Honda’s (HMC) Hybrid: Driving Miss Daisy

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Introducing new car models is now all about the environment. Too much gas is bad for the ozone, global warming, and Al Gore. The race to create hybrids and vehicles which use ethanol is on. Ethanol has become a bit of a problem as the price of corn has spiked up.

Honda (HMC) is the latest company to come to market with a car which uses both gas and electricity. It will be sold in the US, Europe, and several other markets starting next year.  According to the AP, “In addition to the new hybrid, Honda will introduce several other hybrids: a Civic, a new sporty model based on the CR-Z and a Fit subcompact, sold as the Jazz in Europe.”

The only real trouble with hybrids is that they cost more than gas cars. The additional engineering and electric engine add to cost. The “green” machines may have price tags several thousand dollars higher than the older models that they replace.

Selling more expensive cars in the current environment is a hard road. No matter how much people want to be good citizens, paying extra money while the developed world is moving into recession is not going to happen.
Hybrids may have their day, but that day will not come while the consumer is looking through his pocket and finding nothing but lint.

Douglas A. McIntyre