Chrysler Dealer stops orders

Last spring, Chrysler-Dodge-Jeep dealer Troy Allen of Derry, N.H., came up
with a solution to the soaring inventories and floorplan costs that had been
keeping him awake at night. He stopped buying vehicles altogether from mid-May
to mid-July, the first of a series of Draconian measures Allen took to ensure
the survival of his 34-year-old family-owned dealership. The Chrysler group had
overestimated demand for its new trucks and had built too many. Now it was
pressing Allen to take more from its sales bank of acres of unsold cars. For
years, Allen's dealership sold about 60 new and 25 used vehicles a month. But it
has been a tough ride of late.

This excerpt from automotive news that unfortunately is a subscription only site.

This may be a trend of late as many dealers find themselves in the crossfire of trying to please

district managers while at the same time manage their inventory,In the past as today the solution was simply to offer special deals from the factory and national advertising and hope that the cars would sell, but in the day and age where dealers find themselves with more inventory than they can sell, stopping or delaying new orders until the older stock is sold may become a trend Nationwide for dealers who sometimes feel that they have to take whatever their sent in order to keep the factories running.

J.