Arbitration Results - General Motors 39, Dealers 23

[XDCX]

Originally Posted by dgale

It seems as though anyone who asked for reinstatement in our area has been reinstated. Somebody from GM figured it would be cheaper to reinstate dealers rather than fight it out in court.

That's the impression I have too and I can't fault GM's logic that it's cheaper to reinstate dealers than it is to fight with them and it's a lot better from a P.R. standpoint.

That said, I know GM is still going through the arbitration process with some dealers so they've clearly decided to fight some battles.

Originally Posted by dgale

A year from now let's seem how many dealers are still around. Most likely GM will still lose another 4-500 dealers due to the inability of dealers to make real money. Something GM is probably planning on . Right now our lots are bear and we are fighting to get cars and competiting with reinstated dealers for more cars. I'm glad everyone is getting a second chance and hopefully we all can survive. Time will tell.

I share your vision here too. The car business will likely be challenging for at least the next year and I'm sure there will be more dealer closures - no doubt some of them will be the reinstated GM dealers.

Concerning inventory, I've heard that's a real issue for most GM dealers now. The good news is GM is building some product that customers actually want to buy but the bad news is the dealers can't get them.