Volvo not going anywhere soon.
Volvo not going anywhere soon.
http://www.detnews.com/apps/pbcs.dll...70/1148/AUTO01
The Gist: instead of selling off Volvo, Ford's concentrating on improving its cost structure and moving the brand further up-market. Mullaly believes that, despite the weakened dollar, Volvo will soon be profitable again.
The Gist: instead of selling off Volvo, Ford's concentrating on improving its cost structure and moving the brand further up-market. Mullaly believes that, despite the weakened dollar, Volvo will soon be profitable again.
Volvo is so closely tied to FOE now that selling the brand entirely likely isn't even realistic. And of course trying to sell a portion of the brand, partnering with somebody else in a joint venture is a another bag of nuts entirely. In every way Volvo is FOE's Lincoln now, so this is not a surprise.
There's a thread about this going on the BON forums and one of the interesting theories is that Ford will convert the unused US manufacturing capacity to Volvo production for both domestic and export consumption.
I think it's smart for Ford to leverage both Volvo and Mazda, and perhaps even create a trifecta development group amongst the three companies to tackle new challenges across a variety of market demographics.
Seriously It's better for the brands to keep working together to reduce costs by using corporate platforms as they are doing now with the Focus, Mazda 3 and S40. If they keep doing this it'll benefit all of them on the long run. Also, hope they make global engines too so they decrease costs even more, Mazdaspeed3's turbo 4 for all the brands small cars for example, so they wouldn't complicate things for themselves.
Last edited by edumspeed; Mar 14, 2008 at 09:02 AM.
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