Well, it’s done! General Motors is in chapter 11 bankruptcy. And that’s a good thing. What do we mean?
Well, many analysts say that there could be a bump in sales. GM dealerships could get buyers back into their showrooms through so-called “fire sales.” And since GM is closing down a large number of dealerships, there is another source for really cheap cars.
Still, consumers have said that they will not buy products from a company that is in bankruptcy. And so that begs the question: Will buyers return to a company that has gone through bankruptcy?
In short, here is an opportunity for the theory to be tested and GM needs to work hard to show that it is only a theory.
via Detroit News