Car Salesmen Bailed Out
Where Do You Live?
We all know the credit crunch has hit the world very hard, almost every industry has felt the wave of destruction that the financial down fall has brought to us. This being said there are a lot more specific niches which are being hurt a lot more and one of them is the ailing car industry. The market is at its lowest point for decades with the sale of new cars dropping a dramatic amount.
Do now Lord Mandelson, the business secretary has gone in with a massive rescue out package of around 2.3 billion pounds. Although this will have a huge positive motion on the global situation via people still being in work and the progress of manufacturing new vehicles, I feel it could have a bad effect in the long run.
Don't get me wrong I am all for rescuing out great companies that have mis judged the credit crunch and not budgeted around it, but I do not feel this is the same for most of the car sector. Folks are not buying vehicles, its not as people have there cash stored in an industry like the banking sector, which permanentley gets a rescue package. I say that if the item that a company is offering is not doing well than that surely is definatley down to the company not meeting the demands of the industry.
Most people these days do not want petrol guzzling machines such as the Jaguars for two reasons, firstly because people travel a lot and it will cost them a lot more and secondly is that they emit to much pollution to the planet hurting the environment. Therefore this is the reason that these companies are not being able to cope, not because there finances are out of wack it's simply because there item is not selling and probably will not go even after the bailout.
Althoughit is nice for people to bail out all these companies, in some ways I see the credit crunch as a positive ore. It will most probably forget all of the bad sections of over saturated markets and when this is all complete we may see a new positive breed of car manufacturers coming through, that could in fact reinvent the way we drive and look at vehicles, the new technology could end up taking us to new levels and making cars a lot safer and comfortable to take the wheel in.
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