1995 Porsche 911 Carrera on 2040-cars

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Automakers paying Chinese dealers for lower-than-expected sales

The Chinese dealers vs. foreign manufacturers story won't quit. It began with a story on the struggles faced by FAW-Toyota joint venture dealers, with supposedly 95 percent of the showrooms losing money, and 10 percent of them doing so poorly that they'd have to exit the business. The problem is mandated sales targets, most set when the country's economy was racing. Now that things have slowed, China's dealers are swimming in unsold cars and the costs to keep them. In the case of FAW-Toyota, dealers asked Toyota to hand over 2.2 billion yuan ($355 million) to help address the situation. That was followed by a report noting the issues that Honda, BMW, and Nissan dealers are having with the same issue, revealing that the Chinese Automobile Dealers Association (CADA) had taken the highly unusual step of writing to the Chinese government to complain. Now Reuters reports that CADA is not only pressing its case even harder, it's being open about it: it announced that BMW agreed to pay dealers 5.1 billion yuan ($820 million) to alleviate poor profits last year. Unnamed sources said Audi has thrown 2 billion yuan into the kitty for subsidies, and Daimler has contributed "about 1 billion yuan" to its dealers. The battle isn't just about 2014, but how business will be run in 2015 as well: Chinese Porsche dealers have requested the automaker lower its 2015 target of 64,000 cars, which would be a 40-percent increase on its 2014 sales of 46,931 vehicles. One analyst called it "shocking" that the CADA has taken its fight public, while CADA comments continue to imply that dealers have been railroaded to the cliff's edge without recourse. "Due to the difference in status," it's deputy secretary said, "individual dealers are not willing to, or don't dare to, talk frankly with the carmakers...." Both parties need one another, so they'll figure out a way to make it work – but that could mean acknowledging the Chinese market is behaving more like a mature one, not an emerging one. News Source: ReutersImage Credit: Lintao Zhang/Getty Images Earnings/Financials Audi BMW Porsche Toyota Car Dealers Luxury

Porsche Exclusive showcases custom-order 911 Turbo Cabrio

Porsche is one of the most profitable automakers in the business. In fact, it's said to make about $23,000 on each car it sells, thanks in no small part to an options list that can send the sticker price accelerating quicker than one of its own sports cars. But there are always those for whom even the extensive option list won't be enough, and for just such customers, there is Porsche Exclusive.
The division in Zuffenhausen is tasked with creating even more individualized examples of Porsche vehicles, and it recently did up this 911 Turbo Cabriolet - which, at $160,700, is already one of the most expensive Porsches you can order this side of a 918 Spyder: more than any Boxster, Cayman, Macan or Cayenne, any Panamera other than a Turbo S or Executive - not to mention any other 911 short of a Turbo S.
This particular demo vehicle features a Slate Grey paint job and red interior decked out in more leather than an S&M dungeon - which, come to think of it, would probably be less financially painful than ordering up this car from Porsche Exclusive.

Mercedes-AMG GT vs. Porsche 911 [w/poll]

Mercedes-Benz designed the AMG GT to compete head-on with the Porsche 911. It's a clear, singular purpose, and Benz brings a lot of money, technology and race-bred expertise to the fight.
The AMG GT is Merc's followup to the awesome SLS AMG, the retro-modern, gullwing-doored coupe that took us by storm half a decade ago. But this new GT coupe is a more focused sports car than the SLS, rather than an all out supercar capable of extreme performance. It's got a brand-new V8 engine, and state-of-the-art technology that help it to not only be a proper Mercedes, but to be a serious performer.
Mercedes will sell its new baby in two models. The GT S arrives first, in spring 2015, followed by the standard GT in mid-2016. Of course, there's room to grow from there. And while Porsche may have already expanded its 911 range to include a vast variety of models, here's how Stuttgart's icon stacks up against Affalterbach's bad boy.