If the definition of insanity is doing the same thing over and over again while expecting different results, then Volkswagen has gone certifiably bonkers.
Volkswagens unrelenting determination to have consumers accept the notion of a premium priced Volkswagen has led them down the path of insanity before: first, the Phaeton, then their planned, cut-price Phaeton for America, which is apparently on track despite Phaeton 1.0′s spectacular failure.
Now, VW is preparing a China-specific premium sedan based on the Audi A6L. Apparently not contend with its exponentially higher volumes, VW wants Audi's profit margins too. And the best way to accomplish that is, apparently, by making an expensive sedan priced perilously close to Audi, with a badge that, even in China, will be difficult for premium consumers to swallow.
Apparently, a crackdown on luxury car spending by government officials has created a market for upscale vehicles without premium badges, but it seems difficult to understand how this niche will sustain planned volumes of 50,000 units annually, even in the booming Chinese market.
The post The Definition Of Insanity: Selling A Premium Volkswagen And Expecting Different Results appeared first on The Truth About Cars.
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