Posted on 07/12/2015 9:40:53 PM PDT by nickcarraway
Someone has to step up once the Prancing Horse is spun off.
Sergio Marchionne has done a great job reviving Chrysler, Fiat and with the FCA group as a whole, but if his latest gambit works he will go down as legend in the auto industry. Last year we reported that FCA was planning to spin off Ferrari to grab some cash. The majority of the company (80 percent) would be owned by FCA shareholders so the company would still wield a lot of power over Ferrari. That being said Marchionne needs a new brand to fill the Prancing Horse’s shoes, and he believes Maserati can do just that.
FCA's head didn’t mince words when describing the luxury Italian automaker’s future post-Ferrari. "Maserati becomes the most coveted, exclusive brand that we have." Maserati is doing its part already, with profit margins sitting at 10 percent. Marchionne wants to raise that number to 15 percent and have global sales at 75,000 by 2018; its moved 36,448 units in 2014. Ferrari sells 7,000 cars a year and commands a 13 percent profit margin. Only time will tell if Maserati can grow from being a niche luxury brand into a powerhouse a la Porsche. Its Levante SUV should help boost overall sales, but it may need to realign expectations elsewhere. A Ghibli for $70,000 is a bit pricey.
(Excerpt) Read more at carbuzz.com ...
How about Alfa Romeo?
I’ll take two!
Marchionne botched bringing Alfa-Romeo back to the US, bringing only a roadster in severely limited numbers after years of delays and confusion. The reintroduction of Fiat has flamed out already.
The Ferrari-engined Maserati could be a larger seller, but Marchionne can’t even figure out what dealerships should get Alfas, and has limited Maserati to Ferrari dealers.
He’ll botch a redo of Maserati, too.
Life’s Been Good
https://www.youtube.com/watch?v=BXWvKDSwvls
Doesn’t the new Maserati look like an Audi?
Maybe 2017...
“The reintroduction of Fiat has flamed out already.”
Fiat’s are more in L.A. than Tesla’s IMHO. Well in my hood’ they are. And I do know at least 5 personally who drive Maserati’s. One even brings his to the fabric district and parks it in front of a parking meter just to show off everyday.
Not so much from other angles.
FCA has the right idea. Upscale vehicles, especially SUVs and smaller luxe sedans make for profitability. Marchionne’s selling Ferrari to keep FCA in business. He needs hits.
That’s an Alfa Romeo. I said Maserati.
Ghibli vs. A7
Really? Shocking a $17k Fiat outsells a $75k Tesla .
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