Originally Posted By: AcuraTech
The next decade will be:
Nobody will be able to call it at all. Think of it this way. Take yourself mentally back to the year 2000 and where the car market was at. Then see if you could have predicted where it would be at now. No way.
If this was still the year 2000, no way we would have predicted that:
-Chrysler would be on the edge of survival. In 2000 Chrysler was still looking OK, lots of minivan sales, Ram as a solid nice looking truck, etc. Now even though they have some cool looking retro cars, the quality is hit and miss and they're seen as an oddball brand. Plymouth is long gone and Dodge is left in name only.
Chrysler has been on the edge of survival twice before in the last 30 years. That it would be there again in the future is not a hard call. The particulars would be difficult but not the bottom line.
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-GM would be bankrupt and Pontiac, Saab, Hummer, Saturn, and Oldsmobile would be history.
Several books have been written about General Motors and Ford possibly going into bankruptcy due to legacy health care cost among other reasons. GM had all its traditional brands when it had almost 60% market share. That some had to go when in 2000 they had half that and sinking could have been predictable. Saturn never made any money,killing it was a no brainer. Hummer was always tide to gas prices and killing it could have been predictable.
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-Toyota would become number 1 along with Japanese brands like Honda gaining increasing market share. The strange thing is that these cars became popular by riding on a well deserved reputation of rock solid reliability in their late 80's/early 90's cars. But by the time that most people finally drank the kool-aid of the inherent reliability, the quality was already slipping. The oversized bloated sedans that Toyota/Honda/Nissan builds in the US these days are NOT the same as the (300k+ miles no problem) built in Japan lean and mean models from 20 years ago.
Toyota becoming #1 was part of my senior thesis in college. That the Yen was grossly undervalued vs the Dollar while the US has massive trade deficits could not be maintained forever. Any BA in Economics can tell you that. The Japanese would either have to concede market share,build in the USA or build in the Third World and import here could have also been seen. That producing outside Japan with longtime labor peace would result in lower quality could have been predicted. That auto companies will simply not surrender market share could also have been predicted. This recent recall and Toyota's image being shattered so quickly obviously could not have been predicted.
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-Trucks/SUV's would become so popular (early/mid 2000's) and then crash so hard
The particulars would be difficult to predict. But big cars when gas is cheap and small cars when gas is expensive is not. That CAFE would give a bigger and bigger breaks to Trucks and SUVS could not have been predicted. Government regulations can be very tough to predict.
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-The Koreans would finally come up with a respectable nameplate (Hyundai) that rivals the Japanese in quality
Japanese cars were Junk.Think 1969 Corolla then became better. That Koreans could do the same could also have been predictable. That they did it so quickly could not. At least I was shocked by some recent JD Powers numbers.