U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Economics > Personal Finance
 [Register]
Please register to participate in our discussions with 1.5 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Jump to a detailed profile or search
site with Google Custom Search

Search Forums  (Advanced)
Business Search - 14 Million verified businesses
Search for:  near: 
 
Old 09-15-2011, 05:21 PM
 
5,748 posts, read 6,804,774 times
Reputation: 4356
Quote:
Originally Posted by drshang View Post
Cool...but I doubt he's taking the bus to close a major deal when driving takes 2 hours less time.
Believe it or not, for him it takes less time to go door-to-door on the train than it does to drive, plus he can and often does work on the train. It's really a great situation.
Reply With Quote Quick reply to this message

 
Old 09-15-2011, 05:24 PM
 
Location: Conejo Valley, CA
12,167 posts, read 9,514,053 times
Reputation: 3933
Quote:
Originally Posted by formercalifornian View Post
Believe it or not, for him it takes less time to go door-to-door on the train than it does to drive, plus he can and often does work on the train. It's really a great situation.
This is not to mention that you can get far more done while taking public transit. You can can do productive things while you wait for the train and once you are on the train as well.
Reply With Quote Quick reply to this message
 
Old 09-15-2011, 05:41 PM
 
Location: Pasadena
1,285 posts, read 1,702,588 times
Reputation: 1205
Quote:
Originally Posted by user_id View Post
people buy them because they are displays of status not because they are "nicer".
It's good to know that I'm speaking to the authority on consumer behavior and that you are the oracle on understanding why people buy certain products!

I agree with you, the only reason anyone could possibly want to buy an expensive car is to show off to others. There is absolutely no other way that an S-Class Benz is any better than a Camry. How could these people be so shallow and stupid!

You just convinced me to go sell my car and buy a cash for clunkers special. Thank you.

Just FYI: don't be so presumptuous to assume and know why people buy products. You aren't as smart as you think you are. Consumers and people are not all the same.
Reply With Quote Quick reply to this message
 
Old 09-15-2011, 05:41 PM
 
5,748 posts, read 6,804,774 times
Reputation: 4356
Quote:
Originally Posted by drshang View Post
Cool...but I doubt he's taking the bus to close a major deal when driving takes 2 hours less time. Public transportation can make sense and tons of people who are very wealthy take it. But they are very largely only doing it when it makes sense, and won't spend 3 hours on a train when they can drive in 45 minutes because "it's safer."
True.

Back to the original point, it's folly to think that one can be safe only by purchasing an outrageously expensive vehicle -- and I do consider $80k to be outrageously expensive for a commuter vehicle. The cars are lovely, but they aren't necessary. That said, a lot of things aren't necessary, and I, for one, am not interested in living a spartan lifestyle. Cars are not a priority for me, nor are they for my spouse, which is actually a little weird, because my FIL is involved in motorsports. One of the things I've noticed from observing the crowd with whom he works is that despite being worth ridiculous amounts of money and owning race cars, they typically don't own expensive daily drivers. They drive Subarus, Fords, and -- hold on to your hat -- Toyota sedans. Yes, there is an element that likes to show-off (we call them the GCG: the Gold Chain Gang), but most are really down-to-earth and drive very normal cars, even as they collect exotic vehicles to show and race.

Anyway, I do think there is the element of making an impression in purchasing a certain class of car, and I think it's naive to deny it.

Last edited by formercalifornian; 09-15-2011 at 05:49 PM..
Reply With Quote Quick reply to this message
 
Old 09-15-2011, 05:51 PM
 
Location: Pasadena
1,285 posts, read 1,702,588 times
Reputation: 1205
Quote:
Originally Posted by formercalifornian View Post
True.

Back to the original point, it's folly to think that one can be safe only by purchasing an outrageously expensive vehicle -- and I do consider $80k to be outrageously expensive for a commuter vehicle. The cars are lovely, but they aren't necessary. That said, a lot of things aren't necessary, and I, for one, am not interested in living a spartan lifestyle. Cars are not a priority for me, nor are they for my spouse, which is actually a little weird, because my FIL is involved in motorsports. One of the things I've noticed from observing the crowd with whom he works is that despite being worth ridiculous amounts of money and owning race cars, they typically don't own expensive daily drivers. They drive Subarus, Fords, and, hold on to your hat, Toyota sedans. Yes, there is an element that likes to show-off (we call them the GCG: the Gold Chain Gang), but most are really down-to-earth and drive very normal cars, even as they collect exotic vehicles to show and race.

Anyway, I do think there is the element of making an impression in purchasing a certain class of car.
I personally think 80k is excessive for a car as well. My experience is most legitimately wealthy people tend to either buy a very nice car and keep it a pretty long time, or buy mid range cars and replace them relatively frequently.

Maybe I don't hang around many "new money" people, but pretty much everyone I know who drives a 50k+ car can legitimately afford it. But I will say, almost every single one of them is planning to keep that car a long time, or purchased that expensive car several years ago and still owns it.

Most own the car because they legitimately enjoy the experience of driving it, not because they want people to think certain things about them. Sure there are plenty of people who buy cars to show off, but it's not the only reason why people purchase expensive vehicles.
Reply With Quote Quick reply to this message
 
Old 09-15-2011, 05:54 PM
 
19,618 posts, read 13,735,325 times
Reputation: 8809
I'm a big fan of the rail. I like that I can get into NYC in 45 minutes, where it would otherwise take me 2 hours with traffic and cost me $45 to park (on top of toll). Then there's the benefit of being productive while you ride.

Anyways, I don't see spending money on a luxury vehicle outrageous. I consider working your ass off in hopes of reaching an 8-figure savings without enjoying any of your money outrageous.
Reply With Quote Quick reply to this message
 
Old 09-15-2011, 06:00 PM
 
Location: Holmdel, NJ
17,030 posts, read 12,412,360 times
Reputation: 9572
Quote:
Originally Posted by drshang View Post
Yes, because it makes lots of sense for high net worth individuals to stand around waiting for buses instead of doing economically productive things that produce money and value.
you are making too many assumptions about high net worth individuals and the safety of an 80k car. i think there is a certain point where you have paid for about all of the currently available safety features and you are paying for more luxury/power features.
Reply With Quote Quick reply to this message
 
Old 09-15-2011, 06:03 PM
 
Location: Conejo Valley, CA
12,167 posts, read 9,514,053 times
Reputation: 3933
Quote:
Originally Posted by drshang View Post
It's good to know that I'm speaking to the authority on consumer behavior and that you are the oracle on understanding why people buy certain products!
Oh no, just someone with knowledge of marketing and human psychology. People display their status with material goods, its a fundamental aspect of human nature. You find it in every culture...except I guess American culture. Yep, when an American spends 4~5 times the normal price on a car it has nothing to do with status displays...its because its "nicer".

Quote:
Originally Posted by drshang View Post
There is absolutely no other way that an S-Class Benz is any better than a Camry. How could these people be so shallow and stupid!
Of course, I never suggested that a S-class is the same as a Camry, instead, I stated that the S-Class is a Veblen good. Reading is good, I tell you. The price of the S-class is exactly why people want it, not its features. The additional features are just there to allow for effect market segmentation, that is, price discrimination.

Quote:
Originally Posted by drshang View Post
Just FYI: don't be so presumptuous to assume and know why people buy products.
Don't be so presumptions to assume you know why you buy the things you do....
Reply With Quote Quick reply to this message
 
Old 09-15-2011, 06:13 PM
 
Location: NJ
17,580 posts, read 18,181,107 times
Reputation: 15320
Quote:
Originally Posted by user_id View Post


Don't be so presumptions to assume you know why you buy the things you do....
It must be hard living with such superior intellect. How do you manage to get through the day having to deal with other people?
Reply With Quote Quick reply to this message
 
Old 09-15-2011, 06:20 PM
 
Location: Conejo Valley, CA
12,167 posts, read 9,514,053 times
Reputation: 3933
Quote:
Originally Posted by manderly6 View Post
It must be hard living with such superior intellect. How do you manage to get through the day having to deal with other people?
Its a funny thing...how..what is almost common knowledge in academic circles is treated as almost heretical to the masses.

The fact that people are often not cognizant of the real reasons behind their behavior is just basic psychology.... People regularly create culturally laden fictions to explain their behavior, indeed, no explanation is free of some fiction...

But America doesn't need to be bothered with science...pesky stuff..really.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:


Over $79,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Economics > Personal Finance
Similar Threads

All times are GMT -6.

2005-2014, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25 - Top