Thursday, September 2nd, 2010
The latest reports by the Bureau of Labor Statistics suggest that there are nearly 15 million people currently unemployed. In addition, there are many others who have experienced a reduction in their income. Add to that the amount of money that people have lost in the housing market, stock markets and other various investments, and it is easy to see why car sales would be dropping.
The downturn in the economy is having an impact on vehicle sales around the country. General Motors reported just under a 25 percent drop in vehicle sales for August. Toyota was hit the hardest, because of the massive recalls they endured. Yet, across the board, the automakers are reporting sales declines, to the tune of almost a 25 percent collective decline for the month of August. When you compare sales from August 2010 to that of one year ago, they have dropped nearly 18 percent.
With the economy in the slumps and consumer income not keeping up, many people are skipping vehicle purchases altogether right now, or holding back to see what will happen next. Those who are shopping for a new vehicle are looking for some hefty incentives, rebates and deals that make them feel like it’s the best time to make the purchase. Auto industry professionals had projected earlier that they would reach 11.5 to 12 million annual sales. Now they may be re-thinking that estimate, at this point; because, with months like August, they are having difficulty reaching those sales numbers.
Those that do opt to buy will be seeking out bargains and deep discounts. Likewise, once making the purchases, they will also be looking for bargains in such places as auto insurance rates. Those who opt for making new vehicle purchases now many want to look into protecting their investment with gap insurance coverage, which is a policy that will pay for the difference of what is owed on a vehicle and what it is valued at.
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Saturday, June 13th, 2009
No surprise that all the vertical industries already make a big hit for some economic downturn in the U.S.. Almost no industry is safe during this period of decline, especially in the Automotive industry. Auto industry has felt the majority of the layoffs and reduced earnings unlimited benefits. You must ask itself how it will be difficult now that the means of communication, such as the Internet, does not spread throughout the auto industry is negative news in the country. What media do nothing but pour gasoline on the fire? Something that is bad if the power of the internet is not as strong?
Engine that drives our Automotive industry has been quite exhausted. Is whether the person has been taken as a bone tossed to and mechanical gears that we know that the auto industry. Internet and various other media outlets must take responsibility for what happens to the economy today. Most of the freezing occurs is purely fueled by consumer fears and confusion. Fear is laid so thick through the blogs and media websites of those who do not spend. This will create a large ripple effect throughout the entire global economy. Years ago, when you see the various countries we recessions, means of communication is nonexistent. Now with search engines, blogs, social networks and RSS, the individual’s ability to receive information almost instantly.
Maximum likelihood pull the country out of this hole is to restore consumer confidence, especially in the auto industry. When Increasing consumer confidence, will be felt locally, nationally and globally. To automatically return the industry to a season of growth, they need to see consumer spending turns around. The price point is new or used car, it is likely not a problem. Vehicle may be half price and people will still buy because they have lost confidence in purchases. Fear set in, and employees around the world realize that they can remain standing in front of the unemployment line. Reminds us all of this every time we go online and make even the most basic search.
Media coverage has been doing a good job of letting people know quickly that all the negative that is causing fear in all of us now. Internet news has been allowed to travel faster than before. Unfortunately for those who want to perfect all the negative press, the Internet has given each of us the ability to receive information on the level no
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