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Why won't our auto manufacturers match the foreign warranties?

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smartvoter Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:14 PM
Original message
Why won't our auto manufacturers match the foreign warranties?
When I bought a van, I agonized over it but ended up with a Kia because it had the best crash test rating (I have kids) and it has a warranty that leaves the US dealers in dust.

Why won't our dealers compete? I wanted to buy an American brand (though I realize nothing is "really" American anyway) but they made it impossible.
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tk2kewl Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:16 PM
Response to Original message
1. Consumers can show up at the CEOs door more easily than going to Japan
:shrug:
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billbuckhead Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:28 PM
Response to Reply #1
9. Actually Dodge has a slightly better crash rating and is best seller
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dsc Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:17 PM
Response to Original message
2. My dad has a very good warrenty on his Hyundi
Edited on Tue Jun-07-05 11:18 PM by dsc
but there is a catch. You have to get several expensive things done to keep the warrenty in effect. He recently paid over $200 bucks to flush out his trany at 30k miles. Not covered by warrenty. I don't have to do that to keep my Ford warrenty in force.
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Mythsaje Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:18 PM
Response to Original message
3. Because they can't afford to!
Wife wanted a sporty car--we blew past the new Mustang and bought a Tiberon. 10 year, 100,000 mile warranty. And cheaper. And holds its value better.

It's a no brainer.

The new 'stang probably isn't American made anyway. Plus it's STILL a rear-wheel drive.

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mahatmakanejeeves Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Jun-08-05 12:07 AM
Response to Reply #3
12. it's STILL a rear-wheel drive car
So are BMWs, Mercedes, Bentleys, Porsches, Ferraris....

Maybe that's not a bad thing.
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Psephos Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:18 PM
Response to Original message
4. KIA uses the extended warranty as a marketing fix
They had bad (and I mean BAD) quality problems when first introduced. They've gotten somewhat better, but a lot of people were burned. Hyundai does the same thing for the same reason.

Long warranties cost money. Lots of it. Compared to losing marketshare or going bankrupt, however, they can be justified as a cost of doing business. As a long-term strategy, however, they are unsustainable. The marketplace does not reward inefficiency, especially in this age of globalization.

Peace.
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smartvoter Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:24 PM
Response to Reply #4
7. Well, the last time I bought a Ford, and they refused to
allow the purchase of an extended warranty and it was loaded with problems all through the warranty period. The mechanics could guess at the problems they were so common in the Windstar. This played a big role in our follow up van purchase.
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johnaries Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:20 PM
Response to Original message
5. Because a good chunk of their profits come from replacement
parts.
Everyone who is a mechanic or knows a mechanic or who has had to buy replacement parts knows that.
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napi21 Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:22 PM
Response to Original message
6. How long have you had your Kia van?
Have you had any problems at all?

I thought about buying the real cheap Kia, as a throw away car. Drive it until the warranty runs out, and get rid of it. It won't be worth much, but at less than $9,000 I figured it was worth it.


Then I started checking on line for consumer references on the Kias. there were many who saaid the warranty was great, except when they took their vehicle in with a problem, the dealer didn't know how to fix it! I don't like that at all, so I crossed it off my list!
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smartvoter Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:25 PM
Response to Reply #6
8. I have had zero problems. 2 years, 22k miles, so early still... nt


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napi21 Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:32 PM
Response to Reply #8
10. I hope that continues for you.
What I read fron the people who bought them scared me, and I decided I wasn't prepared to spend $9,00+ to take that kind of a risk.
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Eloriel Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jun-07-05 11:35 PM
Response to Original message
11. Why won't they match the foreign engineering and design?
That's why I haven't owned an American auto since 1976 I think it was. I just can't stand the way they handle.
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uncle ray Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Jun-08-05 12:47 AM
Response to Original message
13. i don't know that the warrantees are that great
yes they look good on paper, but do they really stand behind them? about a month ago, i spent the weekend with a car magazine writer, his transportation was a long term loaner SUV from Hyundai, while in Texas, from California, the Hyundai developed a short circuit that the Hyundai dealer could not find or fix, the result being the Hyundai's computer hunting for a good ground circuit when you turned the headlights on, so it would cycle thru all the wiring circuits in the Hyundai, honking the horn, turning on the wipers, etc. all by itself. he had to drive the broken Hyundai back to california in daylight only because he could not use the lights. now keep in mind, this isn't just some "ordinary" Hyundai owner, this was a magazine writer who is supposed to write a glowing review telling how great the Hyundai SUV is! and he got NO service!
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