There's a great post on the lean manufacturing blog Evolving Excellence about the auto industry and what it might really take to fix it. Bottom line -- Evolving Excellence says more dealer cuts needed so General Motors Corporation (NYS: GM) and Ford Motor Company (NYS: F) will have to take more inventory write downs and buyout more dealers. Even with these reduced dealer levels, the U.S. automakers still only sell roughly one-half as many cars per dealer as their Japanese counterparts.Here's a rough breakdown compiled by Evolving Excellence. It's gonna get ugly.
More about the implications of these numbers can be found at Evolving Excellence.
Alex Salkever is Director of Research at Piqqem.com, a stock prediction community powered by the Wisdom of Crowds.
| 2008 UNIT SALES | DEALERS | UNITS PER DEALER | |
| HONDA | 1,425,000 | 1000 | 1,425 |
| TOYOTA | 2,250,000 | 1800 | 1,250 |
| FORD | 2,025,000 | 3800 | 533 |
| GM | 2,950,000 | 6300 | 468 |
| CHRYSLER | 1,475,000 | 3200 | 461 |
To about this:
| 2008 UNIT SALES | DEALERS | UNITS PER DEALER | |
| HONDA | 1,425,000 | 1,000 | 1,425 |
| TOYOTA | 2,250,000 | 1,800 | 1,250 |
| GM | 2,950,000 | 3,700 | 797 |
| CHRYSLER | 1,475,000 | 2,400 | 615 |
| FORD | 2,025,000 | 3,800 | 533 |
More about the implications of these numbers can be found at Evolving Excellence.
Alex Salkever is Director of Research at Piqqem.com, a stock prediction community powered by the Wisdom of Crowds.
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Reader Comments (Page 1 of 1)
5-17-2009 @ 10:43AM
babyraymond8 said...
You cant cut or shrink yourself to profitability!! you have to use your expertise and talents to create exciting vehicles that the public wants to buy. Period!!
5-19-2009 @ 9:23AM
garycarlanel said...
looks like GM is the top seller in units sold, I don't get it, I don't think American car companies need to be compared to Japan car companies, thats all you hear, I for one am sick of it. GM is number 1 in unit sold, and I helped in 2009. I bought a LTZ Malibu and love it 33 mpg, Look at the styling of Malibu and look at the competions new cars they copied the Malibu.