http://www.autoblog.com/2008/02/10/gm-to-speed-up-dealer-consolidation/ Autoblog Comments for GM to accelerate dealer consolidation http://www.autoblog.com/media/feedlogo.gif http://www.autoblog.com en-us Copyright 2008 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/http://www.autoblog.com/2008/02/10/gm-to-speed-up-dealer-consolidation/http://www.autoblog.com/2008/02/10/gm-to-speed-up-dealer-consolidation/
perhaps some who feel this way should look back to Japan. Toyota sells vehicles thru EIGHT different franchises there.

it will be interesting to see how Mr. LeNeve will propose doing this. GM only has two choices, either by buying out the dealer's franchise directly, or suggest (and ONLY suggest) a possible consolidation with another dealer.

Chrysler had done a similar thing in Califorina back in the early 90s. I owned a Dodge dealer, and they felt the area was "overdealered" by three dealers. they made me a very handsome offer, and we closed the point. however, today the offers aren't all that handsome, and a dealer is under no obligation to do anything the factory wants him to. thankfully, very strong franchise laws in every state protect the dealer, and any other business that is threatened by a manufacturer or distributor with strong-arm tactics.

I've said this several times; take away choices, and competition becomes collusion...never beneficial for a buyer.

AZMike]]>Feb 10th 2008 1:48PM