Most people know the current financial situation has hit the world very strong, almost every sector has felt the wave of destruction that the economic down fall has brought to us. Saying this there are some industries that are being hurt more than others and this can with no comparison be said for the vehicle makers and dealer industry. The market is at its lowest point for decades with the sale of new cars dropping a dramatic amount.
But now Lord Mandelson, the business secretary has come in with a huge bail out present of around 2.3 billion sterling. Although this will have a major good effect on the global situation via people still being in there jobs and the push of manufacturing new transport, I feel it could have a worse effect in the long run.
Do not get me wrong I am all for bailing out successful companies that have misjudged the credit crunch and not financed around it, but I do not feel this is the same for most of the car industry. People are just not investing in vehicles. I say that if the car that a company is supplying is not doing good than that overwhelmly is completely down to the company not seeing the demands of the industry.
Many people these days do not want petrol guzzling cars such as the Mercedes for 2 reasons, firstly because people travel a lot and it will set them back a lot more and secondly is that they send to much pollution to the planet affecting the environment. So this is the true reason as to why these companies are struggling there products are just not upto scratch.
It is all very nice and good for folks to start saving out companies left, right and centre but I see the credit crunch as a good thing. It should ultimately disregard all of the bad bits of over saturated niches and when this is all finished we may see a new strong breed of car manufacturers coming through, that could in fact reinvent the way we drive and perceive cars, the new technology could end up taking us to new levels and making cars a lot more resiliant and comfortable to drive around in.
Buy a Mazda and Buy a Renault
Tips and Articles
Automobile Industry, Car Industry, Car Manufacturers, Cars, Cars New, Credit Crunch, Decades, Financial Situation, Global Situation, Jobs, Many People, mercedes, New Cars, New Technology, Niches, Pollution, Scratch, Sterling, Successful Companies, True Reason, Vans, vehicles, Wave Of Destruction
