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Tuesday, November 27, 2012

Suzuki Pulls Plug on U.S. Auto Sales: Chapter 11 Bankruptcy Ensures Dealers and Suppliers Feel Pain - Automotive Digital Marketing Professional Community

Suzuki Pulls Plug on U.S. Auto Sales: Chapter 11 Bankruptcy Ensures Dealers and Suppliers Feel Pain - Automotive Digital Marketing Professional Community

Suzuki says it plans to sell its remaining inventory through its dealers.


Scott Pitman, whose Suzuki of Wichita (Kan.) store is Suzuki's largest U.S. dealership, said he was "in a state of shock" after learning this evening that the brand planned to exit the United States.

Mr. Pitman went on to say;
"I don't have my mind around the whole thing. I've only talked to dealers I haven't talked to the executive team yet, so I don't know all the details, We love the brand, and we've been big faithful supporters, and we're sad right now."
Pitman has been a Suzuki dealer since 2007, and reported selling 940 new Suzukis through the end of October, which is already more than his total new vehicle sales for all of 2011.

In addition to myself, many other Auto Industry Analysts and observers will universally point out that the company had trouble competing in the U.S. 
Jessica Caldwell, an analyst with auto information company Edmunds.com said about Suzuki's withdrawal from the U.S. auto market and the bankruptcy filing:
“I don't think it's a big surprise given their lackluster sales performance of recent years.  They have have low margin, low-priced cars with small volume. That's far from the ideal combination... Over the long term it's hard to sustain a brand on such little volume when you don't have a healthy margin like exotic or specialty brands,”