Frankly, it should be accounted for on the basis of the carrying cost of the r&d debt. If I open a bakery and buy a ton of expensive equipment, I will have huge accounting losses per cookie for years but I may very well still be cash flow positive. That’s all that matters.
GM can clearly make money from this vehicle if the tighten up their production. I'm sure engineers there know exactly what needs to be done to get there. It probably takes investment, but there will only be a return on the investment if many more Bolts are sold.
To sell more of these cars, they have to overcome public perception that they are some weird new technology. They have to make hybrid engines "feel" as solid as a Hemi. They have to make these cars known, understood, and "normal". Most people just want a car that fits in, they don't want to make a statement. This is why the blandest vehicles, e.g., Toyota Corollas are so popular.
Unfortunately, engineering rarely changes the way someone feels about a product, marketing does.
So to make the Bolt profitable, GM will need to make a significant investment in advertising and marketing to make it the new normal. They don't seem up to that.
Also, many places in the US already have government incentives or requirements for charging infrastructure.
Personal experience is also hugely relevant. If a friend gives you a ride in their electric car, many of the advantages become immediately apparent - the silence, the interior space, the remarkable acceleration and the general normality of an EV. A brief conversation with an owner will reveal that many of the fears about EV ownership are just myths.
Tesla have done an important job by making EVs cool, but equally important is simply getting used to the presence of EVs. That's not an overnight process, but it's already starting to happen, at least in Europe. The sight of cars with no tailpipe or someone plugging in to a rapid charger is no longer unusual. EVs are starting to seem less like a weird option for hippies and nerds and more like the inevitable future of motoring.
I feel thats the main difference in philosophy between US and german car manufacturers. I guess theres is a place for both.
I'm not sure I agree. In Germany, marketing is still hugely important, it's just that they often focus on marketing engineering innovations. People don't select German cars because they have better engineering, they select them because they feel like they have better engineering. Marketing there still matters, but it's more tied up with the engineering.