Many dealers, few new franchises; Potential grows for new automakers to enter U.S.(NEWS)(Chrysler L.L.C., General Motors Corp. and Mazda Motor Corp.'s franchising)

Automotive News, June, 2009 by Snyder, Jesse

Byline: Jesse Snyder

Last week's headlines had a tempting symmetry.

As General Motors and Chrysler were working to eliminate thousands of dealerships, three auto companies were poised to enter or expand in the United States: India's Tata Motors, a Chinese company and a new branch of Roger Penske's automotive group looking at stocking Saturn dealerships with Korean autos.

So is another grand shift under way in which Asian automakers gain a foothold in the United States by embracing American dealers?

Yes and no. Plenty of cast-off dealerships are desperate for new franchises. That gives new automakers a wide selection of experienced U.S. retailers, setting the stage for another Asian influx. But for now, few new franchises are...

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