Analysts Push For BMW To Take Over Jaguar Land Rover - Would That Be A Good Idea?

Analysts Push For BMW To Take Over Jaguar Land Rover - Would That Be A Good Idea?

These are interesting times we live in, especially for the automotive industry. Current issues range from Brexit woes to sales dipping in China, where trade tensions have affected profits.

However, analysts from Sanford C. Bernstein believe they see a way for two automotive giants to help each other out. Their solution? BMW should buy Jaguar Land Rover from Tata Motors, reports Automotive News Europe.


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TruthyTruthy - 9/18/2019 11:22:57 AM
+2 Boost
What would BMW gain? Sales are relatively small, financials are weak, they compete in the same categories although LRJ vehicles have horrible quality. BMW would be better off to let LRJ fail.


OneOfOneOneOfOne - 9/18/2019 11:24:26 AM
+2 Boost
its a proven money loser over decades of time. its just like the easy chick that finally everyone realizes is just easy not good.


TruthyTruthy - 9/18/2019 4:08:19 PM
+1 Boost
Interesting idea. BMW already is flourishing in the luxury segment, Acura, not so much.
LRJ could use the engineering knowhow from Honda. Maybe even quit using an ancient Ford Escape as a basis for a few of their vehicles.
However, the capital needed to acquire, improve products and market them, etc may not be worth it given the small volume.


FoncoolFoncool - 9/18/2019 5:16:09 PM
+1 Boost
A better move would be to combine Jag Land Rover with a spin-off from FCA of Maserati-Alfa into a specialty company sharing platforms and technology offering English or Italian flair alternatives to the sterile German brands. Tea and Biscuits or Cappuccino and Biscottis?


TomMTomM - 9/18/2019 5:27:50 PM
+2 Boost
No - there is nothing to gain from combining one companies problems with another company that has the same problems. The fact is - as Many manufacturers found out ten years (OR so) ag0 that we simply have too many "brands" in certain segments that were essentially the badge engineered - competing for the same sale. Combining Jaguar and Alfa and Maserati - would still leave the need to get rid of two of the three brands. Add in the terrible problems all have with reliability - and you end up with wasted effort trying to individually MARKET the brands.

BMW has nothing to gain from adding Jaguar. And certainly a combination of Jaguar/Rover/Alfa/Maserati is doomed before it starts.


FoncoolFoncool - 9/18/2019 7:28:26 PM
+1 Boost
The savings of shared platforms and technology would benefit both companies. Maserati/Alfa could separate themselves from the horrible Chrysler dealer network dualing into the much better run and better quality dealers of JLR.

History is full to two weak companies combining to become stronger.


mre30mre30 - 9/18/2019 6:23:24 PM
0 Boost
There could not be a more terrible idea than BMW taking over Jaguar/LR. BMW owned LR once and look at what a sh*t show that was.

BMW is doing an awful job with Mini and Rolls Royce (I'm not sure if BMW breaks out RR and Mini in their public financial reporting but I would be doubtful if either has ever turned a profit in BMW's ownership over 15+ years) and if anything should fob off Mini/RR onto some other sucker.


MDarringerMDarringer - 9/18/2019 7:06:47 PM
0 Boost
That would be the blind leading the blind. BMW is flailing wildly with one ineffective product after another. They don't need the Jaguar money pit nor the Land Rover headache.

Hyundai should buy JLR and crank out Genesis products with Jaguar names instead of Genesis.


TruthyTruthy - 9/19/2019 9:24:42 AM
+2 Boost
And gave a dealer network already in place rather than ramping one up.


valhallakeyvalhallakey - 9/19/2019 2:17:44 AM
+2 Boost
If anything BMW should take over Maserati. Build that into a more exclusive exotic brand like they once were. The M1 was a great car but in reality BMW cannot do exotica... they need that Italian link IMHO.

Who to buy JLR?? Certainly Matt's suggestion is reasonable. My thinking is that Honda or Mazda might be a good choice. Honda could dump Acura and replace the brand with Jaguar. Acura makes some pretty good cars that are just homely... give Jaguar a seat at the styling table and maybe between the two they can come up with some good looking cars. Mazda may want a premium brand and that would be an easier way to get there than developing your own. Another option could be Nissan. Talk about 2 weak companies combining to make a better company, but it would need a really good leader.


MDarringerMDarringer - 9/19/2019 8:34:18 AM
0 Boost
The next owner has to take ALL autonomy away from Jaguar. They have to design high-quality products that look like Jaguars but not allow Jaguar to participate in any way because Jaguar is incapable of designing and building good cars.


FoncoolFoncool - 9/19/2019 8:48:25 AM
0 Boost
The reason Jag/LR is in the position it’s in is because they got seduced by the oriental temptress and built a production facility in China.


TruthyTruthy - 9/19/2019 9:25:23 AM
+2 Boost
Who hasn't?


2ndbimmer2ndbimmer - 9/21/2019 10:16:24 AM
+1 Boost
No way. Let them fail. They have nothing to offer BMW. It is more like should BMW save LRJ? Only if the real estate acquisition makes sense.


2ndbimmer2ndbimmer - 9/21/2019 10:17:08 AM
+1 Boost
I would only say yes if they bring the Defender to the US and I can get a BMW loyalty discount.


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