All good points, except that Ford owns Jaguar. :-) they sold it (and Land Rover) to Tata nearly nine years ago.!$$$$!HD0TiM=/TLYVr3YPkMU=

But your allusion to luxury brands is interesting. Look at the German marques Audi, BMW and Mercedes-Benz: throughout the 1980s and much of the 90s, their smallest (and cheapest) vehicles were mid-size sedans: the Audi 80/A4, the BMW 3-Series, the Mercedes 190/C-class.

But the nomenclature augured what happened later: the affordable Mercedes A-class first, followed by the BMW 1-Series and the Audis A3 and A1.

I don’t think that entirely counters Kwak’s argument (there are many people globally who cannot afford a car at all, even if they were willing to allocate all of their income or wealth to its purchase), but it goes some way!

Accidental behavioural economist in search of wisdom. Uses insights from (behavioural) economics in organization development. On Twitter as @koenfucius