>> Inevitable. Small cars like the Fiesta just don't make any money these days. In economic
>> terms cars have been too cheap for years and manufactureres need to drive up the
>> average cost. Small relatively cheap cars with small profit margins are doomed im afraid.
>>
That's true, stick, £8500 (the cost of the current shape but pre-facelifted Fiesta on Top Gear in 2008), in to the Bank of England inflation calculator and you get £12,415, not the £18,000 a new one costs today. So they are probably making more.
Of course for bigger cars the ££££ difference (profit0 is bigger, hence culling the smaller models, especially when many costs are similar or only marginally more for extra materials (the labour element is going to be broadly the same).
If there are no stepping stones, will people who start to drive using other manufacturers' smaller cars switch to Ford as they become more wealthy or stay with the brand they started on?
IMHO Ford is not an aspirational brand that people will be willing to switch to.
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