I was listening to Clark Howard today (consumer advocate and notorious cheapskate) and he predicted by 2010 there will be a car on sale in the US under $10,000 "fully equipped". He didn't say who or where the car was coming from; my guess is China, from Brilliance Auto, Geely or SAIC. We'll see.
Does Howard's "fully equipped" under $10K car include rust protection, switches that don't fall off in the first 3,000 miles, and actual radial tires instead of bias-plies from 1982?
(I'm the first to agree that all new cars are overpriced; that's why I buy used. But stories I've heard about the cheapness of many Chinese products make me pessimistic about their ability to build even a halfway decent car at that price point.)
Oh, and as for the ad, it's a good example of how to use reverse snobbery to move your product. "You spent $6000 on a Mercedes? I spent a third of that for a car that does everything I want it to. Who's smarter?"