The Used Car Industry
In the past 30 years, the United States auto industry has gone through many
changes. In order to stay competitive with a foreign market, constantly
threatening to eat away at profits, the American auto industry has had to
respond by being flexible and adapt itself to this new situation. Although, in
the past, they were slow to get the message sent out by the consumers, the
domestic auto industry now seems to be more than willing to analyze, and answer,
the demands of a smarter, savior consumer. The growth of the used car field has
been a result of these demands.
Rising, higher prices for new cars have caused the typical American consumer to
examine alternate solutions for their ...
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money spent on it for
repairs, they may possibly find themselves out of luck. Another downside may
come as more people continue to saturate the market, looking for used cars to
buy, the resources available will become scarce. An increase in used car prices
may gradually start to rise. As the figures indicate, for now consumers seem to
be content with taking this risk. Sales for used cars and trucks last year
totaled at 15.1 million(going on your article's figures).
The auto industry has been busy changing and evolving to answer consumer demands.
One of these signs has been the growth of large auction houses that are
appearing all over the country. Big investors are attracted by the potential
profits, which are an average of 1.5% of the wholesale price. The auctioneers
make their money by auctioning off used cars and trucks mainly to dealers only,
and are supplied with vehicles that come from trade-ins, repossessions, leased
vehicles, and smaller used car lots. With this ...
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every dollar spent
on their used cars, they have less money to spend on the new car section.
The cycle of change in the auto industry is an ever evolving one. New car
manufacturers will need to take a long, hard look at the industry and may be
forced to make some changes to attract business back their way. They may be
forced to lower prices, cut back production on new vehicles, or lay off workers
if people continue to look for cheaper vehicles to purchase. Economists will be
sure to keep an eye on the industry to see in which way the market will be
moving next.
In the past 30 years, the United States auto industry has gone through many
changes. In order to stay competitive with a ...
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The Used Car Industry. (2007, January 20). Retrieved November 22, 2024, from http://www.essayworld.com/essays/The-Used-Car-Industry/59031
"The Used Car Industry." Essayworld.com. Essayworld.com, 20 Jan. 2007. Web. 22 Nov. 2024. <http://www.essayworld.com/essays/The-Used-Car-Industry/59031>
"The Used Car Industry." Essayworld.com. January 20, 2007. Accessed November 22, 2024. http://www.essayworld.com/essays/The-Used-Car-Industry/59031.
"The Used Car Industry." Essayworld.com. January 20, 2007. Accessed November 22, 2024. http://www.essayworld.com/essays/The-Used-Car-Industry/59031.
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