Miata Mailing List: February 1994, Message #171
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   From: boyle@cactus.org (Craig Boyle)
Subject: Miata profitability
   Date: Fri, 11 Feb 1994 04:04:32 -0500

> 
> if you look at Miata prices as compared to other similar cars, i don't

What similar cars are there? The Miata is unique in the US market and
IMHO somewhat overpriced... perhaps because of excessive warranty claims?

> think there's a lot of money to be saved by increasing production,
> at least without the risk of flooding the market.  i think we all realize
> that the Miata is a niche car, certainly not aimed at the masses.
> i wouldn't mind seeing Mazda build them in the US, though - that might
> help costs a little bit.
> 
> > ANybody know if Mazda makes money on the MIata - I don't think there
> > have ever been rebates, but warranty costs - like who *hasn't* has the
> > top adn back window replaced etc. etc. etc. must be huge.
> 
> i'm sure they make money on them, though probably not as much as
> on more popular or expensive cars like the 626 and 929.
> as to warranty costs, i think you must be exaggerating.
> i've only heard of a couple people replacing rear windows, and in
> general, my perception is that they are one of the more reliable
> cars on the market.  now, as to warranty costs on the '93 RX7,

The car is reliable, but it is the number of niggling problems that
build up the warranty costs. As Mazda is losing money, it seemed likely
to me that they were also losing money on the Miata.

For what its worth, my own experience in buying a used 91A has been:

1) Replaced top
2) Two rear windows
3) Replaced clutch (included 2 removals of transmission)
4) Replaced all weather seals
5) Replaced top latches
6) Replaced headers and catalytic converter

7) A number of smaller items (suspension, bulbs, speedo cable, reverse lights,
   interior trim etc.)

Now, all of these (1..6) are wear and tear problems that I was glad to get done
before 3/50 happened. I was just an aggresive consumer that insisted on getting
stuff right. I could have continued to drive the car with any of the above
problems without great inconvenience. Retail cost of these repairs would exceed
$2500 easily, I don't know how much the dealer invoices Mazda for.

Craig
> 
> --                                             
> Ken Buck                                          /|
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