Professor Elam

The latest issue of B/W features an article on Fisker Design

Fisker is famous for designing the BM Z8 as well as the Aston Martin V 8, He quit those jobs to start his own coachbuilding firm.  Back in the heyday of the Dusenburg, rich individuals would buy a chasis from Duzy and then have a coach builder make a custom one off design for them, a unique car.  And these coachbuilders also specialized in their own designs.  Well wealth being what it is, the super car market is now a $6 BILLION business.  So Fisker went out on his own.  In classic fashion his first two cars are built on a Mercedes AMG chasis and a BMW coupe chasis.  I mean who wants a run of the mill $100 K BMW or Aston when a $200K that has a limited production run is available?

How does this relate to Chapter 3 and 4 in the cost class?  Well this would be a combination of job order costing and process costing. The chasis will have to be negotiated at a known cost. The very expensive carbon fiber bodywork will require careful cost control so as not to exceed the budget.  Interestingly spare fenders are made in case of a collision.

THis also points out how the market for really expensive items continues to expand worldwide.

DLE