Posted by: eseeders | February 5, 2009

Volvo… And China?

In some interesting developments from the auto industry, Ford is currently in talks with Chinese auto maker Geely Auto to sell Swedish brand Volvo. This is an understandable move by Ford if a bit depressing for some auto aficionados. Volvo like most every western car maker has been losing money in recent years, Volvo perhaps a little more than some due to inept management by Ford.volvo-2006-logo However, Volvo has recently begun an image transition which could prove to rejuvenate the brand with such cars as the C30 and the XC60.

The thing that concerns me is despite the poor overall management of the brand from Ford at least there was a consistent direction in which they were heading. If this change goes through though, Geely could stand to completely reverse much of the progress that has been made recently by Ford in various areas.

It should be said though, that I had similar concerns when Tata purchased Jaguar and Land Rover from Ford but nothing has come of that yet. I can only hope that Geely follow Tata in how they manage Volvo… namely providing them with the necessary capital and let those in the organization who know their customers run the show. Time will tell however… let’s just hope that this brand doesn’t get sunk, that would be pretty sad if it did.

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