ON THE TABLE

October 24, 2012

Editor-in-Chief's Note: That the auto manufacturers and their dealers have had a somewhat contentious relationship throughout history is no secret. When times are good between the parties and sales are solid, there's talk of "true partnerships" and much kumbaya-ing going on. When times are dark the two parties always resort to finger pointing and resentment. The old-school manufacturer attitude went like this: "If it wasn't for the fact that we supply you with product where would you be? Nowhere." And the old-school dealer attitude went something like this: "If it wasn't for the fact that we save your ass every day by making up for your dumb mistakes where would you be?" This whole auto manufacturer/dealer thing has come a long way. At least the two factions say it has. But yesterday, the chairman of the National Automobile Dealers Association blasted the manufacturers for messing with dealers' operations by dictating facility renovations and by creating two tiers of pricing for retailers. "Two-tier pricing and mandatory facility upgrades are symptoms of a bigger overall problem: manufacturer intrusion into dealers' businesses," NADA Chairman Bill Underriner said during a speech to the Automotive Press Association in Detroit. "The history of our industry is littered with automaker attempts to impose one-size-fits-all programs on dealers," he said. "These efforts at top-down control almost always fail." Alrighty then, back to square one. The dealers bristle at being order takers beholden to the manufacturers whims and they want to protect the fact that they're independent business people. The manufacturers think they should hold sway, because if they didn't provide the dealers product to sell, they wouldn't be independent business people in the first place. The dealer conglomerates have changed the playing field by quite a bit, but this manufacturer vs. dealer thing is likely to go on for years and years to come. - PMD

(Chevrolet)
When the all-new 2014 Chevrolet Corvette makes its showroom debut a little over a year from now, it will be powered by a technologically advanced, racing-developed, 6.2L Direct Injection V-8 delivering an estimated 450 horsepower and helping produce 0-60 times in less than four seconds. The new Corvette LT1 engine, the first of the Gen 5 family of Small Block engines, combines several advanced technologies, including direct injection, Active Fuel Management and continuously variable valve timing to support an advanced combustion system. From the GM release:

Though output, performance, and fuel economy numbers will not be finalized until early next year, the new LT1 engine will be...

The most powerful standard Corvette ever, with preliminary output of 450 horsepower (335 kW) and 450 lb.-ft. of torque (610 Nm).
The quickest standard Corvette ever, with estimated 0-60 performance of less than four seconds.
The most fuel-efficient Corvette ever, exceeding the 2013 EPA-estimated 26 miles per gallon on the highway.

“The Holy Grail for developing a performance car is delivering greater performance and more power with greater fuel economy and that’s what we’ve achieved,” said Tadge Juechter, Corvette chief engineer. “By leveraging technology, we are able to get more out of every drop of gasoline and because of that we expect the new Corvette will be the most fuel-efficient 450 horsepower car on the market.”

“The Corvette LT1 represents the most significant redesign in the Small Block’s nearly 60-year history – building on its legacy to make one of the world’s best engines even better,” said Sam Winegarden, vice president, Global Powertrain Engineering. “More than just great horsepower, the LT1 has been optimized to produce a broader power band. Below 4,000 rpm, the torque of the Corvette LT1 is comparable to that of the legendary, 7.0L LS7 out of the current Corvette Z06. The LT1 is a sweetheart of a power plant and drivers will feel its tremendous torque and power at every notch on the tachometer.”

(Chevrolet)
The upcoming SEMA Show next week will offer its usual array of eye-popping automotive candy, and the auto manufacturers will be well-represented. The Chevrolet Sonic Z-Spec 1 concept is a performance-oriented vision of the Sonic sedan, blending Z-Spec body bits with a more capable driving experience, including a power-enhancing exhaust system and upgraded brakes.

(Chevrolet)
The Malibu Turbo Performance Concept has a 2.0L turbocharged engine producing 20 pounds of boost - generating 259 horsepower – which powers it from 0 to 60 mph in 6.3 seconds with a top speed of 155 mph. We especially like the Berlin Blue Tricoat exterior paint and a Jet Black/Navy Blue interior. Chevy says, "It’s only a vision of where the Malibu Turbo production model could go..." We say, please go there.

(Chevrolet)
Sometimes production-intent vehicles show up at the SEMA Show, and this is one of them. The Chevy Sonic Dusk sedan is "designed to bring a higher degree of sophistication and refinement to the subcompact segment," according to Chevrolet. The SEMA show vehicle features a "production-intent" package with ground effects, a rear spoiler and 18-inch aluminum wheels with a Pearl Nickel finish. Painted in Ashen Grey, the Sonic Dusk's upper and lower grilles, door handle inserts and rear license plate trim are finished with a matte appearance. Stainless steel lower window moldings are also part of the package. The Sonic Dusk interior features Jet Black leather-trimmed seats with suede accents and Mojave tan inserts.

(Ford)
The Ford SEMA stable includes the Fusion Air Design by 3dCarbon, a "Euro Series" take on the new 2013 Fusion.

(Ford)
This 2013 Ford Focus ST is built by Tanner Foust Racing for the SEMA Show. Foust set out to build a competent weekend track/canyon warrior, but one comfortable enough to endure a Southern California commute. Improved performance including increased air intake, and a signature MagnaFlow exhaust for additional power, while fully adjustable front and rear suspension adds flexibility for top performance regardless of the track. Custom body kit additions are also part of the package.

(Ford)
This 2013 Ford Explorer Sport with 3.5L EcoBoost, Six-Speed SelectShift Automatic Transmission, and AWD was built by Forgiato for the SEMA Show. Forgiato starts with the Explorer Sport and adds TS Designs wide-body components, a Pearl White paint scheme, black & white Top Stitch upholstery, and radical three-piece forged 26- by 10-inch wheels, shod with Pirelli 295/30R26 tires.

Editor-in-Chief's Note: Our northwest correspondent, Dave Guyette, weighs-in on the Apple marketing model as compared to the traditional auto dealer model. - PMD

Apple vs. Chevrolet.

By Dave Guyette

Portlandia. Many readers have commented on the 'Apple' model for marketing, and I wonder how far that analogy applies to the automotive industry.

If we were to take Apple's example all the way, we would not have independent car dealers at all. They'd just be tightly controlled property of the manufacturers themselves. Apple store? Meet 'GM store'!

As it is today, car dealers are legacy of byzantine regulations rooted in a parochial 19th century world. But state and county lines are as quaint as area codes in an internet age of greater mobility and commerce.

I'm having a hard time justifying their existence. As a consumer, I've had bad experiences with dealers. As a taxpayer, I'm concerned when GM says one of its fundamental, fiscal problems is the intransigent dealers who hide behind archaic contracts.

If there is a case to be made for the existing dealer system I'd like to hear it. If there are reforms that can be implemented, I'd like to hear that, too.

Otherwise, I just might want to know when I can expect to buy my next car on Amazon. I've already got free shipping.

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