Gee, I can’t understand why GM would feel it necessary to slash the price of the Chevy Volt, making it even more unprofitable than it already is. Could it be the fire hazard? Could it be the need for special charging stations and higher electric bills? I don’t know, but there is some reason consumers aren’t flocking to these silly little cars.
Nearly a year ago General Motors was losing almost $50,000 for each Chevrolet Volt it built. Now GM’s business model, driven by trendy environmentalism, calls for it to cut the price and lose even more money.
The green lobby wants more hybrids and plug-in electric cars on the roads. Therefore the president wants 1 million electrics humming around by 2015 — and the carmakers have to ignore market reality under pressure to do what the environmentalist-political complex demands.
Even if it makes no sense. ….
This time it’s because the automaker is going to drop the price by $5,000. USA Today reports that with “a full $7,500 federal tax credit, the price is cut to $27,495,” a figure that doesn’t include some state tax credits.
Aside from those whose egos demand that they use their cars to scream out their moral superiority as environmentalists, and maybe a few enthusiasts who dabble in the technology, does anyone really want these electric cars? Their dismal sales numbers simply do not justify their existence. (Read More)
Ah well, I guess they figure if they lose enough money on Volt production they can just come back to the taxpayer trough for another big bailout.