What is a luxury car?

On tails of my sickening with consumerists particularly of the American type, Businessweek had this gem regarding the New York Auto Show. Good news folks — the price of luxury vehicles are now $50,000 – $80,000!

What’s the price range of a luxury car? From a starting level of wannabe luxury at $30,000 to $45,000, the price tag moves to $50,000 to $80,000, then to around $110,000, and ends with a few at a tad under $150,000. Of course, there are also the hedge-fund levels in the mid-six figures—and even higher.

As some of you know I have mini, which I adore. With my GPS, convertible top, sound system, and seat warmers additions I still got it for several hundred dollars under the now-old $30k luxury market. And I felt sickened paying this much for a car.

Who can afford this? Probably the top 1% of american wage earning families! According to TNS Financial Services, there are 8.9 million millionaires in the U.S. today, with an average net worth of $2.2 million. Big spenders! Sadly, though, it is probably the top 10% making over $100,000/yr that try to act like they can afford this. If you are reading this, you know who these people are. Yeah, probably your neighbor.

And how is business?

In 1993, Porsche sold 3,700 cars for the year. That’s what we now sell a month.” – Peter Schwarzenbauer, president and CEO of Porsche Cars North America.



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