Big Three

AAA

DEFINITION of 'Big Three'

A reference to the three largest automobile manufacturers in North America: General Motors, Chrysler and Ford.


All three companies are based in Detroit, so their performance has a significant effect on the city's economy. Employees of the Big Three are represented by the United Auto Workers union. The companies' major competitors include international automakers such as Toyota, Honda and Nissan.


The big three are sometimes referred to as the "Detroit Three".

INVESTOPEDIA EXPLAINS 'Big Three'

The profits (and losses) of the Big Three are thought to be an indicator of the state of the overall U.S. economy. In 2009, Chrysler and GM both closed thousands of dealerships, filed for Chapter 11 bankruptcy and were bailed out by the U.S. Treasury through a loan under the Troubled Asset Relief Program.




RELATED TERMS
  1. Auto Sales

    The major producers of domestic automobiles report sales monthly. ...
  2. Just In Time - JIT

    An inventory strategy companies employ to increase efficiency ...
  3. Planned Obsolescence

    A manufacturing decision by a company to make consumer products ...
  4. Retail Sales

    An aggregated measure of the sales of retail goods over a stated ...
  5. Fast-Moving Consumer Goods (FMCG) ...

    These are consumer goods products that sell quickly at relatively ...
  6. Virtual Good

    A good or product traded in the non-physical realm, typically ...
Related Articles
  1. Analyzing Auto Stocks
    Options & Futures

    Analyzing Auto Stocks

  2. Henry Ford: Industry Mogul And Industrial ...
    Options & Futures

    Henry Ford: Industry Mogul And Industrial ...

  3. How To Avoid Buying A
    Budgeting

    How To Avoid Buying A "Lemon" Product

  4. Save Money The Scottish Way
    Insurance

    Save Money The Scottish Way

comments powered by Disqus
Hot Definitions
  1. Ghosting

    An illegal practice whereby two or more market makers collectively attempt to influence and change the price of a stock. ...
  2. Elasticity

    A measure of a variable's sensitivity to a change in another variable. In economics, elasticity refers the degree to which ...
  3. Tangible Common Equity - TCE

    A measure of a company's capital, which is used to evaluate a financial institution's ability to deal with potential losses. ...
  4. Yield To Maturity (YTM)

    The rate of return anticipated on a bond if held until the maturity date. YTM is considered a long-term bond yield expressed ...
  5. Net Present Value Of Growth Opportunities - NPVGO

    A calculation of the net present value of all future cash flows involved with an additional acquisition, or potential acquisition. ...
  6. Gresham's Law

    A monetary principle stating that "bad money drives out good." In currency valuation, Gresham's Law states that if a new ...
Trading Center