S40 T5 Awd Beautiful Blue With Black Leather on 2040-cars

Auto blog

Volvo's plan for China: sell them on the clean air inside the car

Large Chinese cities aren't known for having clean air. Just this week, the Chinese city of Harbin filled with record levels of smog after starting the city's coal-fired heating system, according to CNN. But Li Shufu, the chairman of Geely, Volvo's parent company, says the automaker's astute attention to cabin comfort in areas such as air filtration is a selling point for the Swedish automaker in China, Forbes reports.
Shufu says when he is inside a Volvo, he feels like he's in Northern Europe, but when the door is opened, he feels like he's in Beijing. The chairman made the remarks at the fourth annual Global Auto Forum (GAF) in China (which also happened to be attended by Alan Mulally, CEO of Ford, which was Volvo's owner until 2010), where he emphasized Geely's hands-off approach to managing Volvo, saying, "Geely and Volvo are brothers, not father and son."
While good filtration contributes to cabin comfort, the way we see it, Shufu also is allowing Volvo to play to its most well-known strength: safety. Smog protection via air filtration might not seem like the most important safety feature for a car in the US (unless you live in Los Angeles), but when you consider that Harbin's level of fine particles was up to 30 times higher than the World Health Organization's recommended standard on Tuesday, we'd think twice about that. Fine particles, which are 2.5 micrometers in diameter or less, are considered to be the most harmful to health.

Volvo readying stretched next-gen S80 in lieu of 7 Series rival?

The debate about what direction to take perennially struggling Volvo has been raging for years. Should the Swedish marque go upscale and try to chase other European luxury brands, or should it stick to its safety-minded knitting? Should it adopt flashy new styling and a more overt performance bent, or keep it Scandinavian clean and responsible? Chinese parent brand Geely apparently has designs on making Volvo a full-fledged BMW rival - particularly in its homeland - including pushing for a range-topping 7 Series competitor. However, Volvo execs have been repeatedly pushing back on the idea. In fact, it's understood that this philosophical crisis contributed mightily to the high-profile departure of Stefan Jacoby, the company's CEO until the middle of 2012 (Jacoby has since rebounded to head international operations for General Motors).
There doesn't seem like any middle path in this debate, but that apparently isn't going to stop Volvo from trying. According to a sprawling Reuters report, Volvo will placate Geely chairman Li Shufu with a stretched and lux'd up version of the next S80. Yet Li still isn't completely satisfied, and he's said to be pushing for "a plusher and bigger model he calls the S100" to rival cars like the Audi A8. For the moment, it is not clear if the larger S80-based model will be a global offering, or just another one of China's many home-market, long-wheelbase specials.
The question of future Volvo styling is up for debate as well. According to Reuters, "Insiders say Li is a big fan of the new styling that design chief Thomas Ingenlath has brought to Volvo" (The latest example, the Concept Coupe from this week's Frankfurt Motor Show, is shown above.) Yet there are those who worry whether the company's new styling strategy is showy enough to appeal to China's wealthy. Chairman Li would still like to see a range-topping sedan for "show-off people," but Volvo's management doesn't want to go down that road. Clearly, this won't be the last we hear about the company's existential boardroom battles.

Car subscription services: A slow, expensive start — but the potential is huge

Americans are used to paying for subscriptions — to magazines and cable television, for instance — but experience shows they'll cancel when the price of admission gets too high, or there are more tempting alternatives. Cord cutters ditched nearly 1.5 million pay-TV subscriptions in 2017, according to a survey by Leichtman Research Group. Cable TV started out cheap with basic offerings, and then got expensive. The auto industry's subscription offerings are new, but they're starting out costly, and not price-competitive with traditional leasing. The upside is that they take the hassle out of car ownership for busy people by letting the service take care of maintenance, insurance, licensing and taxes. And they give consumers choice, often allowing relatively painless switches between different cars in the automakers' lineup. Subscription services also point the way toward an ownership-free auto experience, and offer an easy transition to a potential world where ride- and car-sharing will be dominant. Subscriptions are here to stay, but consumers may take a while to "get" them. Lincoln's subscription service for lightly used 2015 to 2017 models, offered through the Ford-owned Canvas beginning this year, got off to a slow start. Many early subscribers canceled. Last month, Cadillac announced it would " temporarily pause" its $1,800-per-month Book subscription service for "adjustments" as of December 1. According to the Wall Street Journal, "Snags with the back-end technology used to support the service made some customer-service functions tedious and time-consuming, adding costs for the company." The challenge for automakers is to come up with a strategy that offers consumers a compelling, affordable option to regular ownership, and one that can also make a profit. I think they'll find that sweet spot, but they're not there yet. Jack Nerad, former executive editorial director at Kelley Blue Book and author of " The Complete Idiot's Guide to Buying or Leasing a Car," points out that "A lot of people expected that subscriptions would be very valuable for people who wanted inexpensive transportation, but the reality is quite the opposite. Subscriptions are offering more choices for the wealthy.