No one wants the US Auto Makers to fail, but since they are failing and Chrysler and General Motors are bankrupt, we are thought to be looking at an upside? For instance, with GM and Chrysler badly damaged, what stock opportunity might we find? Is there a play for Toyota, Ford, Honda, Tata Motors, or the new Chinese Import Company worthy of looking at? After all, as these two US Automakers take a bath surely their market share will go to the next strongest of the auto makers, which appears to be Toyota, and Honda.
One think tank is looking at all the small town Chrysler and GM dealers closing, those with low volumes, showrooms and good locations and frontage. Another car dealership could move in and start selling cars tomorrow, heck it could even be the former dealership that lost his franchise. But what would they sell? Would a former American Car Dealership start start selling a foreign import after all these years telling its customers to buy American?
Maybe not in all cases, but in many cases that will happen. You see, if the American Auto Dealers were not faithful to them all these years, why should they be faithful now. Also, the imports from India and China are looking for a foothold and will all these locations coming available right now, as it looks like they have a lot of opportunity opening up for establishing a large number of new auto dealers in their dealer networks, which has always been the name of the game in selling cars.
So maybe you should consider this when choosing a stock to buy while we come out of this little recessionary economic dip. Please consider this.