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Weekly Recap: Geneva's splendor reflects growing demand for ultra-luxury cars

Geneva is one of the most glittering auto shows in the world, but the list of high-powered and bespoke luxury cars was decadent this year even by the rich standards of the Swiss exhibition. It's great for enthusiasts to revel in the flame-throwing Aston Martin Vulcan, the racing-inspired elegance of the Bentley EXP 10 Speed 6 concept and the insane performance of the Lamborghini Aventador LP 750-4 Superveloce, but there's a reason for all of this opulence: the luxury market is big business. And it's growing. IHS Automotive forecasts that so-called ultra-premium sales will nearly triple this decade from 123,000 to 353,000 units around the world. The estimate includes brands like Aston Martin, Bentley, Ferrari and Rolls-Royce, but doesn't count BMW, Mercedes and Audi, which offer less expensive models in addition to their high-end flagships. Though IHS includes Porsche and its relatively large volume in the study, the ultra-premium segment is still set grow at about the same rate, even without the German automaker's figures. So what is propelling all of this growth in the most expensive segment of the auto industry? Put simply, there's more rich people. IHS Automotive principal analyst Tim Urquhart pointed to economic expansion in China, market recovery in the United States and a surge in the lucrative technology sector as contributing factors. This dovetails with a research report by UK-based Oxfam, an international relief organization, which found the world's richest one-percent owned 48 percent of global wealth in 2014, and it's expected to increase to more than 50 percent by 2016. View 17 Photos Carmakers are moving quickly to capitalize with new products, expanding their portfolios with low-volume speedsters like the 800-hp V12 Vulcan at Geneva, and plans to enter new segments, like Rolls-Royce's strategy to make an SUV. "Ultra-premium carmakers are looking to explore ways of growing their product offerings, and thus their bottom lines, in this most potentially profitable of segments," Urquhart wrote in a report on the Geneva show. In a nutshell, there are more choices for people with more money. It's a good time to have expensive taste. Other News & Notes 2016 Mazda MX-5 Miata production launches It won't be long now. The 2016 Mazda MX-5 Miata arrives later this year, and it's officially in production. Mazda announced this week that the roadster began rolling off the assembly line at its Ujina factory in Hiroshima, Japan.

New J.D. Power Initial Quality Study puts Porsche, GM in spotlight

J.D. Power and Associates has released its annual Initial Quality Study, and this year, Porsche and General Motors took the spotlight. The study, which asks new car owners to report problems experienced during the first 90 days of ownership, found that overall, the industry averages 113 problems per 100 vehicles.
Porsche managed a score of just 80 problems per 100 vehicles, while GMC took the second spot on the podium with 90. Lexus filled out the top three with 94 problems per 100 vehicles, followed by Infiniti at 95 and Chevrolet at 97. The study also looks at specific models, and found the Lexus LS to enjoy the best initial quality at 59 problems per 100 vehicles.
Interestingly enough, the report found that around two-thirds of most owner problems experienced in the first 90 days are attributable to vehicle design instead of mechanical failure. Specifically - echoing a refrain we've been hearing for the last few years - owners are having a hard time figuring out how to use the technology present in their new vehicles. Head over to the J.D. Power site for more information, or scroll down below for the company's related press release.

GM recalls 51k Enclave, Traverse, Acadia crossovers over fuel gauge inaccuracy

With all eyes fixed on General Motors in the wake of the ignition recall debacle, the auto giant has been carefully calling in a wide array of vehicles to fix anything and everything that could prove problematic. Just the other day it issued two separate recalls - one concerning the Cadillac SRX and another its heavy-duty pickups - and now it is issuing another.
This time the vehicles in question are the Buick Enclave, Chevy Traverse and GMC Acadia, three fullsize crossovers based on GM's Lambda platform. In an estimated 51,640 units manufactured between March 26 and August 15, 2013, the engine control module has been found to incorrectly display the level of fuel in the tank.
As a result, owners are being notified to bring their vehicles in to their local dealers to have the ECU reflashed to fix the problem. View the full details in the announcement below from the National Highway Traffic Safety Administration.