Not really, it seems to be standard practice to use a 1 for 1 dollar for
pound exchange rate for any goods sold in the US. A $30 US book will sell
for #30 in the UK. The Sega products are also priced on this imaginary
1 for 1 exchange rate. This info is pretty current - I have compared
prices of both the US and UK Sega products in the last week.
The British, and many other European consumers, are being totally ripped
off by ridiculous pricing. Many consumers are becoming aware of bargains
to be had by overseas shopping:
1) 10% of the Beer consumed in the UK is imported from French hypermarkets.
2) If you want info on buying goods in the US and importing them, I would
recommend the following book:
Buying Direct from the USA by Richard McBrien available from:
Running Heads International, Grove House, 82 East Dulwich Grove, London
SE22 8TW
>>Not really. The 10 pounds is the component price of the memory chips and plastic
>>casing to store the game. It does not take into account the amount of time and
>>money spent on developing the source code to go into the memory chips.
>
why are the goods 33% cheaper in the US then?
For anyone wanting more info on the Sega/Nintendo story, there is an article
on it on P3 of The Scotsman on 24th Dec 92.
The comment in that article from the Office of Fair Trading says "We are
not a price commission". Well if they're not, then it's about time we either
had one or we had someone doing something about it. As of this week I'm
officially redundant and will be moving to Edinburgh on Wednesday without
a job lined up. I've got a good mind to set up an import shop, selling
things like Levi's and CDs as near to US prices as can be acheived and
see what happens.
According to an article in the Scotsman on 19th December (P13), a Mintel
report shows that Britain is the 5th most expensive country in the
world for a "typical selection of 22 consumer items". In Germany and
the US, however, wages are higher and prices are lower. The UK has
the cheapest Mars bars and Baked Beans. The UK is a major oil producing
nation and has the cheapest petrol in Europe, but it's still 3 times
the price of petrol in the US. Why? I wonder what the duty is for
someone importing petrol?
Maybe a decent set of prices in the UK is just what we need to get the
economy moving again.
------------------------------------------------------------------------------
Craig Cockburn (leaving Digital on 4th Jan)
New internet address: cr...@smo.ac.uk (working now)
Voice after 7th Jan: +[44] 31 554 2926
Moving to Edinburgh, yahoo!
>According to an article in the Scotsman on 19th December (P13), a Mintel
>report shows that Britain is the 5th most expensive country in the
>world for a "typical selection of 22 consumer items". In Germany and
>the US, however, wages are higher and prices are lower. The UK has
>the cheapest Mars bars and Baked Beans. The UK is a major oil producing
>nation and has the cheapest petrol in Europe, but it's still 3 times
>the price of petrol in the US. Why? I wonder what the duty is for
>someone importing petrol?
Exactly the same as the duty you pay at the petrol pumps. I.e. it
is illegal to sell petrol without charging duty. If you brought
petrol in yourself from (say) the USA (assuming the airline didn't
have a heart attack) you would be charged the duty on entry at customs.
If you don't declare it it's illegal. Taking out the costs of duty
and VAT petrol in the UK is about the same price as the US. The
government pockets the difference.
Actually duty and VAT account for most of the difference between
US and UK prices on many things. Consider electronic goods the
duty on import from the US is 17%, VAT is 17.5%, so for
a hypothetical item priced at $1000 in the USA, the duty
would be $170 so the Ex-VAT price is: $1170, now add VAT
(remember it's cumulative) to give a UK price of $1374.75.
Now consider the currancy conversion: today it is approx $1.55
to the pound. Any sensible company selling dollar priced goods
would hedge against a downward movement of the pound (*very*
sensible if you remember recent events), so lets use a conversion
of $1.50 = £1, this gives a UK price of the item of: £916.50,
not exactly dollar = pound, but not far off, and remember we
haven't allowed for the cost of shipping: if it cost more than
£83.50 we would be at dollar = pound without any profiteering
at all.
Now I am *not* arguing that many UK prices are not a lot more
than elsewhere in the work, merely that a lot more of the
price difference is due to government policy than people
realise. Of course, this still doesn't explain why UK
manufactured CDs cost so much more than US ones, except
the fact that they sell most they can make at those prices.
>Maybe a decent set of prices in the UK is just what we need to get the
>economy moving again.
Great idea! Now what government services shall we cut to
make up for the loss in duty and VAT revenue?....
Martin
---
"You might say that, but I couldn't possibly comment"
Martin Baines, Sales Support Manager,
Sun Microsystems Ltd, 306 Science Park, Cambridge, CB4 4WG, UK
Phone: +44 223 420421 Fax: +44 223 420257
JANET: Martin...@uk.co.sun Other UK: Martin...@sun.co.uk
Internet: Martin...@UK.sun.com
X.400: g=martin s=baines prmd=sunir admd=mci c=us
>In article 22...@rdg.dec.com, cock...@edieng.enet.dec.com (Craig Cockburn) writes:
>Exactly the same as the duty you pay at the petrol pumps. I.e. it
>is illegal to sell petrol without charging duty. If you brought
>petrol in yourself from (say) the USA (assuming the airline didn't
>have a heart attack) you would be charged the duty on entry at customs.
>If you don't declare it it's illegal. Taking out the costs of duty
>and VAT petrol in the UK is about the same price as the US. The
>government pockets the difference.
Hello All,
Well Gasoline here in Massachusetts is running about 1.15 US dollars per US
Gallon, but we also pay Federal and State tax of about 0.31 US dollars on it.
Remember that there is also a difference between the U.S and U.K. gallon.
I seem to remember a commission reporting that cars are higher priced in
the UK due to driving on the left. I can understand this in cars, but not
in other goods.
There were also comments on R. Scotland last summer that tourist to Scotland
were complaining of the high prices. I find that prices are high all over,
but the highest are in London. I never stay in London and use the rail service
instead. Prices tend to be better the further from tourist areas you are. This
fits into my plans since I visit the UK to experience local culture, not
other tourists.
I have the feeling that CD are high in the US as well. In the early days of
CD there was a backlog to get material in the format due to only a few
companies being able to make CDs. I even considered starting a CD company.
Now there are alot of makers. Folk artists are recording in cassette and
CD format mainly because CD are cheaper than LP records.
There may be a factor of perceived quality. A distributor of independent
CD labels claimed that he tried to sell CDs at 8 US dollars or so apiece and
they did not sell very well. He attributted it to customers thinking they
were inferior to other CDs. They sold better at the higher price. It might
also be that CD buyers are used to paying a certain price range for a
CD.
I not a marketing expert, but companies are in the business of making money.
They will sell items at the highest price the customer is willing to pay.
It will be interesting to see if the changes to the tariffs in the EC will
lower prices.
73 Eric e...@world.std.com
How about the service to people with high incomes that let them pay
less tax so that revenue had to be made from the pushed up VAT?
Tony Mossop, geophysics, Stanford
Well we could start by removing the subsidy from central taxes
to local government. At the last budget that put 2.5% on VAT
to reduce poll tax for those individuals who didn't like
having to pay for local services. The other subsidies from Central
to local government account for between 2% and 5% on VAT (depends
on whether you consider paying for Education and the Police
to be central government's job, or local governemnt's), that
gets us to about 10% VAT. Next abolish the NHS, there goes the
rest of VAT and a bit of direct tax. Voilá we have US tax levels.
Did I hear you say politically unacceptable? Surely not.
Or we could put up Direct Taxes to replace VAT: takes us
to average Direct Tax rates (including Income Tax, personal
National Insurance and Employers NI contribution) of over
50%. Next we remove all duties on imports (sod the E.C
and GATT), that takes us out Direct Taxes well over 50%:
but we have got US level indirect taxes.
Did I hear you say politically unacceptable? Surely not.
Martin
Strange that a few years ago that most of the tax revenue came from
income tax and very little from VAT. Then there came the tax cuts where
the small earners got an extra fiver a week and granny's new hip
went from a 12 to an 18 month wait. If you were a high earner you made
thousands. Sadly the Con govt. needed more revenue so they slapped it on
VAT. Let's try and figure who gets penalised by this? Why those citizens
who spend a larger proportion of their income of VATable items. Who would
that be? Why it's the low to middle incomes. The tax burden on the average
person increased from about the mid 30% mark (36%?) to 39% during the 1980's
the tax burden on higher income brackets reduced. Shifting taxation from
income to goods taxes is regarded by many economists as regressive.
So I stand by my statement shift the tax burden back on the higher
earners (surely if market economics are true it won't matter how much
surplus income the wealthy have the market merely adjusts to it? The
wealthy still stay wealthy; then again maybe market economics don't
really work that well). Politically unacceptable you say, well so
is artificially induced inflation in the form of VAT, the only reason
that higher income tax is less politically acceptable than high
VAT is it hurts the rich and powerful more and sadly they're the ones
who control/are the politicians. (Or did you mean yet another embarassing
U turn in the form of raised taxes would be politically unacceptable?)
Tony Mossop, geophysics, Stanford
>I seem to remember a commission reporting that cars are higher priced in
>the UK due to driving on the left. I can understand this in cars, but not
>in other goods.
This actaully a load of bullshit. Jap cars sell for much lower prices
here in Australia, even though the import tariffs and taxes are higher
and we drive on the left as well. In fact a lot of Euro cars are cheaper here
too (e.g. Peugeot 205 GTi, Golf GTi, Audi 80). This is despite extra features
required to meet Aussie design rules and the low volume of sales!!!!!
New cars are a rip off in the UK period. They use transfer pricing and other
nasty tricks to fool us. The extra cost of RHD is not enough to account for
the difference. Excluding taxes and tarrifs etc even low volume luxury
models are cheaper in Australia.
Market pricing mate!!!
>I not a marketing expert, but companies are in the business of making money.
>They will sell items at the highest price the customer is willing to pay.
>It will be interesting to see if the changes to the tariffs in the EC will
>lower prices.
>
>73 Eric e...@world.std.com
Yes but in a supposed single market why should the british consumer pay more?
I suppose they protect inefficient farmers, why not protect inefficient
carmakers? In the end they too fat and die anyway. Sooner or later
we'll pay for all this protectionism.
-Jonathan
********************************************************************
** These views are my own and do not reflect upon the policy *******
** or views of the University of Wollongong, only of a young *******
** welshman in a land down under ---Cymru am Byth ******************
********************************************************************
Phone +61 42 213018 Fax +61 42 213112 Email J.L...@uow.edu.au
>This actaully a load of bullshit. Jap cars sell for much lower prices
>here in Australia, even though the import tariffs and taxes are higher
>and we drive on the left as well. In fact a lot of Euro cars are cheaper here
>too (e.g. Peugeot 205 GTi, Golf GTi, Audi 80). This is despite extra features
>required to meet Aussie design rules and the low volume of sales!!!!!
Good Point Mate!
A current issue in the US is the tricks the foriegn companies can play to
reduce their taxes.
I heard stories of ham radio equipment not shipping to the U.S, but
where instead shipped to Europe because of the poor exchange rate of the U.S.
dollar (and maybe because they could get higher prices). This has lower volume
than cars.
>Yes but in a supposed single market why should the british consumer pay more?
>I suppose they protect inefficient farmers, why not protect inefficient
>carmakers? In the end they too fat and die anyway. Sooner or later
>we'll pay for all this protectionism.
My understanding is that the EC is not completely a single market. It will be
interesting to see what the changes in the area of beer, wine, and electronics
will do to pricing.
What is needed is for the media to raise the issue and investigate it seriously.
Pull a few hundred reporters off covering the Royal Family and set them down
with paper and pencil (or computer) to do some basic research and fact finding.
It seems like the government commissions (like the Car Price one) follow the
commentary on investigating bodies made in the "Yes, Minister" and
"Yes, Prime Minister" TV series.
73 Eric e...@world.std.com
Yes, it must cost the Japanese a fortune to convert their cars to right hand
drive ;-)
Actually, I think the price difference can be accounted for by (a) the fact
that companies such as GM Europe makes a profit, whereas in north America
they run a $1,000 loss on each car sold, (b) the higher level of standard
equipment in the UK, and (c) the ploy in the UK of subsidising heavily
discounted fleet sales at the expense of the private purchaser.
Subjectively, I think UK sold cars are of a much higher quality than in the
US too. The Zeta engined Ford Escort sold in the UK is way, way better than
the Escort sold in the US.
As for pricing, the UK MRP on the Escort LX 16v is about #9k? The cheapest
Escort in the US is $10k. Thats without Air, Auto or any fancy options.
To get a comparable car to the UK one will take you closer to $15k. Hmmm...
where's the difference?
Aled
p.s. the above numbers are rough guestimates.
al...@ncd.com Network Computing Devices Inc.
(415)694 4543 350 North Bernardo Avenue, Mountain View, CA 94043
Why would that be? Perhaps for imported European cars (_noone_ in the UK
drives American cars) but it costs the domestic car industry in the UK no
more to make a RHD car than it would to make a LHD car, and Japanese cars
of course are imported to the UK in RHD as for their own domestic market.
What was it we decide here recently? Over 40 countries drive on the left?
--
Ray Dunn at home | Beaconsfield, Quebec | Phone: (514) 630 3749
r...@philmtl.philips.ca | r...@cam.org | uunet!sobeco!philmtl!ray
You forget we live in a democracy another (legal) form of objecting
is through the ballot box. If you are correct, and the poll tax
as so unpopular BUT there hadn't been the campaign of law breaking
surely the government would have lost the last election if they
still supported it?
Don't misinterpret me though: I am no great fan of the poll Tax -
personally I have always believed in a local income tax to pay
for local government. It just annoys me to see law breaking
being supported.
>> The other subsidies from Central
>>to local government account for between 2% and 5% on VAT (depends
>>on whether you consider paying for Education and the Police
>>to be central government's job, or local governemnt's), that
>>gets us to about 10% VAT. Next abolish the NHS, there goes the
>>rest of VAT and a bit of direct tax. Voila we have US tax levels.
Politically unacceptable means just that: politician won't do something
because they believe it would affect their chance of re-election, or
would upset vested interests in their own party. As you correctly
point out the current government are not going to make hugh changes
in the rate of direct taxes: any increases will come from less obvious
means like increasing the VAT base. Labour looks like it too would
avoid commitment to large direct tax increases, again for electorial
reasons.
Personally, I favour raising government revenue via an *honest*
direct taxation system. By that I mean one that admits that our
basic rate of tax in the UK is actually 44% not 25% (i.e. 25%
Income Tax, 9% NI, 10% Employers NI contribution). I also don't
agree with "progressive" tax: why should I keep less of each
pound I earn the more I earn? Having go the Tax system fair and
honest I then think Tax should be as low as possible: in general
I believe in trusting individuals to make decisions about their
own money, rather than assuming the government can spend it better
than they can.
There ends the lesson from the "Independence for East Anglia in Europe
but only if they fix the ERM, give more power to the European
Parliament, and reduce Taxes" Party.
Now back to the original show...
> As for pricing, the UK MRP on the Escort LX 16v is about #9k? The cheapest
> Escort in the US is $10k. Thats without Air, Auto or any fancy options.
What options do you want? The adjustable driver's seat is nice but not
necessary, auto transmission runs about $800. Stereo? Anyone who buys
manufacturer audio is paying too much for too little. A tach is standard
on the Tracer.
> To get a comparable car to the UK one will take you closer to $15k. Hmmm...
> where's the difference?
>
> Aled
>
> p.s. the above numbers are rough guestimates.
>
> al...@ncd.com Network Computing Devices Inc.
> (415)694 4543 350 North Bernardo Avenue, Mountain View, CA 94043
Of course, you may have to pay more in California.
--
||------------------------------------------------------------------------
||Dave Jones (d...@ekcolor.ssd.kodak.com)|Eastman Kodak Co. Rochester, NY |
>As for pricing, the UK MRP on the Escort LX 16v is about #9k? The cheapest
>Escort in the US is $10k. Thats without Air, Auto or any fancy options.
>To get a comparable car to the UK one will take you closer to $15k. Hmmm...
>where's the difference?
Yes we have to be careful to compare apples with apples.
I see alot of smaller cars in the UK. I rented a 1.3 liter Ford Fiesta and
was very pleased with it's performance. Fuel ecomony was good which offsets
the higher gas price. I was also surprised to find a self-service petrol
station on Skye with a reasonable price. I would not hesitate to rent a car
again and may do that when visiting Burn's country this year.
On some other comments I have seen...
Last Summer I talked to a BR employee while waiting for a train. He said
that he would not live in the US because it is too expensive. I think the
same way about the UK. I wonder if we each think it is expensive due to media
reports on costs of certain items? We are having problems in the US about
health costs and my company has tried to keep cost down. There is the NHS
in the UK, but I would not want to wait a couple of months for certain
procedures. I think we agree that CDs are too expensive, but is there
anything cheaper in the UK than elsewhere?
One benefit (??) of VAT over Direct Taxes is that VAT also gets money from
tourists. I looked into the VAT Recovery Scheme (Note: UK Usage) and it is
only reasonable if I spend 50 Pounds Sterling or more on certain items.
Some B&Bs are actually cheaper in the UK than the US. When some
people start a B&B in the US they think they can get 75 or more dollars
per night. I suppose it is cheaper than those 135 dollar hotel rooms in the
area, but I think they miss the point. I admit that B&Bs in London are
expensive, but I usually stay in a nice quiet town, like Bedford, and take
the train in.
73 Eric e...@world.std.com
> In article <C0I43...@world.std.com>,
> e...@world.std.com (Eric A Cottrell) writes:
>|> I seem to remember a commission reporting that cars are higher priced in
>|> the UK due to driving on the left. I can understand this in cars, but
not
>|> in other goods.
> Yes, it must cost the Japanese a fortune to convert
> their cars to right hand drive ;-)
Why? They drive on the same side of the road as the British!
Albert Gaylord
The style of democracy in the UK doesn't quite work as ideally as you
would suggest. Apart from the arguable biases introduced by party funding,
media ownership, the first past the post system and the constant Gerryman-
dering of constituency boundaries there is the bias in the party system
itself. People do not get to vote on individual issues they get to vote on
a party they wish to govern them (whether this is democracy is questionable).
The parties subscribe to a mixture of popular and unpopular policies the
voter then votes for the combination they like best or dislike least
(of course most people vote according to many other criteria). The upshot
of this is that whilst the poll tax was grossly unpopular the Cons may well
have been voted back in even if they had continued to support the community
charge. So what do you do now, the majority of people disagree with a
certain policy but cannot get their will felt due to the crudities of
the electoral system? The answer is obvious, you act upon the policy in
question and disobey.
This next bit is going to be a bit crass and obvious, you'll have to
forgive me for this. When a government makes a law in contravention of
the wishes of its people the law is invalid. A govt. is the servant,
not the master of its public. The public in this case has the right to
ignore this law. There are times when disobeying the law should be
supported even when the majority of people agree with the law e.g. disobedience
in parts of Nazi Europe, civil rights activities in '60's US etc, though this
is a lot harder to justify in terms of 'democracy'. Laws shouldn't be viewed
as absolute rules but should be interpreted with a view to the will of
the public and one's own moral code.
Tony Mossop, geophysics, Stanford
Oh dear...what was that about the humour impaired (or should that be
"comically challenged")?
New cars are a rip off in the UK period. They use transfer pricing and other
nasty tricks to fool us. The extra cost of RHD is not enough to account for
the difference. Excluding taxes and tarrifs etc even low volume luxury
models are cheaper in Australia.
Yes but in a supposed single market why should the british consumer
pay more?
Car prices in Britain are a rip-off for a number of reasons. The main
one is that manufacturers charge what the market will bear. This is
because something like 70% of new car sales in the UK are to fleet
buyers. [Many employers provide their employees with fully-expensed
cars to employees as a perk.] Fleet buyers are mainly concerned with
running costs and don't really care about the purchase price - they
get huge discounts and they're spending company money, not their own
anyway. If the price is artificially high, companies recoup that in
tax breaks and through a knock-on artificially high price when the car
eventually gets sold into the second hand market.
Another reason was protectionism, which goes back to the days when
British Leyland was losing hundreds of millions of pounds turning out
shoddily built junkheaps like the Morris Marina and Austin Allegro.
Japanese manufacturers had/have a "gentleman's agreement" not to take
more than 10% of the UK market. The law of supply and demand pushed
their prices up, particularly as personal imports were nearly impossible.
Other car manufacturers quickly followed suit and this gravy train has
continued ever since. [Until recently, Ford UK made enormous profits
selling mediocre cars like Sierras, Escorts and Cortinas to fleet
buyers at huge mark-ups.] Nowadays, the protectionism has gone - at
least officially - but prices have not come down. The manufacturers
are happy to continue with inflated profit margins in the UK market
for as long as possible.
The government has also made car prices a rip-off. New cars are
heavily taxed: roughly 20-25% of the purchase price goes to HM
Treasury in value added tax and car tax.
I was shocked when I found that the Rover Sterling was being sold in
the USA for about half the price it costs in the country of manufacture!
Jim
Rob.
<R.J.W...@uk.ac.lut>
However, to some extent you have to take policies as a package,
including the popular and unpopular. Politics crudely comes
down to balancing desire for the government to "do something"
and reluctance to pay taxes so it can. You will always find
that higher government spending and lower taxes are
popular, while spending cuts and higher taxes are not.
Matthew Huntbach
Is that $11.3k after discount but before tax?
It has always struck me as odd that Ford low-end models are not based on their
own excellent autos that they designed in Europe. The Festiva/Fiesta is
a better example: the US gets a rebadged Kia Pride (a dog by any measure,
curious, but not inconsistent with Ford's relationship with Mazda, since
the Pride is manufactured by Kia in Korea using old Mazda 121 tooling which
they aquired a couple of years ago when Mazda redesigned the 121 into the
_very_ oddly shaped vehicle it is today). In the UK, the Fiesta has been
in the top 5 best sellers for the last XXX years, why wouldn't it sell in
the US?
I guess the issue is cost, since both the low end Fords (Fiesta and Escort)
would be more expensive to manufacture that the US sold equivalents.
Notwithstanding this, the US are in for a treat when the Tempo is replaced
by the same car that replaces the Sierra in Europe (the name escapes
me---Mateo???).
The Europeans are not left out since the '93 Probe will be introduced later
this year. I wonder what the price and specification differences will be?
That just leaves the Taurus, which was originally designed ``to be more
European'', and is now #1 best selling car in the US (beating the Honda
Accord even).
The British should see an increase in the number of 6 and 8 cylinder vehicles
once the company car tax structure is changed to ignore engine size too.
Ford's best selling engine in the US is the V8, I believe, but this could
be due to the large number of pick-up trucks they sell.
Aled
p.s. Ford owns 25% of Mazda I believe
I have to take exception here: constituency boundaries are decided
by an independent body: the Boundary Commission. The government
don't decide themselves, it's done by civil servants. As it
happens for years the structure of constituancy boundaries
has favoured Labour: Scotland has more less voters per seat
than the rest of the UK, and demographic changes (movement
from the North to SE of England) has left SE England
under-represented. If the last election had been run with
a homogenious consituancy size the current Conservative
majority would have been about 60 not. The coming new set
of boundaries expect from the Boundary Commission are likely
to add another 20 seats the Conservatives: again due to
increases in population in the SE and Midlands of England
and reduction of population in the indutrial north. Scotland
will remain over represented unless the government acts
to change it.
>People do not get to vote on individual issues they get to vote on
>a party they wish to govern them (whether this is democracy is questionable).
>The parties subscribe to a mixture of popular and unpopular policies the
>voter then votes for the combination they like best or dislike least
>(of course most people vote according to many other criteria). The upshot
>of this is that whilst the poll tax was grossly unpopular the Cons may well
>have been voted back in even if they had continued to support the community
>charge. So what do you do now, the majority of people disagree with a
>certain policy but cannot get their will felt due to the crudities of
>the electoral system? The answer is obvious, you act upon the policy in
>question and disobey.
>
>This next bit is going to be a bit crass and obvious, you'll have to
>forgive me for this. When a government makes a law in contravention of
>the wishes of its people the law is invalid. A govt. is the servant,
>not the master of its public. The public in this case has the right to
>ignore this law. There are times when disobeying the law should be
>supported even when the majority of people agree with the law e.g. disobedience
>in parts of Nazi Europe, civil rights activities in '60's US etc, though this
>is a lot harder to justify in terms of 'democracy'. Laws shouldn't be viewed
>as absolute rules but should be interpreted with a view to the will of
>the public and one's own moral code.
I actually agree with you regarding laws being not absolute: I just
don't consider taxation in a democracy as an issue to defy the law on! If
the government started deporting Jews (even with a parliamentary
majority) it would be different. Also if Scotland had returned a
majority of votes for a party in favour of independence, and the
government didn't recongise this it would be another case when I would
support a civil disobedince campaign. In other words, obeying the
rule of law should be the default, and disobeying only resorted
to when either democracy has broken down, or the majority start
violating the basic human rights of the majority.
Martin
Ah hem! As a drive of a company car (oh dear, here comes the
hate mail from the Radical Greenies) let me say PRICE DOES MATTER.
The cheaper the car, either (a) the more car I get for my car
allowance, or (b) the less the money the company has to pay
to give me the similar level of benefit. Hence it is in either
the company's or my interest to negotiate a good price. Whether
case (a) or (b) applies depends on the details of the company
car policy. Anyone who doubts price is important on company
cars should listen to about a minutes worth of conversation
near a Sun coffee machine!
Actually as most companies contract hire cars these days, the
real relevant figure is hire cost which depends on capital cost
depreciation, insurance and maintainance costs. Hence cars
with seemingly low capital costs (e.g. Alpha Romeos) can end
up costing way more on lease than supposedly expensive cars
(e.g. BMWs).
There are no tax breaks for the company when buying/leasing
cars: these were pluged years ago. At current rates of individual
tax on company cars they still (usually) represent a good deal
for the employee (i.e. the company paying ŁX to give me a
car is a lot less than the company would have to pay me in
real money to buy/run the same car); although in recent years
the tax perk side of the equation has reduced considerably.
>The government has also made car prices a rip-off. New cars are
>heavily taxed: roughly 20-25% of the purchase price goes to HM
>Treasury in value added tax and car tax.
Actually, special Car (purchase) Tax was abolished in the
autumn budget statement. Now you only (!) pay 17.5% VAT
just like everything else.
>I was shocked when I found that the Rover Sterling was being sold in
>the USA for about half the price it costs in the country of manufacture!
I wasn't shocked, just dissapointed.
Aled Morris (al...@grant.ncd.com) wrote:
> Subjectively, I think UK sold cars are of a much higher quality than in the
> US too. The Zeta engined Ford Escort sold in the UK is way, way better than
> the Escort sold in the US.
>
Hmm, are we talking about the same actual car?
Not really, though there is considerable similarity. Some of the major
components are the same - engine/drivetrain, floorpan and body panels
- but that's not the whole story.
US versions of "world cars" are usually better for creature comforts -
air conditioning, power operated windows, automatic transmissions and
so on - but much, much worse to actually drive. They are notorious for
soft, soggy suspensions; vague power steering; abysmal gear changing
and miserable performance. The latter isn't helped by all these
performance sucking gadgets like the air conditioning and detuned
carburation systems needed to meet exhaust emission standards.
These are only good for cruising at 50-60 mph on wide, flat and
straight roads - which is where most Americans seem to drive anyway.
Jim
Is this a joke? Nobody in any european car magazine i've seen (esp. UK ones)
has given a low-end Ford anything other than criticism! Usually the same
for all Fords actually. Witness the fact that Ford had to visually re-design
the latest Escort because of the severe crticism and poor sales halfway
through its expected model life.
|> The Festiva/Fiesta is
|> a better example: the US gets a rebadged Kia Pride (a dog by any measure,
|> curious, but not inconsistent with Ford's relationship with Mazda, since
|> the Pride is manufactured by Kia in Korea using old Mazda 121 tooling which
|> they aquired a couple of years ago when Mazda redesigned the 121 into the
|> _very_ oddly shaped vehicle it is today). In the UK, the Fiesta has been
|> in the top 5 best sellers for the last XXX years, why wouldn't it sell in
|> the US?
Because it's a plodder, nothing special, and is usually bottom of the list
when comparisons are made with virtually any other competitor, with the
possible exception of the Kia Pride :-).
Ford cars usually sell well in the UK for some strange reason but
not so well in other european markets.
|> Notwithstanding this, the US are in for a treat when the Tempo is replaced
|> by the same car that replaces the Sierra in Europe (the name escapes
|> me---Mateo???).
Mondeo, and it's already been slagged off for it's "safe" styling (looks
like a japanese something etc).
|> al...@ncd.com Network Computing Devices Inc.
|> (415)694 4543 350 North Bernardo Avenue, Mountain View, CA 94043
It's not just a matter of constituency sizes. Labour has a lot
of seats where it uselessly piles up huge majorities. The
Conservatives have a lot of seats where usefully they have
reasonable majorities but not enough to pile up wasted votes.
e.g. ignoring the LibDems, imagine there are thirty seats each
with 50,000 voters, ten of which are Labour strongholds where
the votes split 35,000 Labour to 15,000 Conservative, and
twenty of which are Conservative marginals where the votes
split 22,500 Labour to 27,500 Conservative.
That gives the Tories 20 seats to Labour's 10, despite the fact
that Labour got 800,000 votes and the Tories 700,000.
Matthew Huntbach
I'm afraid you're wrong -- it's the other way round. Quoting
from Butler and Kavanagh page 282:
"The 2.1% swing that Labour achieved should, if uniform across the
country, have left the Conservatives with 356 not 336 seats. ...
Why did Labour fare better than would have been predicted if
the 2.1% swing figure had been known in advance? It did so because
it won 12 of the 18 seats that would fall on a 2.1% swing and it
compensated for its 6 failures by gaining 17 of the 24 seats
vulnerable to a swing of between 2% and 4% as well as a further
11 seats beyond that point. Of these 28 uncovenanted gains eight
were in Greater London and the Midlands, where the swing in any
case was higher than average. Conservatives piled up extra votes
in their safest seats and less so in the marginals, while Labour
gained votes in their crucial target seats. ... As the electoral
outcome now suggests, while a uniform swing of 3.8% would bring
the parties level at 39.0% apiece, this would result in Labour
having 320 seats to the Conservatives 282. The Conservatives
would no doubt be howling at the injustice of the electoral
system."
--
Guy Barry, University of Cambridge | Phone: +44 (0)223 334757
Computer Laboratory | Fax: +44 (0)223 334678
New Museums Site, Pembroke Street | JANET: Guy....@uk.ac.cam.cl
Cambridge CB2 3QG, England, UK | Internet: Guy....@cl.cam.ac.uk
Matthew Huntbach
You're right. Suppose for the sake of argument we ignore all votes
that weren't cast for one of the two main parties (hope that's not too
painful for you!). As Curtice and Steed point out, there are two main
sources of bias that can occur under the FPTP system: differences in
constituency size (including differential turnout for these purposes),
and differences in how "efficiently" each party's vote is distributed
-- a party's vote being distributed more efficiently if it wins more
seats by small majorities. The first can be measured by the difference
between the mean share of the two-party vote won by (say) the Tories
and their overall share, since the mean share ignores differences
in the sizes of constituencies. The second can be measured by the
difference between the *median* share and the mean share (the median
seat being the seat that has to be won for an overall majority of
one, again ignoring third parties). The total bias can therefore
be measured by the difference between the median vote and the overall
vote.
Here are the relevant figures for the Tory vote at the last three
elections:
Mean-Overall Median-Mean Median-Overall
1983 -0.5 +1.7 +1.2
1987 -0.8 +1.4 +0.6
1992 -1.2 -0.0 -1.2
As the negative figures in the first column show, Labour has
consistently benefited from concentrating its vote in smaller
constituencies. In 1983 and 1987 the Tories more than compensated for
this by distributing their vote more efficiently. But in 1992 this
advantage disappeared, leaving Labour as the net beneficiary of
bias. (Curtice and Steed note that at most post-war elections
Labour's vote has been less efficiently distributed than the Tories',
but not always; in Feb 1974 and 1979 it was the other way round.)
Well, it's all relative y'see. Sure, compared to other European cars,
the Escort is nothing special. For your money you could get a new Astra
("1.4 Astra makes 1.4 Escort look silly" -- Car Magazine, Dec 1992),
Citroen ZX (winner of numerous group tests), Rover 200, etc. etc. But
if you choose an Escort, you get a competent, cheap to run, reliable
car with good performance and handling.
This isn't what you usually get in the USofA.
> Usually the same
>for all Fords actually.
Ford bashing has long been a sport of British motoring magazines (and I
myself have been guilty of this in the past) which can mainly be attributed
to Ford's long model lifetime, lack of product breadth, and conservative
styling (maybe a product of the first two points?)
Major points in Ford's favour are their car's reputation for reliability and
cheap cost of ownership (says he opening the floodgates for horror stories
from Capri owners ;-), the Zeta engine, Ford's commitment to motorsport, and
thus their saving grace---the performance models of each car (Fiesta RS1800,
Escort RS2000 and RS Cosworth, Sierra Cosworth (RIP), Granada 24V.)
I don't want you to get the idea that I'm a Ford fan, I'm really not
(particularly), I just wanted to make the point (originally) that _even_
Ford Europe makes better cars than in the US.
GM is just a non-starter in the US, whereas Vauxhall/Opel Europe have a fine
range of cars, each of which is remarkably better that the Ford equivalent.
>>The Festiva/Fiesta is
>>a better example:
...
>> why wouldn't it sell in
>>the US?
>
>Because it's a plodder, nothing special, and is usually bottom of the list
>when comparisons are made with virtually any other competitor, with the
>possible exception of the Kia Pride :-).
No, you missed the point! Sure it doesn't rate highly in comparison with
the best European subsubcompacts, but that's irrelevant in the US market, it's
not like it would have to compete with the Rover Metro, Renault Clio, etc.
I was trying to point out that a _quality_ small car might stand a chance
of creating a new niche market in the US, where the only competition would
be from a Geo Metro (a GM rebadged Suzuki, I think, it's a three cylinder
no hoper).
I imagine some Americans would be