Major Brands at Gun Point

The decline of car sales around the world is probably going to be the final nail in the coffin for some of the major automotive brands. After the economic recession it is predicted that will be a number of six survivors that will emerge from the ruins of the automotive industry.

It seems like the fight for survival will be won by industries that are capable to build and sell over 5.5 million units in one year. After 2 years, the current automotive industry scene is not likely to look very good. With almost all of the industry's aces in financial breakdown the grass seems to be greener only on Toyota, GM, Volkswagen, Ford and Renault-Nissan's side, them being the only capable manufacturers of reaching the mind blowing number in car sales.

Fiat group boss Sergio Marchionne told Automotive News: “We’re going to end up with one American house, one German of size, one French-Japanese, one in Japan, one in China and one potential European player.” “Independence in this business is no longer sustainable”.

The economic recession is most probably to affect the smaller companies as bigger ones have the ability to achieve substantial cost savings.

According to an analysis made by AM, brands like BMW and Peugeot-Citroen could be put up for sale by the Quandt and Peugeot families.

With all major car brands in the world being at gun point, it would now seem that the choice pattern for survival is narrowing with every day that passes.