Are we still in a ranty mood? We might as well keep on going, and what do household numbers have to do with the auto business.
Back in 2008 we mentioned that we were entering a new reality for the auto industry, the auto business, as well as an economic new reality. As usual when a thought is a little too far ahead....yes we all know!
if you are getting the feeling that main stream media is on a mission to pound CMS (Citizen Main Street) to the ground you might be on the correct thought vector.
Our prescient comments from almost 2 years ago on the Canadian Economy and Consumer.
We have constantly repeated that CMS has been powering the Canadian economy, and obvious that at some point CMS was going to run out of credit facilities and/or arrive at a higher understanding than to continue powering the economy. In the meantime (4 years) has anyone else picked up the slack? Has anyone taken on additional risk, compared to CMS?
- Canadian banks through CMS made substatial sums of money available in the Canadian economy.
- CMS rode the wave.
- Canadian companies cashed in on the wave, and are sitting of substantial sums of money.
- What seemed secure a few years ago is no longer as secure.
- As usual the top of the pyramid will fare better than the bottom.
For the auto industry, auto business:
- It will get dramatically more competitive to create customers and sell vehicles.
- Yes...some will be left behind
- CMS will continue to do transactions that fit the monthly budget.
For the economy:
- What has to frustrate many folks, CMS took it upon themselves to power up the Canadian economy at a perilous juncture.
- Its finally sinking in to CMS that his wave has run out.
- Its clear that no one (to avoid risk) is stepping up to replace CMS in the Canadian economy.