RE: better or worse
I agree that GM and Dodge would have to price their new pony cars right around or at least close to the Mustang. Now, for the Challenger......it may be possible if Dodge goes with their current car trim levels. An entry level V6 model pricing in the high teens, maybe low 20's........a 340-355ish hp 5.7 Hemi powered RT model pricing probably in the high 20's or close to 30........and a 6.1 Hemi SRT version making 420-430hp pricing in the high 30's. I really think the Challenger RT, even if a few thousand more, could still compete rather well with the Mustang GT. Of course, this all depends on whether Dodge brings the Challenger out in a form identical or close to its concept version.
GM's new Camaro, however, could see problems if the big wigs get too gungho about beating the Mustang in the performance arena again. I still have a hard time with the fact that they want to make the Z28 (by all rights the entry level V8 trim of the Camaro badge) an LS2 powered 400hp car. Sorry, but GM will lose serious money per unit sold if they think they can price that car right alongside the Challenger RT.........let alone the Mustang GT. Of course, this is assuming they don't build a car that's mostly plastic and fiberglass and has crappy accomodations to save the costs pushed up by the LS2 powerplant. And yea, obviously the LS2 is gonna push up the price on final product. Anyone who doesn't think so should explain to me why the GTO priced out at $35K instead of $25K or $30. And keep in mind......the GTO to this date, I believe, is the cheapest 400hp performance coupe on the market anywhere. JMO, but an LS2 powered Z28 will MSRP in the low 30's.......say, 32 to 34K...at the least. Factor in the dealer markups (which there will be if there's any decent amount of interest in the new Camaro) and I don't see the Camaro giving the Mustang a run for it's money over the long haul. This is all assuming, of course, that GM makes the entry level V8 Camaro an LS2 powered one.
Personally, I think GM needs to make the new Camaro as follows: an entry level V6 model (of course), a V8 powered Z28 model making 350-370hp, and an LS2 powered SS model making 430-460hp. If they get greedier than this.......the Camaro won't stay profitable for long. The modern car market is just too brutal, and the margin for error with reintroducing the Camaro name plate is just about nil.
Just remember, the name of the game in the modern muscle car revival market is "bang for the buck" + overall aesthetic and quality appeal. It's the reason the redesigned mustang has become so popular, and it's something that GM and Dodge have to perfectly integrate into their new cars if they want a serious shot at the top sales in this segment.