Automotive News shows us that automakers are still shy about making cars despite the economic c climate of recession and the taxpayer auto bailout with it. Now seems like like low factory inventory is what most companies live by. There are more people getting cars but dealers do not have the cars they have to sell them. The representation of auto brands was put into a survey that showed there weren’t enough cars to sell at 160 of 244 responding dealers. This caused a loss in sales. Numerous in the survey reported this loss. Article resource – Low factory inventory means dealers need cars by Car Deal Expert.
Low inventory hurts sellers
Dealerships are losing business through low inventory. Customers leave unsatisfied with what happened. Much of the auto sales comes from GMCs, Hondas, Hyundais and Chevys although there seems to never be enough. Automotive News had a dealer tell them that if there were more cars, they’d sell more cars but automakers “have driven supplies too low” for selling. General Motors, Ford and Chrysler are trying to get more money with less inventory making cars like the GMC Terain extremely hard for auto dealers to get a hold of. Dealers don’t like this cut from automakers.
Factories help
Helping dealers is a priority for automakers, but these very same automakers are cautious to avoid the overproduction that drove the industry to the gates of ruin. Dealers don’t want more cars than they can sell, either. Right now is a time that we need to move forward from the high incentive and low resale value cars. Automotive News reported this after talking with Tom Henderson. Some adjustments are necessary, of course. For instance, in order to meet recent demand for the Chevrolet Equinox and GMC Terrain in some areas, General Motors renovated an unused area of an Ingersoll, Ontario, manufacturing plant so that more bodies can be made. There isn’t really any room in the plant to finish bodies in there with paint and finish. GM has to send the bodies two hours east to get all this done.
Auto News
autonews.com/article/20100823/OEM01/308239949/1262
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