Fiat Chrysler planned to open 380 new stores in U.S, the company is already running 2500 stores nationwide. The decision to open new stores has been taken on the proposal of Urban Science, the location consultant of the automobiles company. The company wanted to increase as the market share of the company has been fallen in last two years.
Existing dealers are not happy with expansion decision:
The decision of new outlets has not been down at yet because the company wanted to increase the profit and sales. As the company has faced almost 15% decrease in last two years. The company has decided to earn the profit of 6.4% – 7.4% in last two years.
Dealers have low sale issues with few models due the low and delayed production of cars, such as the Dodge Dart, Chrysler 200 and the Jeep Patriot. The company has fixed it focus to pickups, SUVs and crossovers. There is under production of Toluca, Mexico, but these expected to display on stores once again.
On the other hand in many states dealer have asked about financial assistance. They are aquiring rights on the opening od additional stores. The dealers from Louisiana and Texas has also offered financial assistance. The Bergeron Motors in Metairie has filed a complain against the opening of new stores in Kenner.
The dealership has also raised an issue about public distress that the people will find it difficult if they want to purchase the Bergeron motors. Similarly many protest has been made at Taxas from the Texas department of automobiles. But the situation in calm in many states.
Location of new Fiat Chrysler stores:
Despite all the protest and opposition from the existing dealership. There are no official words has been spoken by the officials of Chrysler. There is no confirm information whether the all 380 stores would be establish at once or not. The only clear agenda is that the company want to increase the sales.