According to some press report out of Germany (Ferpress), whoever puts in a bid for Märklin needs to come up with backing of €100million for the bid to be considered. A tidy sum that will probably leave many on the sidelines … except … there is one name that all of a sudden pops out of the woodwork – Kader.
Eww… wouldn’t that get some panties in a wad
You got that right! As far as the Germans are/were concerned Märklin is the world’s largest producer of train models. And the pike being gobbled up by the shark would surely be noticed.
Here’s an “IF” for you.
“IF” Kader were to own LGB/Marklin, would they be “left alone” as to management and quality control policies?
Profits are a result of sales. Consumers who have bought LGB and Marklin products purchased both a product and a reputation for high quality. Would Kader protect LGB and Marklin’s historically high product reputation that so dramatically contrasts with Bachmann?
Granted, readers will challenge this statement met by a spate of head-on refutation from owners of Bachmann’s large scale product durability glitches.
HJ may be on-target as to a new owner. If so, then what?
Wendell
If the trains are a good value for the money, and a road/car/engine I want I’ll buy it…I don’t care if they’re made by elves in a tree. I would just like to see them back in the market as they fit a niche that the current “American” offerings do not.
I’ve heard it said Bachmann makes junk but I like their passenger cars. A little "kit-bashing makes for a very nice bit of rolling stock at a very reasonable price. I was very dissapointed in the last box car offerings from LGB, struck me as “cheap”. It’s not the name on the box but the value inside.
Question!!
What if nobody wants to spend €100 million for Marklin, how long will they wait before the slash & burn starts??
Just a thought!!
Wendell, when a failing company is taken over, there always seems to be a lot of assurances that the new owners will not disrupt the good things that are near and dear to the customers and the existing managements and the employees.
But, I have NEVER seen nothing change, especially when it is a FAILING operation that is taken over.
The days of acquisitions for charity are gone, if someone buys Marklin, it will be with the intent of making a profit. Since they were not making a profit, then changes WILL have to be made.
Regards, Greg
Greg-
You are so right not making a profit means change. However, profit from what sales of large scale? The singular change for us would be availability. Now, this is sticky: Would any buyer want to damage the reputation that LGB has garnered? The prospect and effect of Bachmann being the lead for LGB manufacturing was the speculation.
Wendell,
Food for thaught… What if Kader does not want the large scale part, but wants the Marklin HO business?? This from the fact that Marklin has abandon there large scale line & the LGB line is not back to full production… What will then happen to LGB??
In normal economic times, I feel confident that someone would continue LGB because of their loyal market.
Today, having to take a number of years to return it to profitability may not sound very good to investors.
They need an “angel”.
No buyer in their right mind would want to damage the reputation, but profit from it? The are several brands that used to mean something that are now owed by different companies and sell junk… remember Bell and Howell? Magnavox? there are others…
Regards, Greg
Bob Burton said:
Wendell,Food for thaught… What if Kader does not want the large scale part, but wants the Marklin HO business?? This from the fact that Marklin has abandon there large scale line & the LGB line is not back to full production… What will then happen to LGB??
Bob,
Considering that Märklin built a complete new mfg complex at Györ - opened last year - strictly for the LS part of their business (Märklin Gauge1, Hübner and LGB®) they certainly have plans.
Can they actually afford to implement the plans?!?
Should we care?
two years ago I would have said yes. Today no. I have found that my Aristo stuff works just as good if not better then any of my LGB stuff. From what I have reade and people I have talked to the stuff Barry puts out make a Bmann loco even better then a LGB one and at a cheeper price. I can get a Bmann and have a Barry drive put in it cheeper then I can get a used LGB one. If anyone is going to make it with the LGB or Marklin name Ithink they will have to make a quility product at a affordable price. I for one will not cry if LGB never makes it back. So long as I can get my cleaning wheels of my Loco I will be happy and when I can’t I will just kitbash it.
John Joseph Sauer said:Who knows, who cares, time will tell.
Can they actually afford to implement the plans?!?
Just like Geoff says there are alternatives, right across the board for anything that Märklin produces.
Hans-Joerg Mueller said:I think the other end of the modeling scale will be hurt more... isn't Marklin the only manufacturer of Z scale stuff? (Which is also used by kitbashers to make narrow gauge in N scale.)
Just like Geoff says there are alternatives, right across the board for anything that Märklin produces.
Ray Dunakin said:Ray, there are a few more mfgs producing Z scale not least of which [url=http://www.micro-trains.com/]Micro Trains[/url] and their stuff looks a lot better than most of the Märklin stuff.Hans-Joerg Mueller said:I think the other end of the modeling scale will be hurt more... isn't Marklin the only manufacturer of Z scale stuff? (Which is also used by kitbashers to make narrow gauge in N scale.)
Just like Geoff says there are alternatives, right across the board for anything that Märklin produces.
Yep, MTL is outstripping Marklin by leaps and bounds, they now make track and switches, and many more American prototypes and more on the way…
(I model Z too)…
Regards, Greg
Ah, I wasn’t aware of that. Cool.
Hmm, no steam locos though.
As of yesterday (2009/03/31) the Nürnberg remnants of both LGB® und Trix are now history. According to info received there are only three people who transfer from Nürnberg to Göppingen i.e. received an employment contract with Märklin.
Hi HJ,
Club members got a list of those that lost their jobs. By chance do you know the three names that got contracts? It looks like all the LGB people got sacked.
Thanks, Jack