The news came late last week.  Two of the Chrysler dealerships in my local area of the Midwest were notified that they are among the approximate 800 or so dealerships scheduled for the Chrysler chopping block or roughly one third of the dealerships that will be cut from the Chrysler cord – after the automotive giant filed for bankruptcy and now faces restructuring. 

One of the local dealerships has been in business for 20 years and has achieved much success with the corporate criteria.  The other is fortunate; it also sells Nissan, Kia and Lincoln Mercury, so most of its 70 employees will get to keep their jobs.  Unfortunately, there are also six other Chrysler dealerships located in nearby outlying communities that were also handed their pink slips, and many local area residents are employed within those dealerships, as well.

Meanwhile, Tim Jackson, who is the head of Colorado’s Automobile Dealers Association said that last week’s decision to drop almost 800 dealerships nationwide “makes no sense,” since dealerships are not cost centers to the manufacturers and that industry figures show approximately 90 percent of the profits from auto makers come from the dealerships:

“Dealerships are profit centers to the manufacturers. The elimination of the dealerships doesn’t save Chrysler one thin dime.

Then of course, there’s General Motors, who still hasn’t released details of its potential closure list. 

What do Cars for Girls readers think of Chrysler closing its’ doors on dealerships nationwide?  Have you experienced any closings in your local area and if so, do you believe those closings will affect your local area economy?  Will the closings affect you on a personal level?  How do you feel about the closings in general?  Do you believe Chrysler will emerge as a healthier company?  Do you think that once the company reorganizes debt, there will be more money available to develop new products?

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