Limited chips means more high end (higher margin) vehicles are prioritized by manufacturers. Longer lease/finance terms for the unwashed masses. Those that cannot afford are buying used and that is why the market for a clapped out, rebuilt status CUV is $20k+ at a buy here, pay here lot. Nasty.
Correct. Simple math: let's say you'd normally build 10,000 units of a given model in a "normal" year. Of that, you'd normally run a 40% mix of the top-trim vehicle.
Enter supply shortages on a key platform component; now you can only build 6,000 this year. In nominal terms, you'd normally have moved 4,000 top trim cars. Assuming you can get the parts required, naturally you'll still build the 4,000 units of the top trim (presumably most-profitable) unit - meaning its mix increases to 67%.
Every OEM has been doing this same dance since mid-2021.