Well, it sounds like AHM feels that it's cars are not discounted. This while the Big 2.5 and some others have lost the ability to set prices.
Of course, AHM and Toyota tend to price their cars reasonably while the others price their cars at very unrealistic MSRPs...
Case in point, in this month's Car and Driver they review the new Buick Minivan.. this baby is priced at almost 34K as tested. Now, that's a sad joke of a price, because not only is this thing woefully underpowered (200bhp/AT4) but is old all over even as GM introduces it as "all new". So... while the main article plays politics and doesn't falt out pan the whole thing, seemingly content on saying that it will be a good value when the incentives kick in, the "side glances" just go all over it.... I mean, who in the world at GM even thinks that anyone is gonna pay 33K for that thing? One of the writers notes that Buick better not hope anyone is crossshopping with an Odyssey. Heck, that Buick is so bland and second rate that even a Hyunday minivan looks better.
Another case in point.. at the LA Auto Show they had a Mercury Villager (or whatever they call it now) minivan that was abysmal.. and the MSRP was $37K! Thirty seven thousand dollars for what?
Note: I should know about Minivans... we just picked up our 05 Odyssey EX and for the first time I have driven a minivan that drives well. Not 'well for a minivan" but well in the absolute schema of car things. Toyota has to fear this, and GM and Ford have to realize that they're screwed.
IMHO, Ford, GM and others have lost complete control of their pricing power by inflating the MSRP of their vehicles (all second rate) and then resorting to "incentives" to many it.
The Big 2.5 make sub Hyundai quality minivans with Toyota/Nissan MSRPs. Not until they adjust the reality of those two, ie: MSRPs at the 23K level or vehicle quality of the Japanese Big 3, there will be huge "incentives" and discounts.
Which is of course funny, in a sort, because then comes AHM, with as much quality and better engineering than a Toyota and still UNDERCUTS every one.
That's why a 200 dollar increase in a Honda car will be peanuts. The products are well priced and well made and AHM makes enough money off them that can always push the metal with Honda Financial deals.
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