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May 14th, 2009
05:15 PM ET

Chrysler to eliminate 789 dealerships

Chrysler announced on Thursday the closure of nearly 800 dealerships. The dealers have until June 9 to close their Chrysler franchises. Tony Harris spoke to a Chrysler dealership owner about the closing of his dealership.

soundoff (12 Responses)
  1. michael armstrong sr.

    this company made crappy cars any ways the only good cars tey made were the dodge charger -the plymouth duster -the crysler newport -the rest of there cars from the 1980 "s on were pieces of crap.

    May 15, 2009 at 9:25 am |
  2. Rich Lessing

    Our local newspaper, The Columbian, complains that closing the dealerships will not save the car companies any money. However, this is far from the truth. Reducing the outlets reduces the inventory and production requirements. This will allow the companies to reduce their work force on production lines that will produce only the cars needed to meet a smaller demand. In addition, this action will increase their resources enabling the development of automobiles that meet the new environmental and sustainable requirements.
    These dealerships, unfortunately, are the result of growth that was not sustainable. Another negative; the dealerships that close will be those in small and medium cities, small operations run by families and supporting their local communities. This will be felt.

    May 15, 2009 at 10:55 am |
  3. JOE

    Look at what a CEO of Toyota or Honda makes and compare it to a CEO of one of the big three. The problerm is and always has been, corporate greed.

    May 15, 2009 at 11:17 am |
  4. Rusty

    Is anybody really surprised by this? It's been coming since the '70's. In spite of market trends, US automakers continued to produce crap at a high price and expected us to buy it anyway out of some kind of "patriotic" loyalty. I don't need a car with 6 DVD players and cameras that replace a rear view mirror... give me a decent, fuel efficient car at a reasonable price and I'll buy it, regardless of the brand name.

    May 15, 2009 at 11:48 am |
  5. Aaron

    Hey Tony, I'm watching CNN right now and you're talking about Chrysler and GM and mentioning about the future of the industry with Electric Cars. The thing is, is that GM has already been down that path... many people don't remember, or even knew, about GM's full electric car that came out in the 90's called the EV1 through it's saturn line. They built them, never allowed people to buy them but only lease them, and then they came and took them all away and scrapped them. Oh and by the way, it was with the Bush administration's help that these cars were taken off the road. Check out a video called "Who Killed the Electric Car" Can we really trust GM to offer these cars again? or have they lost that privilege based on what happend last time.


    May 15, 2009 at 12:34 pm |
  6. Rich Lessing

    It is interesting to me that American cars are being called "crap". Nobody complained (except for those cars that did not meet buyer expectations)about Corvettes, T-birds, Trans Am's, and all the other great cars that have been produced in Detroit. In fact, we have been buying these cars and treating them like family members since the first Model T rolled off the assembly line.
    It is easy to blame the Big 3 for their troubles, and there certainly is enough blame to go around, but they built cars that we bought, not what they thought we should have. The consumer drove the direction of car development, that and technology.
    So, this is not 'payback', this is the result of a changing environment; the physical environment, supported by the new societal environment, are now the primary drivers of development. Predictable? Maybe. But it is enough to create hardship for these manufacturers and they need to make the adjustment. We, the consumer, need to understand our place, not only in the future actions of the Big 3, but also in their past actions.

    May 15, 2009 at 12:37 pm |
  7. Randy from Va.

    I'm a laid off employee from Volvo Trucks. I have been there for 10 years, been laid off 4 times, But in my area in Southwest Va. it's the best paying company around. I drove to work 30 miles each way, 60 miles a day just to have a good job. It seems to me everybody has forgotten what really started this recession were in right now. It's common since!!! It's the trickle down effect if that is what you want to call it. When Gas went up so high, people had to make choices about getting to work everyday, or paying bills they couldn't afford anymore because gas went up so high. The state of the economy right now can be blamed on the oil speculators and oil company's. Why aren't any of these people being charged and prosecuted in the courts? Why hasn't anybody looked into this? People have to work, no matter what it cost to get there. Allot of them had to let some bills get unpaid just to afford the gas to go to work. Please read this on the air to just remind everybody what really started this recession. Oil companies making billions in profit while the rest of the country is going down hill, that should prove something. Right now Gas is over $2.00 a gallon. It shouldn't be that high. diesel is higher, it has always been lower then gas. What's the deal with that? Please let your viewers read this message, it needs to be heard.

    Randy from Va.

    May 15, 2009 at 1:05 pm |
  8. Frank

    Corporate greed still has a strangle hold over GM and Chrysler. If the salvation of the big two is to close dealer ships across America starting with what I see are the small home town on the corner dealers.
    Big mistake do they honestly think that the general public will want to buy at a large you are just a number dealership anymore. No thank you! They need to rethink where they came from when profits were good and that home town touch meant something. That’s what America wants we will not spend our money anymore on corporate greed. Can’t they see the righting on the wall look at our spending habits we woke up from our greed induced coma of the past 20 plus years.
    Good Bye, GM and Chrysler I will now park my 06” Dodge Magnum RT under cover for the next 50 or so years. And like other auto makers of bygone years I will profit from the death of one of the biggest or should I say my kids will.

    Frank From: MN

    May 15, 2009 at 2:46 pm |
  9. Frank

    Come on people has anyone gone shopping for a new car in the past five our so years. Get off your easy chair and go look. You will see a level of engineering UN seen in American car manufacturing. Better yes I said Better then most over seas manufactures GO LOOK AND TEST DRIVE. This is not the problem of making bad cars it the corporate environment in which they operate. Go back to small town ideals make us be leave in you again.

    Frank From: MN

    May 15, 2009 at 3:09 pm |
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