Big Saving on Chrysler Car Prices

Hundreds of Chrysler Dealers are Closing Down

Toyota has less than half as many of Chrysler dealers across the nation yet Toyota sold 1.5 times more last year. Apparently this is not the main reason for closing the nearly 800 of Chrysler dealers; instead is merely a Chapter 11 proceeding. There are too many deep entangled issues involved that a blog article would be able to unravel, the truth behind a great American Legacy’s automobile failure. Issues which are not necessarily blamed for a certain government administration, but due to mainly prolonging years of savvy business practice norm.

Perhaps some folks would readily admit the underlying miss-behavior for too much chasing short term goal rather than preserving sustenance. A sustainability for long term survival of any entity is much too important than a mere current fiscal year’s shareholder demands from any year, year after year. Owning and driving Detroit car may be regarded as an act of heroism, for it is less reliable and has lower residual value than any other automobile makers.

By now we could really tell, out of the big three Detroit which one did put all out efforts to survive. And they did strive hard! Some of their models have won customer’s heart as market leader in certain segments, far away from home. GM has especially enjoyed good sales in China recently and to some extent Ford in European market, in any case both have already established a fraction of their reputations back. But unfortunately the magic do not occur in its own soil.

There is just not enough catalyst to reverse the direction of current chemical chain reactions.

Not even the recent top placement of Buick LaCrosse at JD Power ranking, Buick has apparently taking over both Toyota and Lexus. Regardless GM will still follow the suit, yet it is Chrysler’s turn to shut theirs in the coming month of June.

Impact of Enterprise’s Loss to Big Saving on Chrysler Car Prices

The damage is already done and there is no short cut to untangle such irreversible bankruptcy process. Yet the main important issue is right now how those small enterprises behind the closing Chrysler dealers could minimize their losses? It is very clear that the surviving dealers have to absorb their companion and formerly competitor’s new car inventory. The more new cars the merrier the end customers as then Chrysler’s new car prices will be sold at a ridiculous value. There are approximately around 44,000 unit of new cars inventory, furthermore for the closing dealers this figures does not include yet of its spare parts estimate.

This will not be the last Chapter 11; in fact some believe that it is the only way to push downsizing strategy. And the truth is downsizing is the only way to survive. It will be interesting to see some more drama and power struggle along the process. Yet in the end it is the end customers who will win! Only then the so called win-win situation could occur. And there would be a chance for the American Automobile industry to play better significant roles as they did in pre 70s era, despite of its new foreign ownership such as FIAT.

Mind you FIAT had been into its third cycle of business revival-ship, so it is good to know having an experienced partner.

It is Chrysler’s second cycle where its first was under Lee Iacocca leadership, however both Lee and FIAT have Italian DNA. The difference between the two is that the latter is seeking a second US market re-entry.