Luxury cars should adopt the sales formula of HDB
A practically risk free sales formula like the selling of HDB flats is the best for companies selling luxury cars. These companies can sell their cars under the BTO scheme where the buyers have to pay a deposit upfront to confirm intent to purchase. The companies can set a block of 100 orders or a multiple of that, and only when the orders are filled, will they place the orders with the manufacturers. The parent companies would then start to hire the workers, purchase material and activate the production lines. And they can apply the JIT principle for delivery of the cars. This sales formula will make the companies so efficient in producing exactly the number of cars to be sold. And there is no need to carry stocks, saving on storage and depreciating costs and also no risk of unsold cars. The profit margin will definitely go up, and so are the prices, as they are not easily available. Adopting such a sales formula, a sure win formula, the customers would have to plan their purchases well in advance as it will take maybe a year or two before they can take delivery of the cars. I am recommending this sales formula to Mercedes, BMW, Porsche and Audi, for a small fee of course. I think they will love this ingenious idea. It can only come from Singapore, a uniquely Singaporean formula. No more production headache, no more carrying of unwanted stocks. The headache is passed to the buyers of course.