Pipcecil
Well-known member
also those numbers they spout can be dubious. I am sure he is trying to roll R&D cost into the "price" which I think is really unfair. The more you sell, the less the R&D cost factor in (so its never a set number). Add to the fact that the second you use ANY of that R&D into another car (anything from simple stuff for a better ICE or even more complicated things), you automatically defray that cost. They are just playing the pity party. You know their R&D for the car will be used for many other applications so applying it to a set number of vehicles and only to the 500e is pointless.
Some people in the media had inside numbers and had come up with the same fuzzy math, rolling R&D into the cost of the volt saying it would never be profitable until the CEO came back and said that was bogus and the cost of the parts+labor was still below what they were selling the car for and that is all that matters.
Honestly, I bet 10 to 1 that the actual parts and manufacture cost for the 500e are still below what they sell the vehicle at. Chrysler/Fiat is just being whiny babies. I akin those estimations of companies rolling computer electrical usage and other overhead cost into cost estimates and project bids. Its an overhead rate, not a project billing item. I hate when they pretend that is should be in the main budget. I smack that stuff down quickly.
Some people in the media had inside numbers and had come up with the same fuzzy math, rolling R&D into the cost of the volt saying it would never be profitable until the CEO came back and said that was bogus and the cost of the parts+labor was still below what they were selling the car for and that is all that matters.
Honestly, I bet 10 to 1 that the actual parts and manufacture cost for the 500e are still below what they sell the vehicle at. Chrysler/Fiat is just being whiny babies. I akin those estimations of companies rolling computer electrical usage and other overhead cost into cost estimates and project bids. Its an overhead rate, not a project billing item. I hate when they pretend that is should be in the main budget. I smack that stuff down quickly.