Dec
30
Chrysler Car Warranty Bankruptcy
Filed Under Car Warranties
Why GM and Chrysler want to have fewer dealers to sell their products?
GM and Chrysler are bankrupt because they can not sell enough cars to make a profit. GM and Chrysler did not sell us their cars. The independent distributor sells its products. These customers are manufacturers distributors ONLY car without them, they can not sell cars. How does excluding them solve the problem of cars. The dealership is the only source of revenue for automakers not a liability. Add in the lost parts sales and warranty service dealer supplies dealers and closing as much sense as closing stores to help improve the bottom line Kraft Foods.
The market is saturated with dealers. Yes, dealers sell the product that GM does, but there is too much competition among GM dealers. GM needs to keep the dealers with the greatest satisfaction customers and the service's highest service ranking. Brokers who do not meet standards of training of GM, or have unsatisfactory levels of customer satisfaction, are not in the best interest of the company. In addition, they are not driven out of business. GM is giving them 18 months notice, which gives them 18 months to prepare to sell something else. Most dealers are private franchises and dealers are not out Company. They will just need to prepare to sell something else.