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Wed
Sep 03 2008

Volvo must be Volvo

Chas Hallett

Volvo has a new boss and the fact that they're parachuting in a big cheese from Ford of Europe probably gives us all the clues that we need that the Blue Oval is committed to keeping its Swedish arm.

Volvo But what should the new man be doing? Getting Volvo back to making money is the first job and that's no easy task right now.

What he should also be doing is thinking hard about where to pitch the company. Volvo's been trying to hard to emulate the upmarket Germans lately and its fallen way short. S80 vs 5-series or A6 anyone? Let's face it, some of its cars can't even outclass the Fords that they share platforms with.

So Volvo should start making cars that can only come from Volvo: stylish, ultra-safe, comfortable and environmentally friendly.

After all, in the current climate buyers could and should be keen to buy into these sort of attributes - especially if they are noticeably better value than the Germans as well. It's just about putting some desirable products in the showroom.

Admittedly the new XC60 looks like being on the right lines. But I've got a a sneaking feeling that with Volvo's expertise and Ford's support there's a lot better than that to come. The best thing it can have its it's own unique identity, the worst thing it can be is a sub-standard German alternative.

 

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About Chas Hallett

Makes all the big decisions at Autocar, including whether he’ll drive the Aston, or the Kia, home. Is currently preoccupied by small turbo petrol engines and whether the internal combustion engine is doomed.

Comments

W124 September 4, 2008 11:31 AM

The base model S40 and V50 on steel wheels seem the most Volvo ish' cars in the range from a European point of view.  Don't Volvo sell loads of X90's in the states though? - They should make the next one rear wheel drive, lighter and simpler and build it in the US somewhere.  Where do they build the X90?

tolis September 4, 2008 9:16 PM

The XC90 is built at the Torslanda factory in Sweden. That's why Volvo does not make profit in the US and keeps selling fewer cars there as US dollar is very cheap and swedish krone very expensive(unfavourable exchange rates).

Finally british are so keen on Ford to see that Volvo cars are far better than Fords...it's hard to believe that new Land Rover engines are designed in Sweden than the UK...

W124 September 5, 2008 4:49 PM

I suppose that must be it really. Volvo's problem is widely different customers in the US and Europe and no factories in the US like BMW and Mercedes have to build the X5 and M Class - The Germans must be hard to compete with as they are bringing cars back from the US for the Euro market - a far superior business arrangement - surely if Ford own Volvo they can find a way of producing the next X90 there?

unionjack September 11, 2008 9:52 AM

I think the biggest problem with Volvo has been that its line-up has been oddly positionsed, compared with the competition. I agree that the S80 vs A6/5 series does not work, whilst the XC90 and the V70 can give the X5/ML and 5 series / E class estates a good run for their money. Here is what I think in an ideal world the Volvo line-up should look like: XC90, (no S80!), V70, XC60, a small saloon and estate around the size of a 3 series / A4 / C-Class, C30 or equivalent Golf / A3 competitorin 3 dr and 5 dr guises. In addition, I think Volvo should seriously consider building its own versions of the S-Max and C-Max. Volvo needs to position itself as the provider of upmarlet and stylish family transportation, with pricing above mainstream, but just under the premium marques. I know enough people who would love to buy S-Max and C-Max equvalents froma premium manufacturer, but are unwilling to get a B-Class because they think it is ugly and not worth the money. In time, if they feel they need to maketh line-up look sexy, the can add CC or coupe versions of the small 3 series equivaent - like the current C70, but priced competitively.

unionjack September 11, 2008 9:54 AM

I think the point about a Us base is a valid one. Some of the production should move to the US, given that it is one of the biggest markets. Also, I am sure Ford can find enough spare capacity at one of its many underutilised production sites.

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