The example is the Telluride though? That’s the whole point. Of course any sane person would pick a cheaper car. For that matter why would you ever buy a brand new car?
The example is the Telluride though? That’s the whole point. Of course any sane person would pick a cheaper car. For that matter why would you ever buy a brand new car?
I definitely agree, but I went with the option which would have the lowest monthly payment. On the other end local rates have a 36 month loan at 6.75%, but that’s $1,800 per month.
I just Googled and the 2024 Telluride has an MSRP of ~$55,000 in my area, used 2023 models are about ~$45,000.
Looking at an auto loan calculator, that’s between $700 and $900 per month with a 96 month 9% auto loan.
Point is, if you can afford the car you’re probably not worrying about the subscription except on principle. If you can afford the car and have principle concerns you’d probably buy a different car.
People seem to forget that the way Henry Ford was so successful was that he paid more than double the normal rate of that time. He of course didn’t do it out of the goodness of his black heart, but it’s undoubtedly one of the reasons for his success.
Eh, a quick Google search said that Tesla wasn’t profitable for 17 years and survived due to government subsidies and investor funding. After that they’ve been making ~$15 billion per year and sold around 1.3 million cars worldwide per year.
In contrast Toyota sold 10.3 million vehicles and made $61 billion in profit.
As with their 17 years of unprofitable business they are currently more proportionally profitable, but a big portion of that is Musk fanboys and limited supply. If they actually started selling more cars they probably wouldn’t be as proportionally profitable.
Additionally, Tesla is supposedly becoming less profitable due to several factors including not making a new model in 10 years, reports that they fraudulently marketed features (being sneaky with how range is calculated so that the true range is way less than advertised), and Elon’s antics hurting sales. Elon’s antics are a big deal, some people who wanted Teslas before don’t want them anymore because they don’t want to be associated with him (like flying a Gadsden Flag in the mid 2000s vs now).
Elon’s antics don’t stop there, he’s also hurt the investor’s opinion as well. A big reason Tesla’s stock was so high is because people were buying them and not selling them. This caused their price to stay super high, but when Elon bought Twitter he sold a ton of stock. The price was at an all time high over $400 per share, his selling cratered it to ~$115, and is currently around $165. Investors don’t like it when the owner of a company single handedly tanks their investment so the owner can make a bad investment, even more so when the writing on the wall says he’ll sell even more of the stock to fund the bad investment.