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Is Detroit doomed or can the American car industry stage a comeback?

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Doomed
40% 153 votes Total: 378 votes
Comeback
60% 225 votes

Detroit is capable of making a comeback. It has already begun this process by the production of several new models that have drawn rave reviews in automobile magazines as "Motor Trend" and "Automobile". General Motors 2008 model of the Chevrolet Malibu has been compared favorably with the Toyota Camry and the Honda Accord. Their 2008 Cadillac CTS has also drawn a great deal of praise for its quality, ride, and performance. Ford has always produced a highly rated line of trucks, while Chrysler's 300 sedan has maintained strong sales since its introduction in 2005.

The problem has always been the inability of the Detroit automobile industry to meet the demands of the public. Since the fuel crises of the 1970's, they have largely produced

vehicles that were uninspiring in both appearance and performance, while having a reputation of questionable quality. Manufacturers from Asia and Europe grew in demand because their

cars were superior in both quality and performance.

Detroit complained that they couldn't compete with foreign brands because they were burdened

by the high cost of labor. Over the past thirty years, they have reduced their labor force by more than seventy percent. The city of Detroit has gone through a steady decline, as a result. They have further reduced labor costs by offering cash buyouts to employees, then replaced them with lower paid employees. Interestingly, while Toyota and Honda are building more factories in the United States, Detroit automakers have increased their reliance on factories in Canada and Mexico in the production of their automobiles.

Detroit needs to develop more lower cost, fuel-efficient vehicles. At the present time, they are not competitive with offerings from Asia or Europe. Rising fuel costs are beginning to negatively impact the sales of their profitable SUVs. Chrysler, Ford, and GM must focus their

efforts toward the design and production of models that will steer American consumers away from Toyota Corollas, Honda Civics, BMW Minis, and other similar models. The saying "Buy American" can become popular, again.

Learn more about this author, Leslie Schwab.
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Below are the top articles rated and ranked by Helium members on:

Is Detroit doomed or can the American car industry stage a comeback?

Comeback
  • 1 of 28

    by Leslie Schwab

    Detroit is capable of making a comeback. It has already begun this process by the production of several new models that have

    read more

  • 2 of 28

    by Julie Hatfield

    I am a born and bred Detroiter, having lived in that town for all of my childhood until I finished college. As all Detroiters

    read more

Doomed

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