Lafayette and the Subaru Survival Story

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Kelsey Mays
Cars.com

Across Indiana, automotive communities face shrinking jobs — from Elkhart’s collapsed RV industry to layoffs at Chrysler’s casting and transmission plant in Kokomo.

The Japanese automaker sells just five models in the U.S., but in an industry collectively down some 28 percent in year-to-date sales, it’s one of just three major automakers to see a year-to-date sales increase.

Why is that? Experts say it’s because cars that offer lots of utility sell well during an economic downturn. Perhaps more importantly, the automaker has kept its focus.“Being small during these bad economic times helped us,” said Jeff Bennett, a 19-year Subaru of Indiana Automotive veteran on the vehicle launch team.

“The worst thing that could happen to them is they have the aspirations of becoming a big car company,” Hossack said. “They could increase their sales if they just introduced a low-cost, low-priced, non-all-wheel-drive version. Don’t do it. Then you just become just like the Hondas and Toyotas and Nissans of the world. Be a niche player.”

Next: Indiana: Outlook for 2010 and Beyond

Previously: Greensburg: A Year With Honda