To Buy Or Not To Buy A Domestic Car

Automaker companies have been in the center of attention for the least two years. It is true that we are heading in a new era for auto industry. Some argue that domestic models are more reliable nowadays, while others fear it.

Is it safe enough to purchase from GM or Chrysler in a time when their longevity is highly questioned? Should you buy from them, who will guarantee that the local dealerships will be around to assist with any after sale repairs?

We all have noticed the unexpected buying discounts these companies offer, but are they worth the risk? How is this going to affect their value for resale in the future?

According to some polls recently conducted in Detroit customers confidence has declined significantly. The number of GM and Chrysler buyers have dropped by 15-30%. The same situation is present in Canada. Compared to year 2008, nearly 26% less Chrysler vehicles were sold by 2009.

Fewer dealers are expected to survive

Some experts assert that the number of GM and Chrysler dealerships is higher than  the number of cars they sell. Hence, there are plans to reduce dealers across North America.

The latest news is that, under performing models such as, Saturn and Saab could be sold off or shut down. Consequently, there will be GM dealers left to deal with repairs and services on the abandoned  models’ vehicle, only.

How is this going to affect new car warranty?

The truth is that new car warranties won’t be affected. The companies are very committed to satisfy their customers by supporting their warranties. But, according to some well- known individuals in this industry, this won’t help much to encourage sales. In addition to that, people still are unclear where to get their cars repaired and how to provide new parts for their vehicles.

Thus, are reduced car prices credible enough for buyers?

Statistically, 8 out of 10 Canadians rely on financing when deciding to buy a new car. Because of the hardship, the GM and Chrysler representatives offer considerable rebates for those willing to pay in cash on new vehicles such as Saab or Dodge Ram pick up truck. As tempting as it might seem, the trouble comes afterward.

The amount of money discounted at the purchase time is automatically removed from the car’s value when you decide to sell it. What’s more  the value will apparently decrease because of the fear over parts.

In conclusion, in these uncertain times, buyers have grown more and more sceptical of GM and Chrysler brands.

Comments (4)


  1. Niceyou says:

    Where can I buy a “Hammer” from GM?

    Update your article, GM and Ford sales are up sharply this year, while Toyota and Honda’s have fallen.

  2. VA says:

    for me Im not buying gm made always had a promblem with tranny especialy the Pontiac SV6/montana

  3. Jen1980 says:

    That’s why the Pontiac is out of the business

  4. Hamilton says:

    I tried to post a comment earlier, although it hasn’t shown up. I imagine your spam filter might be broken?

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