This news is rather alarming. I hadn’t realised KTM has lost two thirds of its share price since 2021.
KTM Shake Up - Job Losses, Production Shifts and Racing Cutbacks
- Thread starter G&T
- Start date
It must be difficult to sustain profitable manufacture in Western Europe at the best of times, but even a marginal fall in sales now leaves many premium brands exposed.
Over-regulation of just about every facet of our lives means market change is all but inevitable, with China & India perfectly happy to step in. However, the race to this 'net-zero' wonderland is only just starting to bite - many more financial catastrophes will be coming down the track.
Over-regulation of just about every facet of our lives means market change is all but inevitable, with China & India perfectly happy to step in. However, the race to this 'net-zero' wonderland is only just starting to bite - many more financial catastrophes will be coming down the track.
ThreeDawg
Registered user
They still have to build the bikes to Euro or US regs, they just do it with cheaper labour.
(Forgive me, but I don’t generally drop in to this section….)
Sorry, there’s rather more to it….
The whole manufacturing and raw materials supply chain is fcuked up in these Asian countries.
I’ve just watched the news tonight, for example, and Scunthorpe’s “British” Steel plant is getting fucked over by its green steel making credentials.
I mean, as if….
Think about it.
Then, the UK will import foreign steel whilst its own industry is decimated due to the “Greens” movement.
Frickin’ lunacy, eh?
Same as Coal
ThreeDawg
Registered user
Yeah well if we are prepared to go down to lower standards of safety, live with the environmental pollution and work for five bucks an hour then sure we can compete with Asia. In the short term we move that stuff offshore, and most likely we (the west) have to move towards a post industrial society which is orientated towards design, R&D, tech, whatever. There are going to be big issues with those who are unable to 'keep up', and we're seing this in angry people who think re- electing D Trump is a good idea. Who will make our cheap stuff once China and India become fully developed I don't know - maybe Africa?
KTM are not alone in having to deal with this conundrum - plenty of BMW models already made outside Germany . Maybe Dyson are an example - UK based R&D, hoovers made in Malaysia.
KTM are not alone in having to deal with this conundrum - plenty of BMW models already made outside Germany . Maybe Dyson are an example - UK based R&D, hoovers made in Malaysia.
Dead right.
So, whats the answer?
And, don’t forget, manufacturing is where the country’s real wealth creation is at ….. just sayin’
Let's not forget the fact that demand will slowly collapse; it is already. When our politicians vie with one another to strangle the spending capacity of the middle class, those who produce & market premium products will suffer first. Death by a thousand cuts & rationalisations. This idea of becoming an R&D high tech service base is all very well when demand can support huge mark-ups & everyone can take a healthy slice - I don't see that as a solution that will stand the test of time though. Surely it is cheaper to export those jobs as well. The BRICS are the future, the ailing US economy will likely drag us down with it in the rush to go green.Dead right.
So, whats the answer?
And, don’t forget, manufacturing is where the country’s real wealth creation is at ….. just sayin’
Perhaps if KTM sorted their quality control more people would buy their bikes.
Sadly a casualty of this might be their remarkable apprenticeship programme.
Certainly 12 months ago they offered incredible opportunities in engineering, design, marketing...along with German language classes for overseas apprentices and accommodation. Plus on completion, your own KTM.
It will be a great loss if that can't continue.
Certainly 12 months ago they offered incredible opportunities in engineering, design, marketing...along with German language classes for overseas apprentices and accommodation. Plus on completion, your own KTM.
It will be a great loss if that can't continue.
I bought a KTM Duke 390 from a fellow GSER a few months back. Cracking bike (though the saddle is a bit firm for long distances). It was made in India. Exporting manufacture will lead to lower costs, of course, mainly because things like H&S, pensions and training become Someone Else’s Problem.
Until you want pensions in your own country and you need trained staff to work to pay for them.
It’s a different aspect of the milk bottle problem. We now buy milk in plastic bottles, because the cost of dealing with plastic waste is external to the costs of delivering milk in a supermarket. SEP again.
This is the big downside of capitalism. There are lots of upsides, but.
Until you want pensions in your own country and you need trained staff to work to pay for them.
It’s a different aspect of the milk bottle problem. We now buy milk in plastic bottles, because the cost of dealing with plastic waste is external to the costs of delivering milk in a supermarket. SEP again.
This is the big downside of capitalism. There are lots of upsides, but.
