Bmw 520D

[Watchman]

i must admit, in the last few posts WJK and GTAm are making a pretty decent point right now and starting to make me wonder myself. Interesting topic to read into (or watch this thread for)

[jdnet]

i must admit, in the last few posts WJK and GTAm are making a pretty decent point right now and starting to make me wonder myself. Interesting topic to read into (or watch this thread for)

Well actually WJK is not. The average profit BMW makes on it's basic models is in the $4-5k range. Looking at a company's profits and expenditures is a pretty ridiculous way of trying to figure out the percentage of profit they keep for every car they build as it does not account for many variables such as income through licensing, investments, affiliations etc.

[wjkalana]

Well actually WJK is not. The average profit BMW makes on it's basic models is in the $4-5k range. Looking at a company's profits and expenditures is a pretty ridiculous way of trying to figure out the percentage of profit they keep for every car they build as it does not account for many variables such as income through licensing, investments, affiliations etc.

Ya rite income through licensing, affiliation is more than they can earn from their main business. Production cost to profit is more than 60% and you can keep 10% for your other ways of making profits. so BMW still make 50% from cars. And then they have to consider about R&D. I dont have to prove this point to a person who doesnt know how to talk. This is the basic principe of running big business like apple,Toyota etc. In your way if BMW makes only $5000 from one car just calculate how many cars they have to sell just to cover R&D for one model.

Edited October 20, 2012 by wjkalana

[Pericles]

Ya rite income through licensing, affiliation is more than they can earn from their main business. Production cost to profit is more than 60% and you can keep 10% for your other ways of making profits. so BMW still make 50% from cars. And then they have to consider about R&D. I dont have to prove this point to a person who doesnt know how to talk. This is the basic principe of running big business like apple,Toyota etc. In your way if BMW makes only $5000 from one car just calculate how many cars they have to sell just to cover R&D for one model.

I'd say this much. You seem to think production cost is just the cost of the raw materials or something. That bit is utterly wrong. And even figuring that out is difficult coz the way you express yourself in written English is utterly terrible.

[wjkalana]

I'd say this much. You seem to think production cost is just the cost of the raw materials or something. That bit is utterly wrong. And even figuring that out is difficult coz the way you express yourself in written English is utterly terrible.

of course production cost is not only raw materials it does include lots of other stuff like salaries, logistics,marketing etc etc let me approach this by another way, Apple iphone 5 production cost is $ 207 but selling price is $ 649 (unlocked version not contract version). http://www.cnbc.com/id/49086627/Apple_s_199_iPhone_5_Costs_207_to_Make so just look at the mark up. That production cost is only raw materials and labour. (And that does not include marketing, R&D, cooperate salaries) but still production cost is less than 30% of the selling price. So when some one include other stuff like salaries, R&D, and marketing etc etc it will come up to around 50-60%. This is same with their all product line up. Unfortunately I dont have any link about the raw material cost of BMW or any car brand and I m sure it will also come around 30% of selling price. I m sorry if my english writing is terrible that may be because my first language is not english.

[wjkalana]

of course production cost is not only raw materials it does include lots of other stuff like salaries, logistics,marketing etc etc let me approach this by another way, Apple iphone 5 production cost is $ 207 but selling price is $ 649 (unlocked version not contract version). http://www.cnbc.com/...sts_207_to_Make so just look at the mark up. That production cost is only raw materials and labour. (And that does not include marketing, R&D, cooperate salaries) but still production cost is less than 30% of the selling price. So when some one include other stuff like salaries, R&D, and marketing etc etc it will come up to around 50-60%. This is same with their all product line up. Unfortunately I dont have any link about the raw material cost of BMW or any car brand and I m sure it will also come around 30% of selling price. I m sorry if my english writing is terrible that may be because my first language is not english.

This is also the reason why these car companies can keep the pricing more or less same during model changes, In fact BMW did release 2011 X3 $2,000 cheaper than 2010 X3 even though 2011 X3 has lots of options as std compare to 2010 X3. So if BMW only makes $ 5-6k profit from one car how can they give more options and at the same time reduce the price by $2,000.

[Pericles]

of course production cost is not only raw materials it does include lots of other stuff like salaries, logistics,marketing etc etc let me approach this by another way, Apple iphone 5 production cost is $ 207 but selling price is $ 649 (unlocked version not contract version). http://www.cnbc.com/...sts_207_to_Make so just look at the mark up. That production cost is only raw materials and labour. (And that does not include marketing, R&D, cooperate salaries) but still production cost is less than 30% of the selling price. So when some one include other stuff like salaries, R&D, and marketing etc etc it will come up to around 50-60%. This is same with their all product line up. Unfortunately I dont have any link about the raw material cost of BMW or any car brand and I m sure it will also come around 30% of selling price. I m sorry if my english writing is terrible that may be because my first language is not english.

Your justification for BMW having a high profit margin -

You have no data

Apple has a huge markup, therefore BMW must do it too.

.... I hate to be the one to break it to you, sport, but Apple doesn't equal BMW. U might have missed that post that GTAm did offering his opinion on the margins where he bases it on an oranges to oranges comparison, rather than an Apples to oranges.

This is also the reason why these car companies can keep the pricing more or less same during model changes, In fact BMW did release 2011 X3 $2,000 cheaper than 2010 X3 even though 2011 X3 has lots of options as std compare to 2010 X3. So if BMW only makes $ 5-6k profit from one car how can they give more options and at the same time reduce the price by $2,000.

Ummm... technology gets cheaper over time? Manufacturing processes get optimised? They fired some people? Did less sponsorship? Found a better way to market? Seriously, this is your argument?

[wjkalana]

Your justification for BMW having a high profit margin -

You have no data

Apple has a huge markup, therefore BMW must do it too.

.... I hate to be the one to break it to you, sport, but Apple doesn't equal BMW. U might have missed that post that GTAm did offering his opinion on the margins where he bases it on an oranges to oranges comparison, rather than an Apples to oranges.

Ummm... technology gets cheaper over time? Manufacturing processes get optimised? They fired some people? Did less sponsorship? Found a better way to market? Seriously, this is your argument?

mmm stat here it is how wikipedia shows about BMW, Operating income (2011)-8.006 billion profit (2011)-4.881 billion I dont know about you when I do the math it came about 60%.

[wjkalana]

And that does not include R&D so you have to give 10-15% for R&D for each car.

[wjkalana]

Your justification for BMW having a high profit margin -

You have no data

Apple has a huge markup, therefore BMW must do it too.

.... I hate to be the one to break it to you, sport, but Apple doesn't equal BMW. U might have missed that post that GTAm did offering his opinion on the margins where he bases it on an oranges to oranges comparison, rather than an Apples to oranges.

Ummm... technology gets cheaper over time? Manufacturing processes get optimised? They fired some people? Did less sponsorship? Found a better way to market? Seriously, this is your argument?

And if you want more stat heres the BMW financial report www.analist.be/reports/165_2011.pdf

download it and scroll down to page 5 and see net profit 51.3%. So I gave stat so unless you can provide any stat saying BMW makes less from cars just stop this discussion about how much BMW makes.

Edited October 21, 2012 by wjkalana

[wjkalana]

And if you want more stat heres the BMW financial report www.analist.be/reports/165_2011.pdf

download it and scroll down to page 5 and see net profit 51.3%. So I gave stat so unless you can provide any stat saying BMW makes less from cars just stop this discussion about how much BMW makes.

Edited October 21, 2012 by wjkalana

[jdnet]

Ya rite income through licensing, affiliation is more than they can earn from their main business. Production cost to profit is more than 60% and you can keep 10% for your other ways of making profits. so BMW still make 50% from cars. And then they have to consider about R&D. I dont have to prove this point to a person who doesnt know how to talk. This is the basic principe of running big business like apple,Toyota etc. In your way if BMW makes only $5000 from one car just calculate how many cars they have to sell just to cover R&D for one model.

Dear dumba$$,

When I say $5000, I mean profit. Do you understand what profit is?

Let me put this to you in simple terms that any retard can understand:

You have a pastry shop, that sells only fish buns.

The selling price of the fish bun is Rs. 50

Your profit would be Rs. 10 after deducting overheads, salaries and anything else that raised your costs in making and selling the fish bun.

[jdnet]

And if you want more stat heres the BMW financial report www.analist.be/reports/165_2011.pdf

download it and scroll down to page 5 and see net profit 51.3%. So I gave stat so unless you can provide any stat saying BMW makes less from cars just stop this discussion about how much BMW makes.

Dear Dumbass,

A financial report does not show the percentage of profit kept from each car. Only a complete retard would attempt to calculate the profit of a car based on a financial report.

[jdnet]

So I gave stat so unless you can provide any stat saying BMW makes less from cars just stop this discussion about how much BMW makes.

Unless you can prove BMW makes more than 50% in profits for a single car you need to STFU. The only real proof would be actual information released by the company.

[wjkalana]

Unless you can prove BMW makes more than 50% in profits for a single car you need to STFU. The only real proof would be actual information released by the company.

You godaya

Cant you see that read the report BMW makes profit from cars not by selling bread and butter so what every their profit is coming from cars and financial report is released by the company, and it includes all the overheads (does not include R&D). And in small letters under the table its says this "1 Figures exclude suspended contracts of employment, employees in the non-work phases of pre-retirement part-time arrangements and low income earners. 2 Adjusted for effect of change in accounting policy for leased products as described in note 8 " That means all the salaries are also included. These are the avg margins of their all product line. Dont come up with saying they make money from licensing what ever the money that they earn from licensing is peanuts compare to money they make from cars. Unless you can show me some where that they dont make this much of profits in a official statement sane people have to agree with this. For a gode Bandas like you dont even believe official reports from BMW. look at the top of the report can you see BMW makes money from any other source other than making from cars. They have all the numbers about cars they have sold. (I cant see BMW selling bread and butter or buns to earn billions of dollars,). You are a retard who doesnt even accept official reports. In order to disregard my statement and accept what you say you have to come up with 1) Another way to BMW to earn few billions after earning only $5000 from each car or 2) Just simply shut the F*** up ad sleep on it.

[chan5]

Well dude its not an rumor it happend, my car got stuck in customs for more than week due to cruise control and the presence of a Nav button in the idrive controller. But the car make is Germany so its undervalue I think.

Ok, so why don't you stop all these nonsense and share some first hand experiences of the car in real sri lankan conditions.

Which we all love to hear,

how does the handling, road comfort, road presence and specially the reaction from cops..

[wjkalana]

Unless you can prove BMW makes more than 50% in profits for a single car you need to STFU. The only real proof would be actual information released by the company.

Hers some more info for you (if you have ever herd of kelly blue book) you an check this by your self 2013 BMW 528i MSRP $ 48395 deler invoice $ 44595 giving $3800 for the deler as profit and this does not include manufacturer hold back for the deler thats another $1-2000. So suppose your argument is correct so BMW only makes $5000 from each car so would they also allow a deler to make $5000 from a car. Stop making bullshit statements if you dont know the facts.

[wjkalana]

Ok, so why don't you stop all these nonsense and share some first hand experiences of the car in real sri lankan conditions.

Which we all love to hear,

how does the handling, road comfort, road presence and specially the reaction from cops..

Car drives great and it handles like a BM should handle. I never had any problems from cops even though I had to drive 2 weeks before I get my plates. They never stopped me to ask why you dont have plates.

[jdnet]

Hers some more info for you (if you have ever herd of kelly blue book) you an check this by your self 2013 BMW 528i MSRP $ 48395 deler invoice $ 44595 giving $3800 for the deler as profit and this does not include manufacturer hold back for the deler thats another $1-2000. So suppose your argument is correct so BMW only makes $5000 from each car so would they also allow a deler to make $5000 from a car. Stop making bullshit statements if you dont know the facts.

Dear retard,

To calculate BMW's profits you need to calculate the profit kept when the car leaves the factory, not what the dealer sells it for. The profits made at the dealership does not count as BMW's profits unless the cars were sold directly from BMW to the consumer.

Dealerships are privately owned you inbred retard. Any profits they make does not go to BMW. The dealership can mark-up a car as they wish as long as they do not go overboard.

Are you this f*cking retarded?

[VVTi]

Car drives great and it handles like a BM should handle. I never had any problems from cops even though I had to drive 2 weeks before I get my plates. They never stopped me to ask why you dont have plates.

We don't know, tell us how how a BMW should handle...

[jdnet]

Also, I think you are under the impression that everyone on earth should bow down to your since you own a permit BMW. Let me tell you the harsh reality; you are an idiot, the entire world thinks you are an idiot and if you said all this bullshit out in the real world, someone would just slap the sh*t out of you.

Edited October 21, 2012 by jdnet

[VVTi]

WJkalana, please tell us what it feels like to drive your car... please.... enough nonsense about things you don't know.

tell us what you know, tell us how it feels.

[Supra_Natural]

Ok boys let's stop the personal attacks alright? Wjkalana, woop de doo you bought somebody else's permit and got a 5series (or so you say), good for you, nobody cares so now kindly shut up and go polish it or something ( if it exists - your bosses car doesn't count ok?)

Edited October 21, 2012 by Supra_Natural

[whatever]

And if you want more stat heres the BMW financial report www.analist.be/reports/165_2011.pdf

download it and scroll down to page 5 and see net profit 51.3%. So I gave stat so unless you can provide any stat saying BMW makes less from cars just stop this discussion about how much BMW makes.

BMW just can't set an arbitrary profit margin of 50% per unit, simply because they don't have a monopoly. Google it and you will find that the 5 series profit margin is around 8 to 10 % .

Now the inserting part: In the financial report you mentioned, 51.3% is the increase in net profit with respect to the previous year. Simple grade 1 maths: 51.3 = (4907 - 3243)/3243*100. It is not the return on investment

Edited October 21, 2012 by whatever

[k9master]

WJkalana, please tell us what it feels like to drive your car... please.... enough nonsense about things you don't know.

tell us what you know, tell us how it feels.

VVTi, He HAS mentioned the highlight of his BMW experience now hasn't he?

I never had any problems from cops even though I had to drive 2 weeks before I get my plates. They never stopped me to ask why you dont have plates.