The company is taking a $9000 hit per car.
Can someone explain WHY in the world they’d do that??
Companies are supposed to run at a PROFIT. Where is the logic and sense in this bonehead move?
1600 Pennsylvania Avenue. At least until January 20, 2016
This is pretty much how the Prius got started in this country. Toyota took a steep loss on the first year of the Prius and also gave a fantastic five-year everything warranty (this included tires). Look how well Priuses are doing now.
The answer is quite simple: The federal government is REQUIRING that the corporate average fuel economy becomes 52 miles per gallon in the next several years. That's the AVERAGE fuel economy of all the cars and trucks they sell. The only possible way for a company that makes a full range of vehicles to meet that number is to sell the so-called "zero emission vehicles" at a low enough price that someone might actually buy one.