Auto Industry
Industry: Email Alert RSS FeedFiat keeps Bravo's costs down; Crucial new car will break even at just 75,000 units a year.(Fiat S.p.A.)
Automotive News Europe, February, 2007 by Ciferri, Luca
Byline: Luca Ciferri
Fiat needs to sell only 75,000 units a year of its new Bravo hatchback to break even. It plans to sell 120,000.
The low breakeven point results from a decision not to install features "just for the sake of marketing or engineering pleasure," said Fiat Automobiles CEO Luca De Meo.
If Fiat wants to continue its recovery, the carmaker needs the Bravo to meets its target, which won't be easy in a segment that includes the Volkswagen Golf, Opel/Vauxhall Astra and Ford Focus.
To keep costs down, De Meo said Fiat asked the same question while scrutinizing each of the Bravo's potential features: Would a buyer really want it?
Among the things customers will not be offered in the Bravo are:
* A...
Brought to you by CBS MoneyWatch.com
- Best- and Worst-Paid College Degrees
- 6 Things You Should Never Do on Twitter or Facebook
- How Much Sleep Do You Really Need?
- 6 Big Myths about Gas Mileage


