How long can McLaren survive...?

How long can McLaren survive...?

Author
Discussion

civicduty

1,857 posts

205 months

Thursday 19th March 2015
quotequote all
007 VXR said:
How many years did it take Merc to win the World tile ... 9 ?
The latest version of the manufacturer backed team would be 5 years no?

Bought Brawn out at the end of 09, started in 10 won the world championships 14, so 5 years inclusive of the title winning year.

ralphrj

3,559 posts

193 months

Thursday 19th March 2015
quotequote all
civicduty said:
007 VXR said:
How many years did it take Merc to win the World tile ... 9 ?
The latest version of the manufacturer backed team would be 5 years no?

Bought Brawn out at the end of 09, started in 10 won the world championships 14, so 5 years inclusive of the title winning year.
Also, only took 4 years as an engine supplier at McLaren. Started in 95 and won the WDC and WCC in 98 (McLaren's only Constructors title in the last 20 years).


Regarding McLaren's prospects of surviving...

I think they are pretty safe and will be back at the sharp end of the grid before too long. It would be a bit early to write off their entire season based on Australia but race wins might be beyond them this year.

McLaren have 3 sources of funding:

1. Their share of the TV money from FOM,
2. Their current (minor) sponsors,
3. Their shareholders.

I can't comment for all of their other group companies but they definitely aren't benefitting from the Automotive business as last time I checked they only owned 4% of it.

Schermerhorn

4,343 posts

191 months

Thursday 19th March 2015
quotequote all
They are the works Honda team. I would not be surprised if they are pumping millions into other areas aside from engine tech to bring everything up to scratch.

benters

1,459 posts

136 months

Thursday 19th March 2015
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Oddly I admire Ron D for not dropping his price to get a name on the car. I can see why it doesn't make a lot of commercial sense for now, but as and when they get themselves sorted, which I am wholly confident they will, then he will be able to justify what ever the ticket price is for plastering your name on the car.
Its a ballsy decision but perhaps another way of looking at it is that it may help the other smaller teams. After all, if you want to promote your brand there are other teams which currently are higher up the grid that are known to be short of cash you could approach.

007 VXR

64,187 posts

189 months

Thursday 19th March 2015
quotequote all
Why not just put big Honda logos all over it for now?

Dakkon

7,826 posts

255 months

Thursday 19th March 2015
quotequote all
red_slr said:
I think next year will be make or break for them. If they don't get 3rd or higher next year I can see them having real money problems unless they take some money from somewhere else.
And that comment is based on what exactly?

Redlake27

2,255 posts

246 months

Thursday 19th March 2015
quotequote all
20 years ago, in the 1995 Nurburgring GP, I remember watching the McLaren-Mercedes battling with Minardis and Fortis at the back. It was embarrassing on Mercedes home ground, in the first year of their partnership with McLaren.

Two years later, at the same circuit, they had the fastest cars. But both Mercedes engines blew up on the same lap, handing victory to Renault engine cars in front of Merc's CEO.

After three years of such embarrassment, they dominated the championship in 98 and 99.

Vocal Minority

8,582 posts

154 months

Thursday 19th March 2015
quotequote all
Let's not forget that Mercedes supplied Sauber in 1994 - and arguably in 1993 as Ilmoor (though I happily stand to be corrected on that one)

Redlake27

2,255 posts

246 months

Thursday 19th March 2015
quotequote all
007 VXR said:
Why not just put big Honda logos all over it for now?
There will have been a lot of haggling between McLaren and Honda to give the level of branding they have now. McLaren aren't going to give away extra space for nothing. If Honda want their car to look as branded as a Mercedes or Ferrari, there's a higher price to pay.

MrKipling43

5,788 posts

218 months

Thursday 19th March 2015
quotequote all
Dakkon said:
red_slr said:
I think next year will be make or break for them. If they don't get 3rd or higher next year I can see them having real money problems unless they take some money from somewhere else.
And that comment is based on what exactly?
I'm going to take a wild stab in the dark here and go for 'On absolutely nothing whatsoever'.

007 VXR

64,187 posts

189 months

Thursday 19th March 2015
quotequote all
Redlake27 said:
007 VXR said:
Why not just put big Honda logos all over it for now?
There will have been a lot of haggling between McLaren and Honda to give the level of branding they have now. McLaren aren't going to give away extra space for nothing. If Honda want their car to look as branded as a Mercedes or Ferrari, there's a higher price to pay.
Free engines and 40mil for Alonso not a high price ?

Redlake27

2,255 posts

246 months

Thursday 19th March 2015
quotequote all
007 VXR said:
Redlake27 said:
007 VXR said:
Why not just put big Honda logos all over it for now?
There will have been a lot of haggling between McLaren and Honda to give the level of branding they have now. McLaren aren't going to give away extra space for nothing. If Honda want their car to look as branded as a Mercedes or Ferrari, there's a higher price to pay.
Free engines and 40mil for Alonso not a high price ?
Yes. And Honda were happy to accept the branding offered for that price. If it was your advertising hoarding, you'd let them pay more if they wanted more.

geezerbutler

526 posts

144 months

Thursday 19th March 2015
quotequote all
slipstream 1985 said:
Honda pay for engines and mclaren sell 100s of different varieties of their 3.8 engine in each model they release.
I thought the road car engines were made by Ricardo based on a Nissan design.

aeropilot

35,057 posts

229 months

Thursday 19th March 2015
quotequote all
007 VXR said:
Why not just put big Honda logos all over it for now?
Probably the last thing they want to do at this moment in time hehe

007 VXR

64,187 posts

189 months

Thursday 19th March 2015
quotequote all
aeropilot said:
007 VXR said:
Why not just put big Honda logos all over it for now?
Probably the last thing they want to do at this moment in time hehe
laugh

They will come good soon (fingers crossed)

btcc123

1,243 posts

149 months

Thursday 19th March 2015
quotequote all
007 VXR said:
Free engines and 40mil for Alonso not a high price ?
Free engines plus Alonso worth mega bucks.Mercedes have spent 4 years on their engine and spent 500 million Euros so far.Honda will spend that kind of money and from 2016 will want a couple of pay teams to help pay the costs.I can see Red Ball and Toro Rosso interested if Renault dont pull their finger out.

entropy

5,499 posts

205 months

Thursday 19th March 2015
quotequote all
Redlake27 said:
20 years ago, in the 1995 Nurburgring GP, I remember watching the McLaren-Mercedes battling with Minardis and Fortis at the back. It was embarrassing on Mercedes home ground, in the first year of their partnership with McLaren.

Two years later, at the same circuit, they had the fastest cars. But both Mercedes engines blew up on the same lap, handing victory to Renault engine cars in front of Merc's CEO.

After three years of such embarrassment, they dominated the championship in 98 and 99.
No embarrassment at all. I did work experience at Ilmor in '96. Workforce was in high spirits and they were in the middle of working on something. I remember being given a mini-tour of the factory and turned up at the dyno unannounced and we got a massive rollicking!

red_slr

17,468 posts

191 months

Thursday 19th March 2015
quotequote all
MrKipling43 said:
Dakkon said:
red_slr said:
I think next year will be make or break for them. If they don't get 3rd or higher next year I can see them having real money problems unless they take some money from somewhere else.
And that comment is based on what exactly?
I'm going to take a wild stab in the dark here and go for 'On absolutely nothing whatsoever'.
Um, well I guess we can all have an opinion, we all know they have hardly been rolling in it the last few years.
They made a decent profit last year but that's the first time in a while IIRC? Even though their performance was similar...
I am certainly aware of some of the top McLaren guys leaving around 2012/3. I personally know of 2.

Anyway moving on..
We all know it runs in cycles, and its looking like a 3 - 5 year run for Mercedes.
Ferrari and Red Bull most recently. Williams are on a good roll, perhaps McLaren and Ferrari will make a break through next year.

markcoznottz

7,155 posts

226 months

Thursday 19th March 2015
quotequote all
Redlake27 said:
20 years ago, in the 1995 Nurburgring GP, I remember watching the McLaren-Mercedes battling with Minardis and Fortis at the back. It was embarrassing on Mercedes home ground, in the first year of their partnership with McLaren.

Two years later, at the same circuit, they had the fastest cars. But both Mercedes engines blew up on the same lap, handing victory to Renault engine cars in front of Merc's CEO.

After three years of such embarrassment, they dominated the championship in 98 and 99.
And they gave Ilmor a near enough blank cheque to do it.

andyps

7,817 posts

284 months

Thursday 19th March 2015
quotequote all
benters said:
Oddly I admire Ron D for not dropping his price to get a name on the car. I can see why it doesn't make a lot of commercial sense for now, but as and when they get themselves sorted, which I am wholly confident they will, then he will be able to justify what ever the ticket price is for plastering your name on the car.
Its a ballsy decision but perhaps another way of looking at it is that it may help the other smaller teams. After all, if you want to promote your brand there are other teams which currently are higher up the grid that are known to be short of cash you could approach.
I'm the same, if he did a deal now for a title sponsor in the current market with the current performance of the McLaren the amount would have to reflect those two points. Assuming they can survive for a year or two (and Ron and others involved are pretty good at business so that seems likely) without selling cheap once they are in a better position they won't have had to reduce the price short term and will have a higher value long term.