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Marketing push by Japanese automakers including higher incentives and higher inventory levels at U.S. automakers 2012-2014
01/12/2010
Japanese automakers have sharply increased incentives to increase sales after the tsunami. This hits U.S. automakers in a double whammy. Ford, GM and Chrysler benefitted from the impact of reduced supply at dealers of Japanese automakers, now they have to deal with a reversal of that situation as well as higher incentives by the Japanese. About 38% of Toyota sales are at zero percent financing in 2012. U.S. automakers are reluctant to go too far down the incentives road as it has hurt them in the past. The result is higher dealer inventories for U.S. automakers in Dec. 2012, another problem that hurt automakers in the past.
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