Declining volumes force General Motors' dealerships to shut shop

Around 90 dealer-run outlets were shut down last year; new models put on hold

More than a third of General Motors (GM) dealerships in the country have shut shops over the past year because of declining volumes in an otherwise fast-growing domestic market. 

Ninety of the 250 dealerships have downed shutters. Two years ago, the company had 280 sales points in the country. In other words, the network has almost halved in this period.

An industry insider said, “The company is compensating the dealers to manage fixed costs, but still, many are desperate to exit or switch over to rivals.” General Motors did not respond to queries on the closure of dealerships.

In the