Tesla's price cut on Model 3 and Model Y has caused much discussion due to its scope. Some Chinese manufacturers have reacted immediately by reducing the prices of their electric models. Recently Ford also announced that it had lowered the list prices of its Mustang Mach-E, for the moment only on the American market.
The Volkswagen Group, on the other hand, < strong>doesn't want to get involvedin what many already have; dubbed as the "electricity price war". In an interview with “Frankfurter Allgemeinen Sonntagszeitung”, the new CEO of the German group, Oliver Blume, made his position very clear.
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We have a clear pricing strategy and focus on reliability. We trust in the strength of our products and brands. The goal is not the size at any price. For me, our ambitions are all about adding value and profitable growth.
In short, the Volkswagen Group therefore says it is very sure of the strength of its products . Furthermore, the company's plan aims to achieve profitable growth, without having to focus on volume costs at all. So, the message is. very clear: there will be no significant price cuts on electric cars to follow the path taken by Elon Musk's company.
After all, this strategy of price reduction at all costs is the best choice. "dangerous" from a business point of view as it can “ have negative consequences for budgets. Volkswagen says "no" the electricity price war. Perplexity on the strategy of the American brand also come from Fabrice Cambolive, recently appointed managing director of the Renault brand. Speaking with Automobilwoche, the manager highlighted that " in a week, this – affects residual values and harms existing customers. What matters to us is the stability."
All that remains is to wait to understand how it will behave. the market and if other manufacturers will try to follow Tesla's path or if they will follow the German group.
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