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Strategies for Responding to the Financially Distressed Auto Dealership

By John R. Skelton

Part Two of a Two-Part Article

The difficult circumstances facing automakers have already led to the closure of many dealerships, and more will come in the wake of the Chrysler bankruptcy and the elimination of GM's Pontiac brand. Especially where the driving force behind a dealer's difficulties is the economy, rather than poor managerial or operational decisions made by the dealer, adversarial enforcement of dealership contracts is giving way to cooperative workouts.

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