One one hand, there can be little doubt that the future health of thousands of jobs and dozens of communities depend on a successful outcome to the latest dilemma.

The death of the once-proud British motor industry and the slow decline of “Motown” in the United States are just a few of the precedents that are hanging like ominous clouds.

Politicians are quick to leap to the car industry’s defence and expound on its value and future. But while the social good of the industry is beyond doubt, given the $12 billion in Government support over the last decade, more questions need to be asked about the efficacy of the industry and where it is heading in the decades to come.

One tough question will be to what extent is large-scale industry support avoiding the inevitable and what new revolution in product or techniques is needed to turn this tide.

As many fields of manufacturing have shown before, wage costs for manufacturers and workplace safety standards essentially prohibit Australia competing on a “level playing field” with many international competitors.

But many would argue these are non-negotiable factors not only to how we work but how we live.

Indeed, it could be argued they contribute to the quality and integrity of the local product.

More worrying would be the demise of quality local cars that leaves the purchaser with few options but “three years and throw-away” options.

This is a world of increasingly terminal in-built obsolescence. Australians largely prefer quality when it is available and even show an advanced degree of consumer loyalty that frequently overrides cost. But manufacturers cannot expect this loyalty to be pushed beyond the reasonable limits of value and comparable price.

The problem is the recent sales figures indicate that people are voting with their feet and there are more factors at play than price.

The age-old Australian love affair with the large car and in particular the ubiquitous Commodore/Falcon seems to be waning.