Quote:
Originally Posted by mgmueller
But is this possible for them?
If Mercedes would reduce their prices by, let's say 40%, their market share certainly would triple.
But their profitability?
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Exactly. Why do people buy a Corvette when they can have a Malibu for half the price (I don't know much about Mercedes so I'll use Chevy instead)... they're two completely different cars marketed at two completely different types of customers.
Chevy doesn't want the Corvette to compete against the Malibu. Could Chevy put the same engine in a Malibu that is in the Corvette... probably. But they don't do it on purpose. They're also not worried about whether the Corvette is price competitive with a Honda Civic.
It's similar with the DR1000 vs DR800.