Market Hard for Newbie Automakers
For all those that are wanting the newest thing when it comes to the automotive world, they are going to have to settle with choosing from the offerings by the auto makers that are available right now. And why is this? Professionals in the market are pointing out that the new market is making it almost impossible for an unknown brand of automobile to gain footing. They point out the Telsa and Fiskar as being two automakers that just cannot seem to make it count, though they are providing parts for many other automakers. But what is it about 2011 that makes it hard for newbies to enter the market?
The first problem that people are pointing out that thirty years ago, you could sell a brand of car on any lot as long as the owners were interested in purchasing it to sell. Now, dealers are dominant to one brand, such as Ford, Toyota, General Motors and so forth. For those smaller brands, they usually cannot afford to have the privilege of having a lone car lot to deal with their cars.
Another problem that people point out is that these new automakers have no way to start used offerings, which is how most companies make their money. Because they have no vehicles available on lots, they have no chance to make money and save this for the future and invest this into their company. So what does this mean for the consumer world?
It means that we should not be expecting the next big thing to come out on the lot since they are not going to allow it, and it also means that we may not be the first on the block to own a certain new and unknown brand. However, people are pointing out that the Internet is proving to be helpful to automakers that are re-entering the market, and could possibly do so for those that are unknown.
