Comment Re:Volvo but not Polestar? (Score 1) 103
People ask why don't Americans drive small cars? Because nobody sells them
Depending on what you define as a small car, this is absolutely not true. There are well over 1 million Toyota Corolla class cars sold annually in the US. Not a single one of these cars is made by an American company. They are mostly Japanese and Korean.
Why does this happen? Executive bonuses. That's why. Compact cars have 5-8% gross margins, but bigger cars like SUVs and trucks have far greater gross margins in the 15-25% range. American companies have myopia. They want to maximize profits now and don't care about or don't understand future profits. They completely believe that the innovator's dilemma is fake news. Yet, Japanese and Korean companies have 40-45% of the US SUV market, and some of this is due to follow-on sales from those 1 million compact cars sold every year.