GM to Axe 1,100 Dealers

GM Dealership

GM announced today that by the end of 2010, they will be cutting around 1,100 dealers across the US, which is about 18% of their dealer network. These 1100 dealers are what they call the “underperforming and very small sales volume” franchises.

Their previous news of shrinking the GM brand by making cuts like killing Pontiac, for example, plays in with their long-term plan here, which is to make a healthy and smaller volume of vehicles and dealers instead of a high quantity of “iffy” models and sales outlets. In other words, it’s survival of the fittest.

GM will start reaching out to dealers today, and they’re leaving it up to the individual dealership to decide when to make it public that they’re being axed.

About The Author

I founded in May of 2006 to share my love of cars. My favorites include the Lamborghini Diablo 6.0 VT and Koenigsegg CCX, and I think the Ferrari 360 Spider is still one of the sexiest cars in existence. For “normal” cars, I like imports – Nissan, Audi, Subaru… I love my Pearl Yellow (don’t judge) 1990 Nissan 300ZX TT and plan to get it to around 550 HP one day. I’m also an avid world traveler and love rock climbing.

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