BMW is prepared to admit to a series of mistakes with its two-seater roadster and is hoping to rectify them all with its forthcoming replacement.
For a start there will be no unexciting 1.9-litre four-cylinder automatic version of the new Z4, as there was with the lack-lustre Z3.
Instead, the smallest engine will be a powerful 2.5-litre straight-six, with a slick five-speed manual transmission as standard and an optional six speed with sequential shift. Next up is a more powerful three litre version, with acceleration to 60mph in under six seconds and a top speed of 155mph.
There will be no repeat of the unattractive coupe version, which has proved so unpopular that it is likely to become a collector's item because of its rarity.
Neither will there be an M version, which offers little better performance in the Z3 than the new 3.0-litre Z4, despite boasting 325bhp in comparison to just 231bhp.
The aim of the new model is to create something more in keeping with the BMW badge which, incidentally, is displayed boldly on both sides of the car in addition to the bonnet and boot.
The renaming reinforces BMW's desire to shift up a gear from the Z3, slightly more towards the James Bond-style Z8.
This puts the Z4 into Porsche Boxster and Mercedes SLK territory, where driving dynamics, creature comforts and innovation are paramount. For example, the Porsche is ultimately unequalled behind the wheel, whilst the SLK has a clever fold-away steel roof to endow it with coupe/cabriolet status.
The Z4 is a rag top only, but its electric operation is ingenious, with the hood disappearing behind the seats in a simple one-touch operation within seconds. Aesthetically, however, it is imperfect, with the framework on both sides being left clearly visible in an uncovered well when folded.
BMW says that this is deliberate, but you can rest assured there will be a modification to hide it in due course.
There is a welcome increase in interior room, with a fully adjustable steering wheel and so much travel on the seats that even the tallest of users will find their ideal driving position. The boot is larger too, being able to carry a set of golf clubs, although somewhat controversially there is no spare wheel. Instead, there are runflat tyres that theoretically prevent the risk of a full blow-out and enable you to reach a garage at reduced speed in the event of a puncture.
BMW says it is negotiating with alternative suppliers to give anyone unlucky enough to get a puncture the chance to source a cheaper replacement than the hugely expensive current tyres.
On the road the Z4 cuts quite a dash, being much more of a muscle car than the Z3 ever was. It boasts bulges in all the right places with a wider track to create a more purposeful stance, which improves road-holding in the process.
Grip is outstanding, with the car hanging on impressively through the sharpest of corners, and is matched by hugely powerful brakes, plus a steering system that has reached a new level of precision.
This is because beneath the skin the Z4 bears little resemblance to its predecessor with a completely new suspension layout and the introduction of an electro-hydraulic steering system. The result is a car that drives almost as well as a Porsche Boxster, although ultimately not quite.
Nonetheless, that is no problem for BMW, whose customers will be attracted by the badge and who probably want something slightly less sophisticated anyway.
As far as roadsters go, the Z4 is easy and satisfying to drive. It produces similar power to the Boxster but at lower engine speeds, so it feels less frenetic and demanding.
It lacks the brilliant folding steel roof arrangement of the SLK, but offers arguably the best automatic rag top arrangement on the market by way of compensation.
Thankfully there is none of the absurdly complicated 7-Series iDrive nonsense, with simple traditional levers and switches instead. Everything is logically-placed and within easy reach, and there are even cup-holders and several cubby holes.
Whilst there is no doubting that the Z3 was a pretty enough roadster, and in some guises is competent, the new Z4 shows how things have moved on. It is everything that the Z3 never was and is now a serious sports car, appealing to hairdressers and genuine enthusiasts alike.
Made in America, it is on sale in its home market immediately, and should cross the Atlantic by spring. BMW says there will be a single Euro price which, with our taxes, is likely to equate to about £25,000 for the 2.5-litre version and about £30,000 for the 3.0-litre.