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As the automotive industry grapples with high inventory levels—both in electric and traditional combustion engine vehicles—the inquiry into supply chain and production decisions has never been more critical. For instance, the 2024 Ford F-150 currently has an astonishing 127,000 units available nationwide, reflecting a market over-saturated with vehicles as new models are poised to enter the market.
Analysis of inventory data reveals that consumers are increasingly reluctant to purchase higher-priced vehicles, with financing and economic uncertainties weighing heavily on decisions. This leads to a concerning trend of unsold inventory, pushing manufacturers like Ford and Ram into more aggressive discounting strategies just to move vehicles off the lot.