Saturday, November 19, 2011

Why is it that European automakers such as Peugeot, Renault, Citroen or Skoda to name a few, can't make it to

US? They've prove to have excellent assembly mechanism and they have beautiful designs. Is there a big pushing factor from the Big Three to stop them from gettin here? Thank you.|||Peugeot, Renault and Citroen have all had US dealers but didn't make it. Their cars are a little to offbeat and European for US tastes. There were also reliability and service issues with all of them. Hard to keep up a car when there are only a few dealers in the states and parts may take weeks to months to arrive from Europe.|||Because cars in the US are cheap compared to cars in Europe... so there is not much profit to be made shipping European cars to the US... so the deealerships have to work on small or zero (or negative) margin.





Only the expensive or prestige marques make it to the US... BMW, Mercedes, Volvo... as they work on higher prices they work on bigger margins. Oh and the VW beetle and the Mini 'cos they are so cute.





Plus US markets have very different expectations (eg power steering and aircon and auto boxes) and legal requirements (eg big fenders, red indicators) so the models made for the US have to be custom compared to the European market... it's hard to break into that market as you have to justify making the special features for very small sales to start with. So any company that is there selling well can stay in the market but any company breaking into the market finds it really expensive.





Plus of course the US market really likes big cars and the ones you list are all best known as small car makers!

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