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Old 10-04-2019, 06:46 AM   #42
sourdough
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Join Date: Feb 2014
Location: W. Texas
Posts: 17,695
Quote:
Originally Posted by flybouy View Post
I'm not going to defend any manufacturer but I'm unaware of any "deregulation " that's affecting the RV industry as far as the manufacturing process is concerned. I'm no economist but having worked in large corporate America all my life (the last 30+ yrs as a Director) I know what those companies demanded and what their economic models/strategies were.
As costs increase, i.e. utility rates, property taxes, insurance, wages, etc. the only way to hold costs down is to change manufacturing costs, materials, assembly techniques, and or increase production with fewer "man hours".
This is a lesson the auto industry learned years ago when imported cars came close to putting the "big three" out of businesses. The auto industry adapted by the use of more economical materials ( mostly made in other countries), utilizing more robotics to reduce the labor costs, reducing inventory by eliminating underperforming brands (Pontiac, Oldsmobile, Mercury, are a few) and shuttering plants and consolidating the output to other facilities. It was so bad 2 of the 3 went to the Government for loans. Chrysler sold out, and Ford didn't take the Fed's "help".
US automakers are now thriving.
This is the world we live in today and have been for centuries. The only voice we have is in our spending dollars. As long as the demand is there then there is no incentive for industry to change.
The RV industry doesn't have the opportunity, nor the need for the transition as sales have been at a record high for a few years.

^^^^The question has been asked many, many times on the forum and Marshall hit the nail on the head. We may see a change in the next few decades but until then I suspect the current business model is what the RV manufacturers will follow.

When RVs become so expensive that most can't afford them, the sales dry up AND those that are buying only buy the premium models that provide the quality and amenities that they are looking for - THEN the manufacturers will start building to meet that criteria. Until then, as long as anyone with a credit score over 250 and $500 to their name can "sign on the dotted line" to purchase the cheapest, biggest RV they can possibly afford....and they are lined up by the thousands to take what they can get, the manufacturers would much prefer to build those "thousands" as fast as they can with little regard for what they are putting out because the buyers, by and large, don't care or just deal with it. How can they go wrong doing that? Short answer; they can't.
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