Posts Tagged ‘bmw sales’

BMW turns to U.S. market for help as sales in Europe drop

The economic crisis in Europe has been hurting car sales. This year, the car industry will most likely see the biggest drop in sales in a year in almost 19 years. With the dramatic drop in car sales and slowing markets in Asia, BMW is hoping to get a good boost from its dealers in the United States.

The German carmaker has recently shifted its inventor to the United States. A recent report confirms that thousands of vehicles meant for the European and Asian market were redirected to the United States. The demand for the Munich-made cars is still very high in the U.S.

The move was made possible by modern production processes. This means that vehicles are built by manufacturers to pass emission and safety standards in multiple markets instead of a specific country. This gives brands a better flexibility in case of economic slow downs.

Last September, BMW was able to deliver 234,928 units to consumers in the United States, a good 7.1% increase from the same period last year. The sales does not show any sign that it will be slowing down even with the struggling economy. So far, the car industry in the US might be able to sell a million more cars than it did back in 2011.

Every well has a bottom though, and it will not be a very good move to over supply dealers. In case the market slows down, those who are still in the hunt for a bimmer or other luxury brands may find themselves with a lot of options, and BMW dealers willing to negotiate to chop the inventory.