As of late, we've become aware of our investment with the automotive companies of America. While the bailout is going to assist in saving jobs and granting many people their security as workers, it is us as taxpayers left with the companies - namely General Motors and Chrysler, with Ford not needing bailout assistance at the moment. In this respect, we thought learning more about the car industry would be helpful as we all try to manage our investment.
The first thing to note is that Detroit is not a lost cause. At least that's what Business Weekly tells us. According to the publication, Detroit is still in charge of about 45% of the automotive sales in the United States. That means that people are certainly still "buying Detroit" over
Toyota hybrids and it means that there is a reason to have faith in the industry....maybe.
More than 8 billion cars are being bought by Americans out of the Detroit Three, which should be enough to restore faith in the region, right? Wrong. If Detroit is doing so well and selling so many cars, why is the bailout necessary? Naturally, Business Weekly doesn't answer that question and, instead, leaves us wondering if our investment is really all that great to begin with. We'll try to break it down further in our next installment.