Even though the two companies are not in bankruptcy, nor have they filed for bankruptcy, it sounds like the mere thought of it is enough to scare buyers away. A CNW Research survey gathered responses from over 40,000 consumers who said that they intend on buying a new vehicle. The research shows that the number of people whose primary choice would have been one of GM’s brands dropped by 12% and by nearly 33% for those whose choice would have been a Chrysler vehicle.
Ford, who has not requested any government support, has seen an increase of 12% of consumers who would consider a Ford vehicle as their first choice. Honda saw a 13% increase, and Hyundai and Kia saw the largest increases of 59% and 50%, respectively.
Granted, part of the reason GM and Chrysler are not doing as well is probably because of their greatly reduced advertising budgets. More likely than not though, the entire bankruptcy situation is having a much larger affect on the two Detroit automakers than some people choose to realize.
Read the full article at Reuters.
