Over the last decade or so, the Internet has had a transformational effect on the media, airline and hospitality industries and now automakers are feeling its impact as well.
Although sales have slid in recent years, the Mercury brand still accounts for about half of all the dealer’s annual sales. With the brand gone, they will have no option but to try and up sell their customers on more expensive Lincoln models.
German automaker, Volkswagen AG, will increase the size and reduce the price of its Jetta compact car.
The estimated, future residual values of Ford Motor Company and General Motors Company vehicles have created an opportunity for the Detroit automakers to be more competitive with their leasing options.
A federal judge in Santa Ana, California has give Toyota Motor Corporation 30 days to surrender the majority of the documents being requested by attorneys representing plaintiffs in a class-action suit.
Manufacturing operations for two of the largest domestic automakers are getting revitalized and reworked to handle production of new models. Old facilities badly in need of modernization will be getting facelifts, chiefly to become ready for production of greener, cleaner vehicles more in line with new U.S. fuel efficiency standards.
Mercury’s shutdown means that Ford Motor Company will be putting more effort into developing and marketing the Lincoln luxury line, but it also could mean that dealer consolidation will happen faster than expected. Some Mercury dealerships will lose their franchises in the process.