MEDIA: What The Papers Say - Ford price promises negate tax appeal

Further blows were traded last week in the continuing war between consumers and the car industry.

Further blows were traded last week in the continuing war between

consumers and the car industry.



Accusing Ford of an ’admission of guilt’, the Consumers’ Association

called for a boycott of car showrooms following Ford’s promise to

reimburse buyers in the event of price cuts before the end of the year.

Motoring organisations applauded the move towards lower prices, but Ford

muddied the waters by insisting that a price cut was not envisaged.



Ford said it was only trying to clear up the confusion that was leading

to poor sales of V-reg models, but the FT’s Lex column (11/9/99)

believed Ford to be playing into consumers’ hands and that it was only a

matter of time before either rival manufacturers, or the Government,

forced prices to plummet.



Chairman of Ford UK Ian McAllister’s angle that UK tax and the strength

of the pound was the cause of high prices cut little ice with

commentators, who tended to accuse the company of penalising private

buyers by heavily discounting fleet purchases.



Evaluation supplied by Echo Research. Cuttings supplied by Broadcast

Monitoring Company. This article can also be found at

www.echoResearch.com.



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