If you run at single digit margins you have absolutely no ability to invest in development.
I agree with you in general, but to be fair that 24% margin is *after* all of the R&D, internal investment, etc, etc. So they could keep everything at the same level, which is among if not the highest in the industry, but 20% drop in price and still make 4%. This is true profit -- after everything else has been paid for -- if it was just an amortized profit per product without all the external costs wrapped in, then yea, 24% is not very healthy to begin with and 4% would put the company out of business.
Oddly enough, those same group of people don't take their vast meteorological knowledge to places like the national weather service where it could be put to better use.
Quoted for truth.
I hope that this effort of GM's succeeds at least well enough for them to continue R&D into EV's, but there are 2 significant problems I see that they'll need to overcome: First, they'll need a high-speed charging network that will allow for long-distance road trips...Second, the established dealer network has no interest in selling EV's.
I've always had this question, and I think that I know the answer (that the Big 3 aren't serious about EV's yet). There are dealerships *everywhere*, and they're large and have service bays. If any of these Big 3 were interested in EV's it wouldn't take much to help turn dealerships into quasi supercharger stations, where service and maintenance can also be performed. Heck, battery swaps too if the tech gets there. I think that once the Big 3 finally come full bore into EV's that the dealership network is going to have to be key to their strategy. Dealerships are independent, but if they help out and come up with the right incentives to put solar panels on dealerships and install fast charging stations, they could effectively cover all of the US in charging networks very, very quickly.
The only possible interpretation of any research whatever in the `social sciences' is: some do, some don't. -- Ernest Rutherford