Cayenne Crisis: Porsche Might Be Selling Well in China, But Not in Spain
Spain is one of the hardest hit markets in Europe, with huge debt piling up on top a sticky employment situation where a large portion of the population isn’t working right now. Like many other countries, the housing are realastate market boomed before the economic crisis hit, changing some people’s fortunes for the worst virtually overnight.
Bloomberg reports on one such story - Roberto Murga, a construction manager from Barcelona, who used to make as much €8,000 per month only three years ago. Her pride and joy, a platinum gray Porsche Cayenne, has tuned from being a status symbol to a leather and chrome financial burden.
“I can’t splurge anymore, and maintaining my precious Cayenne is just too expensive,” said Murga. “We have no profit at all. We just try to survive.”
“This car was the paradigm of how we lived above what we could afford. Banks were giving way too many loans and everybody here was driving a Cayenne,” said Victor Conde, marketing professor at Madrid’s Universidad Nebrija, who describes the “Cayenne crisis” as a symbol of the way things went from over the top to down in the gutter.
The unemployment rate, which has reached over 20 percent will ensure that the market has very little chance of returning to the boom-era levels this decade, according to most analysts.