American Automobile Industry: Can it survive? Message Board

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Technology Stocks : American Automobile Industry: Can it survive?

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To: Glenn Petersen who wrote (346)	12/28/2010 11:21:59 AM
From: robert b furman	Read Replies (1) of 431

Hi Glenn, The amazing miracle on those improved market share stats is it happened with fewer nameplates and a greatly reduced number of models. Less is more! Fewer nameplates and models equal less capital investment in tooling and design while the remaining models benefit from higher volume to depreciate the tooling over. Keep in mind that the number of money losing rental repurchases also increased the average gross profit on each unit sold. IMHO all the result of busting the incredibly destructive jobs bank - which forced the production of undesired modelsd. The business model has has a structural long term improvement made to it. Bob

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