The consequences of General Motors producing 41k Chevrolet Corvette cars in 2016 production year

It appears that +General Motors  took quite a gamble producing very close to 41 thousand Corvette C7 cars and it may be backfiring (pun fully intended) not just against GM and its dealers but against owners of the cars who attempt to sell them or even worse, trade them in.

As observed in automotive media, there are entities out there celebrating this high production number although there is nothing to celebrate unless someone makes living being part of the UAW bum crew at Bowling Green plant and somehow collects commission on the number of cars produced.

For others, this figure sucks, especially considering there are still unsold 2015 cars lingering on dealers lots and cars produced is not the same number as cars SOLD.  As a matter of fact, currently, there is roughly 9 thousand unsold Corvettes that happened to be produced in 2016 that are sitting on dealers lots while 2017 cars continue to come in.  GM dealers with 50-60 unsold dealer ordered Corvettes seems to be quite common and the mega dealers can proudly claim possession of over 100 2016 Corvettes in stock.

So now, the domino effect starts, right from the top, from GM corporate sales department, with 10% discounts being offered just for starters, without accounting for usual bullshit like GM credit points, military discounts, loyalty discounts and dealer specific local discounts.  Effectively, this initial discount can double even now and triple as soon as first snow comes.

Of course, assuming someone is dumb enough to buy one of these turds, this is great time for the buyers but more specifically, first time buyers and not repeat customers hoping to sell their current car or trade it in.

It does not take a genius to figure out that like with the financial world these days, great purchase incentives also mean non existent trade in and resale values for used Corvettes C7.

As always, overproducing cars is a gamble, something Chrysler has learnt the hard way with Dodge Viper and in case of Corvette C7, the lesson obviously flew by the corporate ears, leaving many current owners in for a very unpleasant surprise.