The Economy – Long Term Effects on Boats & Autos??

[bobx1]

Over the past month, I have talked with 2 boat dealers and 2 car dealers (all 4 are friends) and asked how they were doing and what their short and long term future looked like.

Both auto dealers said it was still slow but had stabilized and they expect some moderate increases in the short term but will take a while for sales to get back to where they were.

One boat dealer was still very cautious about the short and long term and said things were still tight. The other boat dealer felt that sales of lower end models/boats would comeback quicker and was somewhat optimistic. Both said that they don’t see the overall industry numbers going back to where they were in pre-2008 but since there are fewer dealerships, their numbers may not bad.

Of course their reactions are based on geography (southern US) so your area of the country will probably be better or worse.

With that in mind, I would like your opinion on the auto/boat industry and would also be interested in your reply on how your business/company/employer is currently doing and what your mind (not heart) is telling you about the near and long term future.

For example….
Still crap but should be stabilizing
Has stabilized and heading up slowly
Has stabilized and heading up quick
Other

My answer is “has stabilized and heading up slowly” – keeping my finger crossed!

[Double D]

My initial response is "Other".

My company is in the Material Handling and Supply Chain Industry and we are probably doing better than most because we are more diversified. I have no real opinion on the Auto/Boat industry except to say "Buy American"

My gut says "Still Crap and I am concerned it could get worse before it gets better"

But, what the hell do I know.

[broncotw]

My guess is that the two industries (auto and boating) will depend on what happens with the current health care plan and whether the American citizens get nailed with increased taxes after the Bush tax cuts will soon expire...

If our current president and Pelosi find a way to pass their personal agendas and healthcare, I would expect people who would have had extra money to purchase such toys as MasterCrafts, will end up with less money to spend on such items as they will be subsidizing crackheads who do not currently have insurance.

Just my thoughts....

[Age Fighter]

I'm with Double D and Broncotw -- other, as in could get worse, directly proportionate to how close we become to a socialist society thanks to those in power whose design it is to accomplish just that.....

[JimN]

If they continue with their plan to redistribute wealth, only people in higher government positions and their fiends will be able to afford these things. The billionaires won't have a long-term problem unless they stay on the country and keep their money here, too.

If they ever come up with a plan to completely change our money and make existing currency worthless, it'll be time to revolt.

[coz]

Malibu, Ski Supreme, Moomba and Wakecraft are no longer in the Phoenix area, packed up shop and left. On the other hand, MC of Az has moved to a huge building off the I-10 at a prime visiual location (can't miss em) so I don't think they're doing to bad. The construction industry out here has become a ghost town of unfinished products and the competition between contractors is a freak'n nightmare

[Age Fighter]

Originally Posted by JimN

If they continue with their plan to redistribute wealth, only people in higher government positions and their fiends will be able to afford these things.

Amen, preach it......

[JimN]

Originally Posted by coz

Malibu, Ski Supreme, Moomba and Wakecraft are no longer in the Phoenix area, packed up shop and left. On the other hand, MC of Az has moved to a huge building off the I-10 at a prime visiual location (can't miss em) so I don't think they're doing to bad. The construction industry out here has become a ghost town of unfinished products and the competition between contractors is a freak'n nightmare

Is anyone renovating or remodeling properties out there?

[coz]

Originally Posted by JimN

Is anyone renovating or remodeling properties out there?

Yes, but that's all that's happening so you have 300 people bidding on any one project and cut throats that low ball and make it almost impossible to compete. I'm almost to the point of going back to Ca. (just for work) and hooking back up with the guys that were subbing me work when I lived there

[jkski]

While I am not in the auto or boating industry I would have to imagine that one of the biggest obstacles to re-growing these sectors will set with the banks willingness to loan money at a reasonable rate(what that rate is I can not say).
When rates were good for buying toys and everyone had a fairly secure income, then buying increased, just look at the number of people who purchased homes that they would have previously not been able to afford. So, as the rates went up and jobs were lost, everything changes, a correction in the market of sorts. So, if the banks, which I understand are heavily influenced if not controlled by the government, choose to lend money to those who have sufferring credit, then we will be right back where we started, but if they don't lend money then no one will buy and none of these industries will grow.
Obviously I do not have the answer just like the government doesn't have the answer.