The market for luxury cars is recovering, but makers of the lower-priced cars that most people drive could struggle with meager profits for years to come. That was the message to be drawn from earnings reports released by Bayerische Motoren Werke and Volkswagen on Thursday. BMW said that its car division returned to profit in the fourth quarter of 2009, as sales stabilized in established markets and grew in emerging countries like China and Brazil. Soaring demand for higher-priced models like the top-of-line 7 Series contributed to the gains. – from NYT
Alex has written for Vanity Fair, Barrons, Bloomberg and Condé Nast Traveler.