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I reckon the 320i is a great car - I drove one for about 3 weeks and was surprised at the level of equipment offered (as standard) as well as just how flexible the engine is... I was never really left wanting for more power
The 316i I guess will feel like the E90 320i (which was s-l-o-w), although the engine's torque comes on pretty low which will certainly make it faster than it's predecessor
At $51k for a solidly built BMW, I wouldn't say people are buying for the badge, I say they are getting a great value car with lots of tech, safety, engineering, luxury (somewhat)... and the badge.
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