Auto industry incentives have reached new highs. Competition is intense. Consumers are skittish due to the sluggish economy and uncertainty over the war with Iraq. The industry's plants were already at overcapacity. Yet this year and next, new factories and plant expansions will add 1 million more units in North America. No carmaker plans to give up sales and market share. Yet clearly, it's becoming a survival-of-the-fittest scenario. This package examines both the marketers' near- and long-term strategies.