1975 Porsche 914 2.0l + 1.8l Parts Car Racing Wheels Disc Brakes 911 Front End on 2040-cars

Auto blog

Preserving automotive history costs big bucks

$1.8 million is spent each year to maintain GM's fleet of 600 production and concept cars.
When at least two of the Detroit Three were on the verge of death a few years back, one of the tough questions that was asked of Ford, General Motors and Chrysler execs - outside of why execs were still taking private planes to meetings - was why each company maintained huge archives of old production and concept vehicles. GM, for example, had an 1,100-vehicle collection when talk of a federal bailout began.

We get wet with Porsche's Cayman GT4 and 911 GT3 RS

In case you missed them, we recently published our First Drive impressions on the super-hot 2016 Porsche Cayman GT4 and the 2016 Porsche 911 GT3 RS. Spoiler alert: they're lovely. In order to properly test these new machines, Porsche let senior editor Alex Kierstein loose on Road Atlanta. But rather than a blissful day of warm, dry conditions, this test session proved to be a super gross experience. The track was soaked. But that didn't stop Kierstein from manhandling both coupes with confidence. Credit where credit's due, Alex said the tires on the GT3 RS were absolutely amazing, and proved helpful for getting the most out of the most hardcore 911 in these incredibly damp conditions. Have a look at Kierstein's experience in both cars, in the video above. We can't wait to get these bad boys out on some dry roads.

VW makes $23K on every Porsche sold, more than Bentley or Lamborghini

It's a good time to be in the luxury car business. In Volkswagen Group's financial report for the 2013 fiscal year, it is revealed that that Porsche enjoyed an operating margin of 18 percent. That means the Stuttgart brand made on average about $23,200 per car sold, according to BusinessWeek. Bentley wasn't far behind, and Audi (which was combined with Lamborghini) posted a 10.1 percent margin. This compares to only around 2.9 percent for the Volkswagen brand.
"Luxury brands are on fire," said Dave Sullivan, an industry analyst at AutoPacific. He said that the average profit margin is between six and eight percent. Brands like Porsche and Bentley have the benefit of competing in rarefied markets. Buyers looking at one their vehicles have fewer models to shop against and don't care as much about price. They can also charge more for options, which further boosts income, according to BusinessWeek.
In a way, we should be more impressed by the continued success from Audi. Its models generally have direct competitors in every segment from the other premium automakers. Plus, their buyers aren't the captains of industry who are shopping for a Bentley. Still, the Four Rings is leading rivals in sales so far this year.