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A few things you wanted to know about the auto industry - Feb 23, 2008
I enjoy receiving letters and emails from Wheels readers. Feedback is part of being a columnist with Canada's largest circulation newspaper.
Today, I'll respond to some of the recent letters I've received about the retail auto industry.
Q: Dealer groups are becoming more common in Canada. Could you comment on this trend?
A: In recent years, there has been some consolidation among new car dealers in Canada.
From a consumer perspective, however, the ownership structure of a dealership is less important than the customer experience.
I urge buyers to form relationships with dealerships where they receive the best value, whether a dealership is privately owned or group-owned.
Q: Cars are so technologically advanced today. Is there such a thing as too much technology in a car?
A: All technological advancements in automobiles should be viewed in relation to safety. GPS systems, DVD players and hands-free technology are big selling features and can enhance the driving experience.
I would never discourage anyone from exploring those options. But technology should never interfere with the safe operation of a vehicle. Too many drivers, today, are multi-tasking behind the wheel when their attention should be on the road.
Q: I've heard about a dealership compensation fund. What's that all about?
A: The Motor Vehicle Compensation Fund was introduced in 1986 as a court of last resort to compensate consumers who have encountered fraudulent activity at a registered car dealer.
If all legal options have been exhausted, then an individual can make a claim based on certain conditions.
Visit www.omvic.on.ca for more information.
Q: Is there any truth to the idea that consumers should never buy a car built on a Monday or Friday?
A: No. Any suggestion that certain days of the week yield better-built cars than other days is preposterous.
All carmakers have rigid quality control systems in place to ensure that all vehicles that roll off assembly lines are built to the highest possible standards.
Competition is so intense, and consumer expectations are so high, that quality-control problems are simply not tolerated.
Q: How does the Canadian auto industry fare against the rest of the world?
A: The auto industry in Canada represents more than 12 per cent of the country's GDP and ranks ninth in the world in automobile production.
Despite some recent job losses and shakeups, I believe the auto industry remains strong.
Automakers continue to invest in new plants, technology and education.
With renewed financial commitments from the provincial and federal governments, Canada will continue to attract investment from abroad and will provide job opportunities for Canadians.
Another compelling feature of our industry is the dealership network. Dealerships across the country are undergoing a renaissance, in terms of styling and design that is focused on the customer experience.
Owners are investing in new facilities because they clearly see a bright future in the decades ahead.
Q: Would you advise young people to pursue careers in the auto sector?
A: Absolutely. The education and training available at our academic institutions is second to none.
The auto sector is the driving force of our economy, and in order to stay competitive, we need a new generation of skilled workers to take the reins from baby boomers who will be retiring over the next 10 to 15 years.
From engineering and manufacturing to sales and marketing, opportunities abound for young people seeking careers that are dynamic, well-paying and fulfilling.
Q: You recently wrote about your new Blackberry. Have you mastered it yet?
A: Let's just say that I've formed an uneasy truce with mine.
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