GM and Chysler Bankruptcies

[kandrathe]

Just a thought from the other side of the coin, since my life depends on it: who says you have to buy a new car every year? Maybe, just MAYBE, people will have to take care of what they already own. That means spending money on maintaining the vehicle(s) they own, putting money back into the very same hard-working people you want to support. People like me, my father, my technicians, and all the employees of the vendors I deal with. That means continuing manufacture of parts. That means increasing giving REAL dollars to REAL people, who work hard every day for their money, rather than expecting it to be handed to them because of their title.

I read somewhere that the average vehicle life had grown from 9.2 years in 2006 (a record high), to 10.8 in 2008 (a new record high).

I'll be the first to say this whole thing is a cock-up of massive proportions, and it scares the living daylights out of me day and night. However, there IS an upshot to all this: a move from consuming to maintenance. The best part? With proper care, maintaining even an aging vehicle can be MUCH more cost-effective than purchasing a new one, and will guarantee far more dollars into the pockets of both the dealerships and many other places. Maintenance is what keeps me alive. It's what gives me my meager salary. It's what sustains the other half of the auto industry, the one NO ONE ever talks about or even considers.

We really have no other choice as I see it. The downside for you would be the unemployed who no longer commute, and the under employed who cannot afford even simple maintenance.

This could very well be the best AND worst thing to happen to the automotive industry since its inception. The Big Three have been sitting on their laurels for far too long, and it's cost them. The Asian import market is skyrocketing, and it will gladly fill up the void left by the departure of the old guard. The European import market has hundreds of vehicles ready to fill our needs, if only they can cross the governmental barriers of safety and emissions concerns (some of them viable, most of them typical political BS).

My question would be "who" enabled them to rest on their laurels?

There will be a short-term shortage, but a large portion of that will be caused by those people unwilling to let go of their domestic brand loyalty. I see far more import vehicles on the road than I do domestic, and far more older import vehicles than domestic.

I still believe you cannot shutter dozens of manufacturing plants without affecting the supply pipeline. No one has the excess capacity to pick up the slack. Japan is poised to step in if they can increase their production. The rest of Asia hardly registers a presence in North America.

Here's a thought: enticing import auto manufacturers into building factories on our soil, like BMW and Volkswagen have in the south? You support domestic industry, even if it's through an import product. What? Too simple? Yeah, you're probably right. Besides, I'm sure BMW, Mercedes-Benz, Volksawagen, Toyota, Honda, Nissan, Hyundai, Volvo, and Saab are on the verge of collapse, too. (Ok, so maybe that last one.;))

Didn't that happen with Toyota, Honda, and Nissan?

The only ones who will suffer will be those who can't suck up their "American Pride" and buy a product based on its actual worth, rather than the badge glued to the front of it.

I don't think its just nationalistic pride. The price of Honda, Toyota, and Nissan were still about 30% higher for the same class of vehicle. On average, the quality was higher as well. Although, at times, the big three would pull it altogether and make a quality vehicle for a decent price (well below the "imports", which were made in the USA too). When consumers are given a choice between, cheap, affordable, and high quality, they invariably go for the middle option. Where the Japanese cars are competitive is where their high quality nears the affordable range.