“Look at the numbers for dealership by dealership new car sales and you will probably agree that Chrysler had way too many franchises. A thinning of the herd was necessary.”
That may or may not be true. However, the selection of which dealerships stay open and which close seems to have nothing to do with performance. I have now heard of at least three highly successful dealerships that are losing their franchise, while others that were not performing well keep theirs. This is about the government dictating winners and losers.
By the way, dealerships do not cost Chrysler any money - they MAKE Chrysler money. Even the low volume dealerships make money for Chrysler from parts, marketing materials, etc. Obama is killing off the only profitable part of the system...
What makes you say that? You think Chrysler manages it dealership network at no cost? Do you seriously think it would cost Chrysler the same amount of money to manage one dealership as opposed to ten thousand?
A lot of people seem to think that franchisors just walk to the mailbox and pick up checks from their franchisees. Not so.
May I suggest sending in your resume to Chrysler since you clearly know more than they do.
What evidence do you have that the dealerships being closed were top performers in NEW car sales?
What evidence do you have that the government was involved in the selection of dealerships to close?
Businesses survive or not. The survival is based on REVENUE and PROFIT, with the latter being the primary determinant. Thinning comes as a NATURAL result of inefficiency or incompetence. Success is in the blood that keeps it afloat.
No government action should be able to take what a man has accumulated through fiat. Unfortunately, we have nobody that cares and everybody wringing their hands!
I wish I was a lawyer. I would be in court to force an injunction on this destruction of America. There must be a way!