Tech Transfer, RoI and “Snide”
Auto racing from its inception has been about being the fastest. For nearly as long, racing in most of its forms, has provided a platform for mechanics, engineers and auto manufacturers to grasp headlines for their winning efforts and also gain market share in car showrooms the world over.
A side benefit of all this racin’ and engineerin’, whether by design or accident, have been improved products for the consumer to purchase for trips to the nearest Stop & Shop to pick up the latest “hot thing” for Christmas. Or a twelve pack whatever the case may be.
While sifting through my daily news feeds I came across an article written for The Auto Channel. Authored by “M Snide” he suggests the days of auto racing being supported by the corporate world are nearing the end of its lifespan. He begins his piece by admitting his “fellow journalists and auto industry observers thought I was once again off target in my view of the future…but guess what…I
Nice post Marc. I will take a slightly different take on quality equality on imports vs. domestics.
While it’s irrefutably true that Detroit has raised the bar on it’s overall QC efforts, there are still big differences in technology and durability.
Look at the Ford Mustangs solid rear axle as opposed to independent suspension. It was a concious design decision to save money. The hood fit of the Fusion is so wide as to be noticeable, again done to reduce production costs. And the big overall difference is durability. If you want to put 100,000 trouble free miles on a car, most buyers will think Honda before Ford or Chevy.
Ford and GM’s stock values were just lowered to junk status by Standard and Poor’s, due to the huge medical and pension funding obligations incurred over the years. Ford spokesperson has said that pension obligations add $1,500.00 to the sale price of all their vehicles. GM is the largest corporation in history to have it’s stock reduced to junk category.
Can all of the above have any positive bearing on the “Mini Three’s” commitment to racing? You tell me.
There is little doubt that supporting racing adds engineering expertise to any car company’s inventory of talent on all levels. Wether they can continue to pour money into racing while oozing cash from every pore remains to be seen. Bill Ford has refused compensation (reportedly $17 million this year!) untill the company returns to sustainable profitability. Symbolic gesture, yes, but will it impact the vision of the companies direction racing wise?
Time will tell.