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: Conglomerate

What your SUV says about you. . .

By Gordon Smith, Christine, Hurt, Vic Fleischer, Fred Tung, Lisa Fairfax, David Zaring

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"I can't afford a second car.  I can't get out of my lease. I can't get rid of this because no one wants to buy it."

This quote from a New York Times story about how America's romance with the SUV is going through a severe and perhaps irreversible "rough patch" not only because of high gas prices, but also because of guilt over the damage such cars inflict on the environment.  Just this week I saw several stories appearing to confirm this rough patch from those highlighting consumer's increased desire for hybrid cars, to those revealing several auto-makers' intent to cut back on lease programs, which historically had spurred Americans ability to obtain the popular SUV.  Even Ford, which popularized the SUV in the 1990s, has announced its intent to shift its focus to smaller cars.  And hence the quote is an entertaining and candid assessment of how the economy and other forces are impacting the car industry and, in turn, impacting the car buyer.  And the quote suggest, many people, for many reasons, can no longer afford the SUV--and this includes many who are currently driving them.  As a result, many people have or will have to make the shift to a smaller car.  To be sure, there is some debate about whether or not the apparent shift to the economically and environmentally friendlier smaller car will be a permanent one.  Moreover, to the extent American's tended to have a love affair with their cars, the New York Times story wonders if any passion will endure in this shift to the compromise car.

Full post as published by Conglomerate on July 31, 2008 (boomark / email).

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