by frankthetank » Tue 01 Jul 2008, 10:42:01
Not totally related to the big 3, but they are opting for foreign cars instead of US clunkers.
This should work out well...
$this->bbcode_second_pass_quote('', 'M')embers of “Gen Y” — a famously fickle age group loosely defined as those born between 1978 and 1994 — don’t feel they need to earn their luxury, observed Ed Kim, director of industry analysis for AutoPacific, which tracks the automotive industry.
“They want it now, and they feel they deserve it now,” he said.
I'm sure they do deserve it.
$this->bbcode_second_pass_quote('', 'B')ut where, you might wonder, do today’s kids come up with the money to afford a $62,000 luxury German car?
“Common wisdom would hold that young people can dream about buying these cars, but that they couldn’t actually afford [them],” said Kim of AutoPacific.
The answer, he explained, is that youngsters are spending the rent money on their car payments.
“Generation Y is shaking out very differently to other generations,” said Kim. “There are unprecedented numbers of boomerang kids who come home after college and stay a long time.”
Living with the parents rent-free frees up cash for flashy rides like the M3, he said.
“They are not paying rent; they are not paying utilities. The temptation is huge to go out and buy a high-dollar performance car,” Kim said.
Living with mom and dad. Good job kids.