When there is a credit crunch, weak businesses die off, the strong survive. Then the strong spread and take over some of the business from the fly by night operators who died. And new upstarts can get a chance to get in on the action.
I bought Citigroup a week and a bit ago near the lows, thinking it will be one of the strong to survive. Get back in the mortgage game, and be able to charge fat spreads. We will see how it goes!
The autobusiness itself needs a shakeout. Way, way too many dealers for the domestics, and the domestic companies themselves at least one needs to die off. But with cheap credit they keep limping along, undercutting everyone else just to stay alive.. and in the process killing profit margins.
That was the advice Hoover got back in 1929.