Chrysler on firing spree

Subscribe to our RSS feed or get updates by Email for all the latest spy photos, videos, news and reviews!

With all the problems Chrysler is having, it has no option but to start firing its dealers. It will reduce the numbers from between 800 and 3,200 dealers A lawyer, seeking to represent the dealers, said that Chrysler was planning to reject 800 franchisee agreements.

However, Chrysler was quick to deny the number, saying it was ‘speculation’. Even though Chrysler has already lost 400 of its dealers last year, it still has too many showrooms too close together and they were eating into one another’s business. It will do better if it restructures and closes some down.

The dealers together could make an attempt to fight back because they have invested a lot in their dealerships. Chrysler is going to go through its list of dealers very carefully and may keep those who have met their sales targets and have a lot of capital, among other criteria.