Not long ago a group of high-profile realtors got together to discuss hybrid cars and one prominent Southern California realtor asked why she does not see more hybrid cars on the street considering the high-cost of gasoline? She asks:
How Come it Has Taken so Long to Get Decent Hybrid Cars on the Market?
There are a many reasons why hybrids have taken so long to come to market - one of the biggest reasons is that it costs a lot of money to re-tool factories and each time a carmaker starts making a lot of money that they might be able to re-invest the Auto Union threatens to walk-out if that money is not given to them in increased wages or benefits.
Another huge reason is class action lawsuits, in fact the Toyota Prius just had its 10-year anniversary and it was a victim of some very high-profile class-action lawsuits. Still another reason is due to the fact that a hybrid - is by its nature a dual system, that is to say gasoline and battery power and the batteries are charged thru regenerative breaking. That means it harnesses energy as the car slows or stops.
Great idea, but the car is more complicated and that means more things can go wrong; Murphy'ism and it also means it costs more money to make them. But, there is still a price point that the consumer will pay for and where they will not. Once it approaches that price, it means less demand and fewer sales, this means automakers are not getting the benefits of mass production "Henry Ford Theory" or economies of scale. Therefore, there is less profit in making them.
Even when the Bush Administration twice extended the hybrid tax credit as part of a set of initiatives to help slow the addiction to foreign oil, there were fewer cars produced as hybrids and there were waiting lines. Automakers did not wish to take the risks in sketchy political climate and a sea of shark-infested lawyers. The early Toyota Prius' did have a few problems and the company was sued big time. Something to contemplate in 2008.
"Lance Winslow" - Online Think Tank forum board. If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/. Lance is an online writer in retirement.
Author: Lance Winslow
Article Source: EzineArticles.com
Duty tariff




