They are trying to play in the luxury performance segment? Along with Audi, BMW, Mercedes, Jaguar, Lexus, Acura, Infinity, Cadillac, and even Lincoln? It's hard to enter a crowded market, especially in a recession (although from the recent luxury car sales statistics, it looks like many Americans have plenty of spare funds to demonstrate their prosperity).
Ultimately, it's all about volume, and Volvo is a low-volume seller here. For Volvo to change that, they need something unique that will attract discerning customers not interested in the Lexus-BMW "Look how I've succeeded" social class. What about practical diesels? And station wagons? And how about genuinely supportive customer support from Volvo NA? Discerning customers demand good customer support, and VolvoNA failed pretty dismally on that count.
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