BMW: Sales, Marketing, and Financial News
Moderator Alumnus
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From: Washington DC (NOVA)
Floyd Mayweather Jr.
Joined: Mar 2001
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From: The City of Syrup Screwston, Texas
Momemtum the #2 BMW dealer is in Houston. They even have a test track where a pro driver gives you a test drive, easily the sweetest dealership I've ever been to.
Check em out www.momentumbmw.com
Check em out www.momentumbmw.com
Moderator Alumnus
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From: Washington DC (NOVA)
BMW prices Chinese-made 325 at $57,250 !
BMW sets price on Chinese-made model
Reuters / October 16, 2003
SHANGHAI (Reuters) -- BMW said on Thursday it will sell its first Chinese-made 325 model at $57,250, considerably less than imported BMW models.
BMW, which makes the cars in partnership with Brilliance China Automotive Holdings, expects to sell 2,000 to 2,500 of the 325 this year in China, BMW China executives said. The figure would rise to 9,000 next year.
Reuters / October 16, 2003
SHANGHAI (Reuters) -- BMW said on Thursday it will sell its first Chinese-made 325 model at $57,250, considerably less than imported BMW models.
BMW, which makes the cars in partnership with Brilliance China Automotive Holdings, expects to sell 2,000 to 2,500 of the 325 this year in China, BMW China executives said. The figure would rise to 9,000 next year.
Moderator Alumnus
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From: Washington DC (NOVA)
BMW sees strong sales of China-made cars
Reuters / October 16, 2003
SHANGHAI -- BMW AG will on Saturday launch its bid for a bigger piece of the fast-growing Chinese car market when its first locally-made sedans hit the market.
BMW said its 325 model will be priced at 473,850 yuan ($57,250), considerably less than imported BMW models, and will not be subject to the high taxes levied against luxury models shipped in from overseas.
"In the past, we focused on the 7 series and neglected the 3 series in China, so it's not very strong in the premium segment. The 325 will change that," said Gunther Seemann, managing director of BMW China.
BMW, which makes the cars in partnership with Brilliance China Automotive Holdings, expects to sell between 2,000 and 2,500 of the 325 this year in China, BMW China executives said. That would rise to 9,000 next year, they said.
The German company used to sell its imported 318 model, a less powerful car, for 580,000 yuan in China.
While China's auto sector has been boosted by a spurt of new economy models hitting the market, more Chinese are eyeing up-scale cars.
Of the 70,000 cars China imported last year, about two-thirds cost around 400,000 yuan ($48,300), showing a strong appetite for high-end models, analysts say.
BMW's mid-sized 5 Series will start rolling out from the Brilliance plant in the northeastern city of Shenyang at the end of this year, executives said. The venture's plant has capacity for 30,000 BMWs a year.
"We expect double digit sales growth next year," Seemann said. "Up to September, we've sold 9,593 units and we expect to sell 12,500 by the end of the year."
BMW sold about 6,800 cars in China last year, a rise of 60 percent from the previous year. BMW and Brilliance, China's largest van maker, agreed in March to invest 450 million euros ($480 million) in their Chinese venture by 2005, with each holding a 50 percent stake.
China's car market saw sales soar 60 percent last year to 1.2 million, making it the fastest growing major car market in the world. Car output in China climbed almost 90 percent to 1.25 million in the first eight months year on year.
BMW faces competition from Volkswagen AG's Audi, which has dominated the luxury market through a venture with First Auto Works, China's top automaker, which makes about 35,000 Audis per year.
"We don't consider Audi a premium brand. The main competitor to the 3 series is the C class," said Seemann, referring to DaimlerChrysler's imported Mercedes Benz sedan.
Reuters / October 16, 2003
SHANGHAI -- BMW AG will on Saturday launch its bid for a bigger piece of the fast-growing Chinese car market when its first locally-made sedans hit the market.
BMW said its 325 model will be priced at 473,850 yuan ($57,250), considerably less than imported BMW models, and will not be subject to the high taxes levied against luxury models shipped in from overseas.
"In the past, we focused on the 7 series and neglected the 3 series in China, so it's not very strong in the premium segment. The 325 will change that," said Gunther Seemann, managing director of BMW China.
BMW, which makes the cars in partnership with Brilliance China Automotive Holdings, expects to sell between 2,000 and 2,500 of the 325 this year in China, BMW China executives said. That would rise to 9,000 next year, they said.
The German company used to sell its imported 318 model, a less powerful car, for 580,000 yuan in China.
While China's auto sector has been boosted by a spurt of new economy models hitting the market, more Chinese are eyeing up-scale cars.
Of the 70,000 cars China imported last year, about two-thirds cost around 400,000 yuan ($48,300), showing a strong appetite for high-end models, analysts say.
BMW's mid-sized 5 Series will start rolling out from the Brilliance plant in the northeastern city of Shenyang at the end of this year, executives said. The venture's plant has capacity for 30,000 BMWs a year.
"We expect double digit sales growth next year," Seemann said. "Up to September, we've sold 9,593 units and we expect to sell 12,500 by the end of the year."
BMW sold about 6,800 cars in China last year, a rise of 60 percent from the previous year. BMW and Brilliance, China's largest van maker, agreed in March to invest 450 million euros ($480 million) in their Chinese venture by 2005, with each holding a 50 percent stake.
China's car market saw sales soar 60 percent last year to 1.2 million, making it the fastest growing major car market in the world. Car output in China climbed almost 90 percent to 1.25 million in the first eight months year on year.
BMW faces competition from Volkswagen AG's Audi, which has dominated the luxury market through a venture with First Auto Works, China's top automaker, which makes about 35,000 Audis per year.
"We don't consider Audi a premium brand. The main competitor to the 3 series is the C class," said Seemann, referring to DaimlerChrysler's imported Mercedes Benz sedan.
Moderator Alumnus
Joined: Oct 2000
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From: Washington DC (NOVA)
"We don't consider Audi a premium brand. The main competitor to the 3 series is the C class," said Seemann, referring to DaimlerChrysler's imported Mercedes Benz sedan.
Mr. Seemann and lip-service should be synonymous.
Mr. Seemann and lip-service should be synonymous.
Senior Moderator
Joined: Dec 2001
Posts: 168,919
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Originally posted by gavriil
WTF?!?
And that's less than it usually sells for? Who's got that kind of money down there anyway?
WTF?!?
And that's less than it usually sells for? Who's got that kind of money down there anyway?
I miss my 03 CL-S :(
Joined: Feb 2002
Posts: 7,140
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From: Washington, DC
Originally posted by Red Nj-s
China = next superpower if they lean towards capitalism.
China = next superpower if they lean towards capitalism.
Like Yumchah said, most people think of the poor provinces, but some parts of China today are more economically competitive than parts of Europe. Certain areas look more modern that NYC in terms of construction and business activity, too.
Check this out from the CIA World Factbook 2003:
In late 1978 the Chinese leadership began moving the economy from a sluggish, Soviet-style centrally planned economy to a more market-oriented system. Whereas the system operates within a political framework of strict Communist control, the economic influence of non-state organizations and individual citizens has been steadily increasing. The authorities switched to a system of household and village responsibility in agriculture in place of the old collectivization, increased the authority of local officials and plant managers in industry, permitted a wide variety of small-scale enterprises in services and light manufacturing, and opened the economy to increased foreign trade and investment. The result has been a quadrupling of GDP since 1978. In 2002, with its 1.3 billion people but a GDP of just $4,400 per capita, China stood as the second-largest economy in the world after the US (measured on a purchasing power parity basis). Agriculture and industry have posted major gains, especially in coastal areas near Hong Kong and opposite Taiwan, where foreign investment has helped spur output of both domestic and export goods. The leadership, however, often has experienced - as a result of its hybrid system - the worst results of socialism (bureaucracy and lassitude) and of capitalism (windfall gains and growing income disparities).
Kabachitare!
Joined: Jul 2003
Posts: 936
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From: Bay Area
I have been to China(Beijing, Shanghai, Xian) seveal times the last few years and it seems to me VW and Audi still have a strong hold in the market. VW was one of the first automakers to set up shop in China and now they are reaping the benefits.
Most of the other automakers are scrambling to set up shop but GM has had a factory in Shanghai for a while and it is not uncommon to see big Buicks on the road. Older model Jeeps are also fairly common.
Honda has a factory in Guangdong and I see a lot of 4banger Accords running around Beijing. I did see one V6 Accord with curtians on the rear passenger windows.
On rare occasions I have seen Lexus cars(including a Green Altezza/IS300, a Hyundai Tibron, 7 series BMWs, and a Blazer SUV!) I have no idea how the owners imported these cars into China.
Most of the other automakers are scrambling to set up shop but GM has had a factory in Shanghai for a while and it is not uncommon to see big Buicks on the road. Older model Jeeps are also fairly common.
Honda has a factory in Guangdong and I see a lot of 4banger Accords running around Beijing. I did see one V6 Accord with curtians on the rear passenger windows.
On rare occasions I have seen Lexus cars(including a Green Altezza/IS300, a Hyundai Tibron, 7 series BMWs, and a Blazer SUV!) I have no idea how the owners imported these cars into China.
10th Gear
Joined: May 2002
Posts: 14
Likes: 0
From: Pennsylvania
cars imported to china are generally 2 to 3 times the price in the US. mercedes e class is like 100 grand over there. 57k for 3 series is actually not that expensive. audi'/volkswagon are dominant in shanghai esp. because there used to be a vw factory there, and theres rumors that the vw passat will replace the vw santana as the standard shanghai taxi ( a reason why private buyers are movning away from buying vw/audi in shanghai).
Moderator Alumnus
Joined: Oct 2000
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From: Washington DC (NOVA)
Originally posted by want_updohg?
isn't communism about equality? and the good of the state? so unless EVERYONE gets a bimmer, or they are good for the state, wtf?
isn't communism about equality? and the good of the state? so unless EVERYONE gets a bimmer, or they are good for the state, wtf?
Moderator Alumnus
Joined: Oct 2000
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From: Washington DC (NOVA)
Originally posted by Yumchah
gavriil: Yes, certainly the poverty stricken areas are indeed what comes to mind when one thinks of China. But, that's not the case anymore. Disposeable income in China is at an all-time high nowadays...For instance, one look at Shanghai and you can arguably say that the city has overtaken Hong Kong in terms of prestige and glamor...
gavriil: Yes, certainly the poverty stricken areas are indeed what comes to mind when one thinks of China. But, that's not the case anymore. Disposeable income in China is at an all-time high nowadays...For instance, one look at Shanghai and you can arguably say that the city has overtaken Hong Kong in terms of prestige and glamor...
CHINA
GDP per capita: $4,671.81
USA
United States $35,935.02
Obviously para-economy is thriving in China like in other crappy countries on this planet. Sure there are rich people in Russia for example. Sudan as well. How they made their money is very important though.
Kabachitare!
Joined: Jul 2003
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From: Bay Area
Asian tiger economy reaches for the sky and beyond
By John McCormick / Detroit News Autos Insider
Shanghai, China - Waking up in this stunningly futuristic city, the news that China has put its first man in space comes as only a slight surprise. With an economy expanding at record pace, there seems to be no limit to China's potential.
The country's booming automotive market has already passed that of Germany as the world's third largest and is forecast to overtake North America by 2025. Such dramatic growth has the auto companies scrambling to stake out their claims.
Four year ago General Motors Corp. started producing Buick Regals in Shanghai after a $2 billion investment, and though the move raised eyebrows at time, it is clearly paying off now. "It was a good bet and we're glad we did it earlier," says Fritz Henderson, president of GM Asia.
In catch up mode, Ford Motor Co. just announced a $1.5 billion investment to expand its existing Chinese production facilities, while other leading automakers, Toyota, Nissan, DaimlerChrysler AG, Honda and Volkswagen AG are all pumping billions into the market.
VW established a manufacturing presence in Shanghai in 1985, long before most rivals, and has a commanding 40 percent of the market. However GM's production from its five Chinese joint ventures has already given the company an 8.2 percent market this year, based on year-to-date sales of 267,392 vehicles. GM China CEO, Phil Murtaugh, expects the company's fast expanding model range, including vehicles imported from GM Daewoo in Korea, to allow the company to challenge VW's leadership in the not too distant future. "We're generally perceived as the most aggressive automotive group in China," says Murtaugh.
As well as using Buick and Chevrolet brand names on its Chinese product portfolio, GM plans to cater to the Chinese luxury market by adding Cadillac next year, initially importing models from the US and later switching to local assembly.
The plan to market Cadillac in China highlights one peculiar characteristic of this supposedly communist country; a super-wealthy entrepreneurial class with financial resources to match those of their counterparts in any of the world's leading capitalist economies. Analysts expect this group to fuel strong and profitable growth at the high end of the market.
What's not to like about the China automotive scenario? The country's explosive economic expansion is seen by some observers as a bubble waiting to burst. "The growth in the last two years is way out of line," says Michael Dunne, president of the consulting firm Automotive Resources Asia Limited. According to Dunne, looming problems for the auto industry include overcapacity, banking issues such as bad loans and a market over-dependent on wealthy buyers and sales in a few major cities.
Clearly the Chinese government will have to take the lead in managing the country's economy and doing a better job of regulating a shaky financial system. But for automakers the attractions of doing business in China are underlined by the fact that even with the recent growth, still only one in 1000 Chinese owns a car.
John McCormick is a columnist for Autos Insider and can be reached at jmccormick@detnews.com.
By John McCormick / Detroit News Autos Insider
Shanghai, China - Waking up in this stunningly futuristic city, the news that China has put its first man in space comes as only a slight surprise. With an economy expanding at record pace, there seems to be no limit to China's potential.
The country's booming automotive market has already passed that of Germany as the world's third largest and is forecast to overtake North America by 2025. Such dramatic growth has the auto companies scrambling to stake out their claims.
Four year ago General Motors Corp. started producing Buick Regals in Shanghai after a $2 billion investment, and though the move raised eyebrows at time, it is clearly paying off now. "It was a good bet and we're glad we did it earlier," says Fritz Henderson, president of GM Asia.
In catch up mode, Ford Motor Co. just announced a $1.5 billion investment to expand its existing Chinese production facilities, while other leading automakers, Toyota, Nissan, DaimlerChrysler AG, Honda and Volkswagen AG are all pumping billions into the market.
VW established a manufacturing presence in Shanghai in 1985, long before most rivals, and has a commanding 40 percent of the market. However GM's production from its five Chinese joint ventures has already given the company an 8.2 percent market this year, based on year-to-date sales of 267,392 vehicles. GM China CEO, Phil Murtaugh, expects the company's fast expanding model range, including vehicles imported from GM Daewoo in Korea, to allow the company to challenge VW's leadership in the not too distant future. "We're generally perceived as the most aggressive automotive group in China," says Murtaugh.
As well as using Buick and Chevrolet brand names on its Chinese product portfolio, GM plans to cater to the Chinese luxury market by adding Cadillac next year, initially importing models from the US and later switching to local assembly.
The plan to market Cadillac in China highlights one peculiar characteristic of this supposedly communist country; a super-wealthy entrepreneurial class with financial resources to match those of their counterparts in any of the world's leading capitalist economies. Analysts expect this group to fuel strong and profitable growth at the high end of the market.
What's not to like about the China automotive scenario? The country's explosive economic expansion is seen by some observers as a bubble waiting to burst. "The growth in the last two years is way out of line," says Michael Dunne, president of the consulting firm Automotive Resources Asia Limited. According to Dunne, looming problems for the auto industry include overcapacity, banking issues such as bad loans and a market over-dependent on wealthy buyers and sales in a few major cities.
Clearly the Chinese government will have to take the lead in managing the country's economy and doing a better job of regulating a shaky financial system. But for automakers the attractions of doing business in China are underlined by the fact that even with the recent growth, still only one in 1000 Chinese owns a car.
John McCormick is a columnist for Autos Insider and can be reached at jmccormick@detnews.com.
Race Director
Joined: Oct 2003
Posts: 14,432
Likes: 637
From: Orlando, Fl
ANd you wonder why BMWs cost so much....
I was reading autoweek.com and came across a new 5 series BMW related article.
Lets see, that's 500 cars times $50K each to find out that the trunk lid opens too fast.
Later in the article it talks about the complexity of the car.
It sounds like the thing has more processors and redundancy than the Space Shuttle.
That's the problem with BMW trying to justify their cost (which just went up because of the weak US$), none of the above can be marketed very easily. It's not that BMWs are overpriced, they just stuff so many things in them that people don't see or can easily relate to.
And of course regardless of how you design them the more things you stuff into a car the more things apt to go wrong, hence the poor reliability numbers.
"By the end of a week we had 500 cars, and we gave them to BMW personnel to test drive, including both management and shop floor employees. We asked them to imagine themselves as a BMW customer and to report back anything that bothered them. As a result, we achieved ramp-up to 800 units per day in two months.
One improvement made as a result of the tests is the trunk lid opening. It had a tendency to open too fast and hit the driver on the forehead. An air valve was fitted to the mechanism."
One improvement made as a result of the tests is the trunk lid opening. It had a tendency to open too fast and hit the driver on the forehead. An air valve was fitted to the mechanism."
Later in the article it talks about the complexity of the car.
For example, in the active front steering system, two pathways, with separate processors and software, have been set up so that the steering angle calculation can be relied on without fail. In the most critical areas, three pathways are used.
That's the problem with BMW trying to justify their cost (which just went up because of the weak US$), none of the above can be marketed very easily. It's not that BMWs are overpriced, they just stuff so many things in them that people don't see or can easily relate to.
And of course regardless of how you design them the more things you stuff into a car the more things apt to go wrong, hence the poor reliability numbers.
bleh...
Joined: Dec 2003
Posts: 3,229
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From: Midwest
Shakeup with the BMW design staff
(11:57 Feb. 04, 2004)
BMW reorganizes design houses, van Hooydonk takes over at BMW autos
Chris Bangle, the oft maligned maestro of BMW design, has been officially kicked upstairs to Director of BMW Group Design, and will oversee a reorganized set of design departments including Mini and Rolls-Royce.
Individual studios have been set up for BMW, Mini and Rolls-Royce as well as for BMW Motorrad and BMW M. The new studios will be involved in new model development from the first sketches to production.
The heads of departments responsible up to now for the design of Mini, Rolls-Royce MC, BMW Motorrad and BMW M will head the respective brand design studios: Gert Volker Hildebrand (Mini), Ian Cameron (Rolls-Royce MC), David Robb (BMW Motorrad) and Ulf Weidhase (BMW M and Individual).
The new member of Bangle's team is Adrian van Hooydonk, who will head the BMW automobile brand studio. Van Hooydonk had been president of DesignworksUSA, the Californian design studio of the BMW Group.
Below is an overview of the heads of the brand design studios of the BMW Group:
BMW Automobiles
Adrian van Hooydonk, 40, has been a designer at BMW since 1992 and president of DesignworksUSA, the Californian design studio of the BMW Group, since 2001. The Dutch designer developed the exterior design of the current BMW 6 Series and 7 Series among other projects.
BMW Motorrad
David Robb, 48, came to BMW as an exterior designer for automobiles and later headed the exterior design studio. In 1993 he took over as head of BMW Motorrad design.
BMW M and Individual
Ulf Weidhase, 51, came to BMW in 1988 and has headed the design team for BMW M Automobiles and BMW Individual.
Mini
Gert Volker Hildebrand, 50, has headed the Mini design team since 2000. Before this appointment he headed design teams at Volkswagen, Seat and Mitsubishi.
Rolls-Royce Motorcars
Ian Cameron, 53, came to BMW in 1992 as an exterior designer and among other things was project manager for the design of the 3 Series and the current Range Rover. In 1999 he was appointed the head of the newly-created design team of Rolls-Royce Motorcars.
Source:
http://www.autoweek.com/cat_content...._code=05800170
And rumors that Bangle was out, apparently not.
Discuss...
edit: link fixed
BMW reorganizes design houses, van Hooydonk takes over at BMW autos
Chris Bangle, the oft maligned maestro of BMW design, has been officially kicked upstairs to Director of BMW Group Design, and will oversee a reorganized set of design departments including Mini and Rolls-Royce.
Individual studios have been set up for BMW, Mini and Rolls-Royce as well as for BMW Motorrad and BMW M. The new studios will be involved in new model development from the first sketches to production.
The heads of departments responsible up to now for the design of Mini, Rolls-Royce MC, BMW Motorrad and BMW M will head the respective brand design studios: Gert Volker Hildebrand (Mini), Ian Cameron (Rolls-Royce MC), David Robb (BMW Motorrad) and Ulf Weidhase (BMW M and Individual).
The new member of Bangle's team is Adrian van Hooydonk, who will head the BMW automobile brand studio. Van Hooydonk had been president of DesignworksUSA, the Californian design studio of the BMW Group.
Below is an overview of the heads of the brand design studios of the BMW Group:
BMW Automobiles
Adrian van Hooydonk, 40, has been a designer at BMW since 1992 and president of DesignworksUSA, the Californian design studio of the BMW Group, since 2001. The Dutch designer developed the exterior design of the current BMW 6 Series and 7 Series among other projects.
BMW Motorrad
David Robb, 48, came to BMW as an exterior designer for automobiles and later headed the exterior design studio. In 1993 he took over as head of BMW Motorrad design.
BMW M and Individual
Ulf Weidhase, 51, came to BMW in 1988 and has headed the design team for BMW M Automobiles and BMW Individual.
Mini
Gert Volker Hildebrand, 50, has headed the Mini design team since 2000. Before this appointment he headed design teams at Volkswagen, Seat and Mitsubishi.
Rolls-Royce Motorcars
Ian Cameron, 53, came to BMW in 1992 as an exterior designer and among other things was project manager for the design of the 3 Series and the current Range Rover. In 1999 he was appointed the head of the newly-created design team of Rolls-Royce Motorcars.
Source:
http://www.autoweek.com/cat_content...._code=05800170
And rumors that Bangle was out, apparently not.
Discuss...
edit: link fixed
Advanced
Joined: Apr 2003
Posts: 86
Likes: 0
He may have been kicked upstairs, but this may mean he no longer has primary responsibility for designing the cars. He'll have some say in approving designs, but not designing them. This is a classic "admit a mistake without admitting a mistake" action. Kinda like giving a soldier a promotion and giving him a deskjob instead of a combat command.
Racer
Joined: Sep 2003
Posts: 441
Likes: 0
From: Virginia
Hooydonk botched the 6 and 7 series, another designer penned the Z4 and the 5 series was designed by yet another guy (who recently passed away). So Hooydonk is no improvement! Hopefully, the people actually designing the cars beneath him have some talent.