The sad fact probably is that GM is not able to make money out of the green cars for two reasons.
First, there's not enough volume in that segment and there's a premium associated with the design and components of such a car.
Second, that 375 hp Dodge Challenger is intrinsically a much easier sell than an hybrid simply because it fulfills more basic needs than the hybrid. Remember Maslow's needs hierarchy? Well being green sits right at the top. So if you're the average Joe, unless your safety level is threatened by high gas prices, deep down inside you want the Challenger.
So, in the short term, green can only be profitable when gas prices are high. In the long term though, green's the only way to go as people will see their physiological level attacked.
|