>Typically, these sorts of stories are met with
>statements about Japanese autos being better built
>than American -- routinely offered as the primary
>explanation for any US auto firm's difficulties.
>
>There's truth in that observation but it may take us
>only so far. Although some automakers are doing better
>than others in certain markets, I wonder if there are,
>quite simply, too many vehicles chasing too few
>consumers across the globe able to buy.
Those aren't incompatible hypotheses. There are too many carmakers, so the crappier ones take the hit.
Doug
^^^^^ CB: Gives new meaning to the words "planned obsolescence". One author claimed that planned obsolescence was started by GM to beat out Ford for sales. Is what is bad for GM, bad for the US ?
^^^^^
Planned obsolescence
>From Wikipedia, the free encyclopedia.
http://en.wikipedia.org/wiki/Planned_obsolescence
Planned obsolescence (also built-in obsolescence (UK)) is the conscious decision on the part of an agency to produce a consumer product that will become obsolete in a defined time frame. Planned obsolescence has great benefits for a producer in that it means a consumer will buy their product repeatedly, as their old one is no longer functional or desirable. It exists in many different products from vehicles to lightbulbs, from buildings to software. There is, however, the potential backlash of consumers that become aware of such obsolescence; such consumers can shed their loyalty and buy from a company that caters to their desire for a more durable product.
Planned obsolescence was first developed in the 1920s and 1930s when mass production had opened every minute aspect of the production process to exacting analysis.
Estimates of planned obsolescence can influence a company's decisions about product engineering; there is little business reason to make a product that lasts longer than anyone is expected to use it. Therefore the company can use the least expensive components that satisfy product lifetime projections. Such decisions are part of a broader discipline known as value engineering.
Contents [hide] 1 Types of planned obsolescence 1.1 Technical or functional obsolescence 1.2 Style obsolescence 1.3 Expiry dates 2 Economics of planned obsolescence 3 Origins of the term