Re:Making Audi A Player

["George S Achorn III" <coolidge@nicom.com>]

Jeff Wrote:

>I realize that Audi and VW are closely tied at the corporate
>level these days, but just exactly what is the relationship?

	I'll clarify, though this is probably common knowlege. VWAG or VW the
corporation own four brands of cars. I will list them from top to bottom in
marketing level from hifhest luxury to lowest. 
1. Audi- no explanation
2. VW-again no explanation
3. SEAT- Spanish subsidiary, marketed just below VW. Sold only in Europe,
but expansion planned to South America. SEAT Ibiza GTi is a cool little
contender with 16V engine, this polo based coupe is today's version of the
Rabbit GTI.
4. Skoda-Czech subsidiary. This is the most price concious of the line.
Skoda builds mostly small cars, but is releasing it's first A Chassis
sedan,  a 4 Door hatchback.

	Audi and VW are like Chrysler and Plymouth if you will. The only overlap
in their product lines is perhaps the A4 and the new Passat ('98 based on
the A4, but more rear seat legroom, and cheaper, about $22K). A big problem
is that for some people, BMW, Benz and even Lincoln compete with Audi for
sales, and if dealers have more incentive to sell their Lincolns, or if
they know more about Lincoln then Audi,  then that is what they will push.

>How does Porsche fit in to the picture (or don't they)?

	Porsche is the last privately owned Sports car builder in the world. They
are still owned by the family of Ferdinand Porsche. I think at one time VW
had some controlling interest, but the Porsche's and the Piech's bought it
all back. Recognize that second name? Ferdinand Piech is something like the
son of one of Ferry Porsche's daughters. 
	Ever wonder why the way cool Avus and Spyder Quattro's were never built?
Porsche was week and almost selling out at the time, possibly to Benz or
BMW. VW did not have the cash to buy, they were also weak. So, with the 911
redesign about to happen, an Avus and especially the Spyder would have
possibly killed Porsche as a private company, and there is more than one
person on VWs board who didn't want that to happen. Sounds like a soap
opera doesn't it?
	Porsche fits into the dealership mold with VW and Audi because, again,
there are no overlaps. Perhaps when the TT is released, but again, that is
about $10K less than the Boxster.
LAter-G