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Automakers Heading for Repeat of History?

The automotive world has been making great strides in the last few months, helping the economy to improve and basically just playing a smarter game. However, with the automakers that are now offering huge customer incentives in order to get customers to buy that particular brand and model, many people fear that we could be facing the same situation that we found ourselves in 2009. The problem in which automakers are selling cars for half of what they are worth, thus putting themselves into the hole with each purchase that is made. 

So what are people in the automotive industry stating? The CEO of Hyundai is stating that the automotive world is a price war between the models in order to grab the consumers that are shopping for new cars. Last month, GM was the first automaker to start offering incentives for consumers, following close behind GM was Honda, Hyundai, Nissan and Toyota. However, GM's CEO has stated that they do not plan to offer too many incentives since they do not have the production as of yet to back up the incentives should consumers start wanting the cars. 

Nissan is in quite the same situation with the Leaf, as back orders are even on hold for the car. But, what does this mean for the future? Are we going to see a repeat in history? 

Most professionals believe that we will not see a repeat in history. The main reason is that automakers do not have the stock and inventory that they had years ago when they were pushing incentives and basically doing everything except giving the cars away in order to clear the lots. Most of the incentives for the following months are expected to be rather low key, thus reinforcing the idea that the automakers have learned the errors of their ways. The public can only hope as the economy could not afford having to bail automakers out once again.