doesn't do what I've wanted from a vehicle before or after my injury, but a big rule of marketing is: "Not what you like, but rather what does your target market like?"
Another thing to consider is that China is (at max) 10 yrs away from producing world class automotive products. GreatWall might get there even faster. That's just a couple years more than the lifespan of the new Cherokee (launch model + ml refresh).
Brands that are perceived as strong enough better throw their chip in fast, there's not much time left before that whole quasi-continent switches to homegrown, world class products, with a lower price than the competition (followed by much of Asia, LatAm, and Africa).

Take what Hyundai-KIA has been doing, and multiply it by 10, that's what we are looking at.
 

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RVC said:
Another thing to consider is that China is (at max) 10 yrs away from producing world class automotive products. GreatWall might get there even faster. That's just a couple years more than the lifespan of the new Cherokee (launch model + ml refresh).
Brands that are perceived as strong enough better throw their chip in fast, there's not much time left before that whole quasi-continent switches to homegrown, world class products, with a lower price than the competition (followed by much of Asia, LatAm, and Africa).
Take what Hyundai-KIA has been doing, and multiply it by 10, that's what we are looking at.
Yeah,...but aren't they going to be mad in 10 years because of all the KL's we dumped on them...? ;)
 

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Damned Amelican capitalists ;)

I was just reading hat Geely (who now owns Volvo and has access to all it's tech) will launch its first "co-developed" car next year. The showcars looked very promising.
Ah, and their exports are growing steadily, with a +19% last year alone...
 

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RVC said:
Another thing to consider is that China is (at max) 10 yrs away from producing world class automotive products. GreatWall might get there even faster. That's just a couple years more than the lifespan of the new Cherokee (launch model + ml refresh).
Brands that are perceived as strong enough better throw their chip in fast, there's not much time left before that whole quasi-continent switches to homegrown, world class products, with a lower price than the competition (followed by much of Asia, LatAm, and Africa).

Take what Hyundai-KIA has been doing, and multiply it by 10, that's what we are looking at.
They have been saying that for the last decade. There is a very wrong assumption the Asian are the same culturally. The Chinese, Japanese, and Koreans are all very very very different. From my estimation they are still a decade or 2 from have a domestically designed and materially sourced product that will compete globally. Geely buy will help develop come along, but the issues start from the seed up especially in the raw materials, and then the processing of those raw materials. Don't get me wrong because the progress in the last decade is incredible, but there is still a way to go. Quite frankly with the turnover and wage inflation by the time they get there the low cost advantages may all but disappear.
 

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TripleT said:
They have been saying that for the last decade. There is a very wrong assumption the Asian are the same culturally. The Chinese, Japanese, and Koreans are all very very very different. From my estimation they are still a decade or 2 from have a domestically designed and materially sourced product that will compete globally. Geely buy will help develop come along, but the issues start from the seed up especially in the raw materials, and then the processing of those raw materials. Don't get me wrong because the progress in the last decade is incredible, but there is still a way to go. Quite frankly with the turnover and wage inflation by the time they get there the low cost advantages may all but disappear.
Oh I don't assume that all Asians are the same culturally, I know all to well that even within China alone there are strong cultural differences between one region and the other. When I mentioned Hyundai-KIA I did so because they are the company that has come from sucky products to world class in one generation, and are the company that VAG has signaled out as their major threat going forward (and I'll remind you that VAG is poised to become the largest car producer within the next five years). The fact that they happen to be Asian is of little consequence per se.

I disagree on your view of the timelines, but I guess we'll see ;)
http://www.carnewschina.com/tag/geely-kc/
http://www.globalpost.com/dispatch/news/regions/europe/120302/china-new-auto-plant-bulgaria-great-wall-motors
 
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