18 points
Selling at a loss to enter a market or gain market share is a time honored tradition at this point.
2 points
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It is, but as the article mentions some manufacturers are making a loss of 35k per car.
If those cars are then sold for 5k less than the US/EU/Japanese equivalent, despite lower wages and environmental standards, you have to ask yourself questions.
12 points
Yes you just described the business model. Everyone from Walmart to Amazon to Uber uses it. They take a loss in the short term, relying on new investor money or other products.
4 points
Or they could be building economies ot scale? You can’t drive down costs making thousands, you need to make millions.