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Local Dealers Take Advantage Of Toyota Recall

POSTED: 6:45 pm PST February 1, 2010
UPDATED: 12:10 pm PST February 2, 2010

New numbers obtained by 10News revealed that some local auto dealers are taking advantage of the recent Toyota recall.

Toyota announced Monday morning that it has denied the problem of the sticking accelerators. With the approval of the National Highway Traffic Safety Administration, it is shipping the replacement mechanism to dealerships nationwide. But can Toyota repair the hit to its image?

Jorge Ramirez, a resident of Encinitas, just bought a new Ford F-250 truck. He first looked at Toyota trucks, but the recent recalls made him jittery.

"I just want my family to be safe. I didn’t want to take any chances," Ramirez said.

Ramirez is not alone; at Kearny Pearson Ford, General Manager Doug Davis said that business is booming. We have a lot of Toyota customers calling in asking about our vehicles. This is an opportunity," he said.

Dealers are ready with incentives. Ford is among the many companies targeting Toyota customers. Ford's pitch to customers: if you trade in a Toyota, then you get $1,000.

At Kearny Pearson, two Toyotas were traded in last weekend. However, what's more noteworthy is the number of vehicles sold without trade-ins.

Last weekend, the dealership sold 34 vehicles -- double the number sold in a typical weekend. According to San Diego State University marketing professor, William Baker, it's no surprise.

While Baker's skeptical about loyal Toyota owners getting rid of their vehicles, he does believe that the American car industry could benefit in a big way.

Baker said that for American cars that have climbed the recent rankings for reliability and fuel efficiency, "This could be the final impetus to get them in the showroom. I wouldn't say it's definitely raising questions in people's minds. We could look back at this in 10 years from now and not say it was the turning point for Toyota, but say it was the turning point for Ford and GM."
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