Comment by pbmonster
4 hours ago
> At 2% of sales, the opportunity cost is the reason to kill the product. Keep in mind this still needs design, manufacturing, marketing, and distribution resources.
All this is true for many other products, specifically cars. Ford makes the Bronco Sport anyway, and they make money on it.
I get it, Apple has much better margins than Ford. And maybe a iPhone 18 Mini would reduce total margin for them. But if they move a couple of million units, it absolutely would make money.
> Ford makes the Bronco Sport anyway, and they make money on it.
The current Bronco Sport generation was introduced in 2021 with minor changes in the ensuing model years. Ford USA sold 134k Bronco Sport in 2025, of 783k SUVs (17.2%) and 2.1M total USA vehicles (6.4%). the Ford E-series truck with 3.2% Ford Truck sales or 2.0% total vehicle sales may be a better comparison. It also is a design introducted in 2021.
phones are more likely mostly new designs in each model year, but we can wait for the teardowns to see.
https://www.best-selling-cars.com/usa/2025-full-year-usa-for...