A report produced by UK-based automotive industry newsletter publisher AID suggests that the decade ahead will see yet more share erosion for Ford and GM with Toyota taking over from GM as the world’s biggest vehicle maker.
Go deeper with GlobalData
In its latest ‘insider’ newsletter, AID argues that years of chronic mismanagement have done the US big two down. AID says that ‘research and development for new models and technologies was neglected in a shortsighted attempt to cut costs.’
AID adds that ‘self-destructive zero financing deals and cash-back deals to keep production lines running at any cost, including profit, will seal the fate of GM and Ford’.
In a sobering assessment, AID concludes that Ford and GM’s seemingly unstoppable market share erosion in the US and Western Europe will be compounded by balance sheet problems induced by pension and healthcare liabilities.
AID says that the financial difficulties may force Ford and GM to dispose of expensive luxury sector acquisitions like Jaguar, Land Rover, Volvo and Saab.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData
