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GM confirms it will close 1,100 dealerships

danarhea

danarhea

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Right after Chrysler announced that it was closing 700 dealerships, GM now announces that it is closing 1,100 of them.

Want to know what that means? A whole LOT of car salesmen are going to have to look for another line of work. That's just about the last thing we need - More politicians. Yuck!! :mrgreen:

Article is here.
 
danarhea said:
Right after Chrysler announced that it was closing 700 dealerships, GM now announces that it is closing 1,100 of them.

Want to know what that means? A whole LOT of car salesmen are going to have to look for another line of work. That's just about the last thing we need - More politicians. Yuck!! :mrgreen:

Article is here.
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Many dealerships cary more than one brand of vehicle, so the losses might not be as severe as one might think -- but certainly there will be a good number of them.
 
I plan on buying Ford next time anyway.

Stick with a company that at least knows how to stay in business.
 
Do some towns and cities have more than one dealer of the same brand? I know in Europe it happens and I always found it insane. No reason to have more than one dealer of Ford in any low to medium town up to even city size.
 
Dayton3 said:
I plan on buying Ford next time anyway.

Stick with a company that at least knows how to stay in business.
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That's why I buy imports. They make cars based on what the consumer wants in terms of looks and efficiency. The America brands have yet to learn that and they are not going to learn that if people are settling with buying American just for the sake of buying American. Want me to buy American? Then build a car that can compete with the import market.

Personally I stick with my Audi's.
 
PeteEU said:
Do some towns and cities have more than one dealer of the same brand? I know in Europe it happens and I always found it insane. No reason to have more than one dealer of Ford in any low to medium town up to even city size.
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Yes, depending on the size of the population and sometimes the grandfathering in of older franchises a town or even region could end up with multiple dealerships in the same line. In my city there are at least six GM carriers, however none hold the same exact line to my knowledge, there are at least two Ford dealers here, and I think two Chrysler dealers, that doesn't even speak to the 35 mile area and the smaller cities.
 
PeteEU said:
Do some towns and cities have more than one dealer of the same brand? I know in Europe it happens and I always found it insane. No reason to have more than one dealer of Ford in any low to medium town up to even city size.
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Not at the same location but you will often find dealerships in the same general area that carry the same dealership name. Here in San Diego the Hoehn auto group has separate Honda, Audi, Mazda, Porsche, Infinity, Mercedes, and Acura dealerships.
 
LaMidRighter said:
Yes, depending on the size of the population and sometimes the grandfathering in of older franchises a town or even region could end up with multiple dealerships in the same line. In my city there are at least six GM carriers, however none hold the same exact line to my knowledge, there are at least two Ford dealers here, and I think two Chrysler dealers, that doesn't even speak to the 35 mile area and the smaller cities.
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That is what I mean. I understand one "store" having several brands even from competing car makers, but having multiple "stores" with the same brand in say a 50mile area is nuts if you ask me. And that is regardless of the population. Cars are not butter and milk for god sake, but a considerable investment for most people. They only hurting each other in the end and that is what shows now. I also read somewhere that GM and Chrysler have far far more dealers than Toyota and yet Toyota outsells them hand over foot.. wonder if the GM and Chrysler CEOs pre Obama every thought of that...
 
If only we were CEO's of these companies, everthing would be okay wouldn't it? Sure.
 
PeteEU said:
That is what I mean. I understand one "store" having several brands even from competing car makers, but having multiple "stores" with the same brand in say a 50mile area is nuts if you ask me. And that is regardless of the population.
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No, It isnt. A 50 mile radius in some places might encompass >10 million people. One Chevy dealer cannot handle a 10 million person population base. A single Chvy dealer also means prices will be higher as there will be less competition -- smart people play dealers against each other to get the best deal.

If a dealership is in business, it must be making money. If it is making money, there is enough business for it to do so. Closing the local dealer simply forces people to go farther to get what they want.
 
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PeteEU said:
That is what I mean. I understand one "store" having several brands even from competing car makers, but having multiple "stores" with the same brand in say a 50mile area is nuts if you ask me. And that is regardless of the population. Cars are not butter and milk for god sake, but a considerable investment for most people. They only hurting each other in the end and that is what shows now. I also read somewhere that GM and Chrysler have far far more dealers than Toyota and yet Toyota outsells them hand over foot.. wonder if the GM and Chrysler CEOs pre Obama every thought of that...
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Can't say, Toyota and Honda are well represented here as well, there are about four dealerships in a 50mi radius. The multiple dealer angle is bad for the dealers, but good for consumers I would say in that it gives a buyer leverage, if I owned a dealership however, I would definitely be asking the parent company what they were thinking.
 
Dayton3 said:
I plan on buying Ford next time anyway.

Stick with a company that at least knows how to stay in business.
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Buy Toyota and help save my job please.
 
LaMidRighter said:
Can't say, Toyota and Honda are well represented here as well, there are about four dealerships in a 50mi radius. The multiple dealer angle is bad for the dealers, but good for consumers I would say in that it gives a buyer leverage, if I owned a dealership however, I would definitely be asking the parent company what they were thinking.
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Years ago I traded in my wife's eclipse and got her her first Audi. The Audi dealership was going to give me $7k for the Eclipse but i wanted closer to $10k. After some calling around they were able to get their sibling Mazda dealership to buy the car for $9k.

The parent company owning two different dealership worked out for both of us in my opinion.
 
Gibberish said:
Years ago I traded in my wife's eclipse and got her her first Audi. The Audi dealership was going to give me $7k for the Eclipse but i wanted closer to $10k. After some calling around they were able to get their sibling Mazda dealership to buy the car for $9k.

The parent company owning two different dealership worked out for both of us in my opinion.
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Yep, competition benefits the consumer.
 
LaMidRighter said:
You are cool as hell, but I won't buy Toyota, never liked their practices.
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Which? Higher quality standards? More emphasis in creating American jobs?

I was a firm "buy American" person, until I started making parts for the auto industry. I make(well, made, but hoping to be called back to work before end of year) parts for Chrysler, GM and Toyota, and the standards we are held to is incredibly different between the "US" auto makers, and Toyota. Not to mention, we ship our parts to subassembly plants in the US for Toyota, Canada for GM and Chrysler.
 
Redress said:
Buy Toyota and help save my job please.
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Have no fear, I personally never plan to buy an "American" in name only car.

MY wife is due for something soon, maybe a Toyota.

As for me I'm buying Taiwan.

citycom_img_3.jpg
 
Redress said:
Which? Higher quality standards? More emphasis in creating American jobs?
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Those are the good ones I will admit. I have seen some Toyotas do some weird stuff in the breakage catagory though, stuff I've never seen in another vehicle, plus, at least here, the dealers are a P.I.A. to deal with when it comes down to warranty issues.
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GM and Chrysler received TARP funds. Wasn't the point of that money to prevent jobs from being lost?

More wasted spending from the government.
 
Alex said:
GM and Chrysler received TARP funds. Wasn't the point of that money to prevent jobs from being lost?

More wasted spending from the government.
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That was my initial reaction. It looks to be like that money the government gave them was just putting off problems until later, and later is now.
 
F107HyperSabr said:
Buy Ford, GM, Chrysler and save an American job!!!
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How about don't make people feel like it's their patriotic duty to buy something they don't need and perhaps can't afford? With the "go out and buy something you need a loan to purchase, and you don't need it" attitude, we'll never get out of this economic struggle. People need to be more responsible with their money.
 
Alex said:
GM and Chrysler received TARP funds. Wasn't the point of that money to prevent jobs from being lost?

More wasted spending from the government.
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Not really !the reason that GM and Crysler earlier had to close these dealerships is because they have more dealerships than customers. Just like a store if a store is not cutting it and cannot sustain itself it will eventually get closed.

This is a sad day for America !!
 
F107HyperSabr said:
Buy Ford, GM, Chrysler and save an American job!!!
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I am an American. In fact, I live in Michigan, where the auto industry is the predominant industry. While Ford, GM and Chrysler do contribute jobs to the area, so do Toyota, and a number of others. Best check your facts.
 
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