... harsh times are coming for the Swedish car manufacturer. A brand which once stood for strength, durability and most of all, safety, is now on the verge of falling out of its owner's and even its customers' graces. After countless press releases technically stipulating the same damn thing ("We ain't sellin' Volvo, yo", ed), Ford has finally made up his mind about what to tell the media and admitted to wanting to ditch the Swedes from their already crumbling line-up of car brands.
Alan Mulally himself has said that "Volvo is a good brand, but Ford will sell it in order to shift its main focus on developing the Ford brand." Right... Do you any of you guys remember Ford's "Premier Auto Group"? It included Volvo, among other brands like Jaguar. Naturally, it no longer exists.
Anway, just like in numerous other recent cases, the Chinese have again jumped on the shopping frenzy. To many deep-pocketed Asian car makers, I suppose this feels like a rebate sale. Premium brands at bargain prices, what more could you possible want? As I mentioned sometime before, I am fully supportive of this Asian invasion, but only if it means that better cars will be designed and built.
Let's take our case study for example. None other than Volvo, the "safety'r'us" car maker from the land of IKEA, beautiful and busty blondes, bestiality and good vodka. They have a pretty well-established brand, right? That itself should be worth something, even if sales have been on the down low and Volvo Cars has failed to earn any money for almost ten whole years now.
Still, I gotta say I just can't believe the alleged $2.5 billion offer from the Geely Holding Group Company didn't tickle any Ford senses a couple of weeks ago. According to the Wall Street Journal, this was the highest bidder for the dying brand. Until this week, that is, when the same WSJ said that a private-equity-backed group called the "Crown consortium" is in talks to buy Volvo as well. Details of the matter are pretty scarce at the moment, but that's not all.
Apparently the Crown consortium is led by former Ford director Michael Dingman and former Ford and Chrysler executive Shamel Rushwin. But wait, the plot thickens even more. According to the Wall Street Journal, who doesn't cite official sources, the aforementioned group began discussions with Ford about Volvo Cars two years ago. You know, back when Ford was denying any plan to sell the brand...
What will the next couple of months bring for Volvo, then? My personal guess is that it will no longer be under the Ford umbrella. Although until now I was under the impression that Geely or some other Chinese giant would finally break into European (and world) territory by buying into a well-established brand, now I no longer know what to believe. Just like Saab was "saved" at the last moment from a Chinese take over thanks to Koeniggseg's unlikely intervention, Volvo might "suffer" a similar fate and not fall into Chinese hands. What do you guys think?
Alan Mulally himself has said that "Volvo is a good brand, but Ford will sell it in order to shift its main focus on developing the Ford brand." Right... Do you any of you guys remember Ford's "Premier Auto Group"? It included Volvo, among other brands like Jaguar. Naturally, it no longer exists.
Anway, just like in numerous other recent cases, the Chinese have again jumped on the shopping frenzy. To many deep-pocketed Asian car makers, I suppose this feels like a rebate sale. Premium brands at bargain prices, what more could you possible want? As I mentioned sometime before, I am fully supportive of this Asian invasion, but only if it means that better cars will be designed and built.
Let's take our case study for example. None other than Volvo, the "safety'r'us" car maker from the land of IKEA, beautiful and busty blondes, bestiality and good vodka. They have a pretty well-established brand, right? That itself should be worth something, even if sales have been on the down low and Volvo Cars has failed to earn any money for almost ten whole years now.
Still, I gotta say I just can't believe the alleged $2.5 billion offer from the Geely Holding Group Company didn't tickle any Ford senses a couple of weeks ago. According to the Wall Street Journal, this was the highest bidder for the dying brand. Until this week, that is, when the same WSJ said that a private-equity-backed group called the "Crown consortium" is in talks to buy Volvo as well. Details of the matter are pretty scarce at the moment, but that's not all.
Apparently the Crown consortium is led by former Ford director Michael Dingman and former Ford and Chrysler executive Shamel Rushwin. But wait, the plot thickens even more. According to the Wall Street Journal, who doesn't cite official sources, the aforementioned group began discussions with Ford about Volvo Cars two years ago. You know, back when Ford was denying any plan to sell the brand...
What will the next couple of months bring for Volvo, then? My personal guess is that it will no longer be under the Ford umbrella. Although until now I was under the impression that Geely or some other Chinese giant would finally break into European (and world) territory by buying into a well-established brand, now I no longer know what to believe. Just like Saab was "saved" at the last moment from a Chinese take over thanks to Koeniggseg's unlikely intervention, Volvo might "suffer" a similar fate and not fall into Chinese hands. What do you guys think?
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