The current recession is permanently changing the business landscape.  Companies that have been profitable for many years are going out of business.  The impact has been more pronounced in some industries than others, with big ticket and luxury items being the hardest hit. The automobile industry is suffering so much that the federal government is stepping in. All of this begs the question: Who will be left standing when it’s all over?

The top five auto manufacturers have been around for a very long time.  All have made it through tough economic times, many through the Great Depression. Ford, founded in 1903 is the old-timer, while newcomer Honda started making cars in 1963. It seems obvious that a company that survives for decades, even a century, must be pretty strong and flexible. They’ve adapted to changes in demand, technology and politics and continued to grow overall.

Will there be a 2013 Mazda Miata?

Will there be a 2013 Mazda Miata?

But things have changed. GM and Chrysler have accepted help from the federal government and will need more.  So far Ford hasn’t asked for assistance, but who knows?  Everything depends on how long this recession lasts. Eventually consumers will start buying cars in greater numbers again, but can the automakers survive until then?

Part of the answer depends on which companies are well-run and efficient. Like many companies in other industries, auto manufacturers who once weathered the great depression have become fat during the long periods of plenty. If they can adapt quickly, everyone will benefit in the long run.

Another related piece of the puzzle is about who can innovate quickly. While sales have fallen drastically, there are segments of the market that are doing relatively well. Hybrids, which should have been an economically viable option long before now, are popular. So are well-built cars that last longer and require fewer repairs. Automakers that excel in these areas will have more sales now, which will help them hang on. When the economy picks up again, their sales will be much better than those who lag behind.

So who is doing well right now? Toyota tops the list with 92,775 vehicle sales in the first two months of 2009. Ford comes in second at 84,072.  Rounding out the top 5 are Chevrolet at 75,025, Honda at 63,916 and Nissan at 47,890.  While these figures are around 40-50% lower than the same period last year, if they can reduce their costs enough, these automakers may live to see the end of the recession.

Ok so the whole fuel economy thing has finally made its way into the last possible auto segment; the man’s vehicle group. Yes now even manly men are aware of their fuel economy and its impact on the environment. Well GMC is the first company to address this portion of our population. New for 2009 is the Yukon which weights almost a ton and yet can achieve that magical 20 MPG mark that SUV’s were never meant to obtain.

This remarkable feat was achieved by designing a 2-mode hybrid system. The Yukon has the ability to run on electric power alone up to 25 MPH which does wonders for the in town fuel economy. When more power is need the gas engine simply kicks in. And the Yukon also benefits from cylinder deactivation technology which essentially turns the V-8 power plant in to a more economical 4 cylinder when less power is needed. This hybrid can still tow 6,000 lbs. plus seat 8 in the process. The future of manly cars is looking good for the environment and wallet!

Visit theI-10 Auto Mall to see a nice selection of hybrids for sale in Southern California.  Also Iowa BPG has new 2009 Yukon Hybrids on sale now!