Just yesterday GM announced their sales figures for the year, and Toyota took numero uno, for the largest car sales manufacture in the world. Times are tough, and GM's really getting kicked around. But its not just GM. All car manufacturers are getting hit.
Funny thing is, I've noticed this pattern from manufacture-backed racing. Most manufacture- backed racing teams are pulling out of racing this season. This may seem like common sense, but it gives you a very good idea of where some auto companies sit financially. For instance, Formula 1. Honda dropped out of F1, because it requires the most tremendous budget than any forms of racing. It's not that Honda is broke. It's just not in their priorities right now to invest their money in it. Suzuki, Subaru, and many other teams have dropped, as well, because they just don't have the cash.
Here's the good part. At least we know Mercedes, Ferrari, and Toyota are doing well. They just unveiled their 2009 Formula 1 cars this past week. It's good to know some companies aren't being hit as badly in this economic slump.
Are Mercedes, Ferrari, and Toyota American based companies? If not, perhaps that a potential reason that they haven't suffered quite as much from the economic slump. But surely their primary customer base is here, so wouldn't they have the same issues? So perhaps instead it is that two of the three, Mercedes and Ferrari, are luxury and racing brands with more expensive products, that cater to a smaller, higher SES customer base that hasn't been as affected yet by the economy. It would be interesting to know.
ReplyDeleteNo they are not, but they all share a major stake in the U.S. market.
ReplyDeleteYou are correct, though, in pointing out that Mercedes and Ferrari cater to smaller niches in the market that have proven to be more stable.
Toyota, on the other hand, is a global market brand that caters to a broad audience of customers. Reports on Autoblog, three days after I posted my blog, stated that Toyota may consider dropping F1, as well if they don't start winning this season.