spykebn

$30,000 is kind of expensive and may limit sales/appear. I think GM should sell the car for $25,000 and take the $5,000 hit. They could then limit sales to 200,000 the first few years and hold loses to $1 billion a year for the project. This may seem like a lot but think what it will do for their image. It would be worth many times as much in advertising and good PR. GM would be selling a mainstream car for the average buyer that is the most technologically advanced vehicle in the world. GM would be seen as the technological and environmental leader, which would cast a whole new positive image on all its vehicles. A $30,000 vehicle is out of range for the vast majority of buyers, so the revolutionary element may be lost to the average car buyer, and thus the overall halo effects as well. As production is ramped up and more vehicles are spawned off the platform the cost will come down and GM can be profitable at the $25k mark.