Simple.(I've cleaned up the math)
$8 item sold at $10.
$12 item sold at $15.
2% price increase per year means:
$9 sold at $11.25(6 years)
5% cost decrease means:
$8.80 sold at $15(6 years)
Eventually the Hyundai or Daewoo(Aveo) will be built with as
much money in raw materials as the Focus. Yet, the price
will remain the same.
Daewoo maintains a 25% porfit margin in this example and the
quality remains the same.
Ford increases their profit margin to 70% and decreases build
quality by a bit over 25%. Ford's going to implode like
Chrysler did in the 80's at this rate. Big profits and then
a huge problem as the company crumbles. All due to bad
There's a reason Ford is about to slip out of 2nd place...
<snip, but agreed>
You forgot Canada and Mexico ;)
I didn't wonder after it failed and I did research into it (yea, I
know, backwards) and then found the ridiculous amount of problems with
the Ford trannies. If I would have known about it beforehand, there's
no way I would have touched it. Now I know better :)
If it makes you feel any better when I had mine rebuilt at 192,000 miles
the shop was rebuilding one in a 96 Seville after mine was done for
1991 Pontiac Bonneville LE
3800 V6 ( C ), Black/Slate Grey
_~_~_~_~276,905 miles_~_~_ ~_~_
What was the dealer's story about the first owner? Did they routinely deal
with that owner or was this a lease vehicle? Setting that aside, I will say
that some of the transmission posts by others state problems that are of
concern. My neighbor who has a Buick, original owner, recently had to have a
cracked transmission piston replaced in her '98, 38k Century. The part was
made by Luk, who is a major transmission supplier to all the big three. Her
nephew, who works for Luk, said that they have had problems with that same
type of part, not just in GM but also in Ford and Chrysler. So, the point is
that the makers should be able to solve this and solve it quickly. But given
the fact that many of today's engineers didn't get "elmered' by older
experienced engineers, they tend to think that all problems can be solved
asking a computer program to give an answer. Hence, the problems tend to drag
on and never get fully resolved, just patched.
I didn't get any info from the dealer on the first owner, so i can't
comment on that. However, I picked up the car from the dealer yesterday
and paid my bill of about 550.00 which covers my portion of the after
warranty adjustment. They put a new transmission in the vehicle. I have a
few questions now though if anyone might be willing to respond. Should I
have received an actual warranty for the new transmission? I was told that
it was good for six years or 60,000 miles but I have nothing that says
that. I only have the bill for the amount that I was charged. I'm also
curious about the old trannie. What do they do with it? Do they keep it
around and use parts out of it for other jobs? And if I were to ask, could
they tell me exactly what was wrong with it? Since it's no longer in the
From two days of driving with it, we're pretty happy with the way it all
shook out. Yes, we had to shell out some bucks, but compared to a rebuilt
or remanufactured trannie, I think we did ok.
Thanks to all who responded to the original post. Thomas, I found nothing
abrasive in your remarks. I perceived you to be a straight shooter.
Matt (lurker and ocassional poster)
P.S. Jennifer is slightly overweight but otherwise pleasant!
Being as it was a warranty adjustment they may have to send it back to
Ford as a core charge, or perhaps they keep it around and rebuild it
for the next job. If you got away for $550 with labor you stole it.
Also get that warranty info *in writing*. After the new trannie
breaks in you may want to consider a flush and fill with some good
synthetic to keep such an occurrence from happening again, such as
Amsoil universal ATF, and perhaps an in-line tranny filter, and a
tranny cooler. You learn a lot about bad Ford transmissions when
you've owned one ;)
For the price you got parts and labor for, you stole it. My shot Ford
trannie cost $1300.
I think he's refering to me. He says he caught me in some lies, but I don't
quite know what he's talking about. Maybe he'll point them
out.....................thats a hint, Tom..........If he considers some stuff I
posted as lies, then I think I can easily post a few lies(?) he made
Jim (not Gary, right hartless???)
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