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Re: MGF in America: The Real Reasons Why Not

To: Graham McCann <gmccann@pcug.org.au>, Trevor Boicey <tboicey@brit.ca>
Subject: Re: MGF in America: The Real Reasons Why Not
From: David Knowles <dknowles@uk.b-r.com>
Date: Mon, 10 Nov 1997 09:46:00 -0000
Very true - that is why with the MGF, the decision was made to pitch for
other markets, and eschew the high-volume route - which would have
required a much bigger initial investment. Its the oldest financial rule
in the book  - you've got to spend money to make money! BAe couldn't or
wouldn't gamble enough cash to make the MGF in big enough numbers to
bring the unit cost down and make US sales viable.

Cash-rich BMW is unlikely to make the same mistake. However, it is my
understanding that North America should ready itself for the new Mini
(due in 2000, and previewed just before the Frankfurt Motor Show last
September) before it sees a new MG. Make of that what you will.

Previously, on this channel, Trevor & Graham said:>>>>
 ----------
(From: Trevor Boicey)

Graham McCann wrote:
> Please never try for the US market.  Re-designing for the US market
> destroyed the MGB, the E Type Jaguar and most of the following Jaguars

Trevor Boicey wrote:
> Well, I'm not a US citizen either, but it's a double edged
>sword.

>  Their laws may make the cars non-optimal, but the sheer volume
>of sales they provide often make the car exist in the first place.

>  How many years would MG have survived if the US didn't buy them?<<<<


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