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Old 09-14-2006, 06:48 AM   #1
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I agree, the naming and pricing of the Cayman was bizarre.
I say it's a free market. Porsche is by no means a monopoly and it is free to name and price products as it sees fit (i.e. to maximize profits for its shareholders). On the opposite side are we -- the consumers, also free to maximize the bang for the buck we're paying. For me, the Box S (especially the 3.4L 07) is hands down the relative value winner in the whole Porsche catalogue, and perhaps wider in the whole sports car universe.

Companies can be greedy, stupid, or both - that's not necessarily bad for us, consumers. I have a feeling that Porsche knows that it is still far better off with the Cayenne, Boxster, and Caymen (non-911 models) then it would have been by just sticking with an expensive 911 only. Maybe the 911 cannibalization was inevitable, so why not cannibalize it with something of their own?
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Old 09-14-2006, 07:35 AM   #2
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Quote:
Originally Posted by z12358
I agree, the naming and pricing of the Cayman was bizarre.
I say it's a free market. Porsche is by no means a monopoly and it is free to name and price products as it sees fit (i.e. to maximize profits for its shareholders). On the opposite side are we -- the consumers, also free to maximize the bang for the buck we're paying. For me, the Box S (especially the 3.4L 07) is hands down the relative value winner in the whole Porsche catalogue, and perhaps wider in the whole sports car universe.

Companies can be greedy, stupid, or both - that's not necessarily bad for us, consumers. I have a feeling that Porsche knows that it is still far better off with the Cayenne, Boxster, and Caymen (non-911 models) then it would have been by just sticking with an expensive 911 only. Maybe the 911 cannibalization was inevitable, so why not cannibalize it with something of their own?
Hi,

I don't think we disagree. Part of the problem is the Public ownership of companies today. Boardrooms are forced into short-term thinking and results (think quarterly) and lack the stalward longterm vision which once made many of them great to begin with.

So far as capitalizing on declining 911 sales, this only works if you maintian or increase overall Unit sales (which Porsche isn't doing).

The past few years' Annual Reports are skewed by the Cayenne's contribution, but were far from reassuring for the rest of the line. To the point where patting each other on the back, or throwing Babies in the air, in the Boardroom may be premature, and this can cloud a company's vision...

Happy Motoring!... Jim'99
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