While much of the loss is due to finance woes, etc., do note that they dance around the issue of profitability in North America hardly touching the issue. What little we can gather from this article points squarely to the notion that GM's shiny new products are losing money in North America, but since we don't know how much of the loss in North America was creatively accounted for elsewhere (and you can bet your firstborn that this was done) we cannot really know how bad the loss here in North America actually was. You cannot run a company like this.

http://money.cnn.com/2007/11/07/news...ex.htm?cnn=yes

 

Love to hear what "Maximum Bob" has to say about this.

 

Don't worry, they'll turn the corner next time.

 

Figured you'd jump all over this. GM had but one choice left: continue building crap, or start building competitive vehicles, no matter what it takes. Now, if you want to proffer the argument that it's all too little, too late (no matter what they do); that the American automakers have already passed the point of no return; that the horse has already left the barn (excuse the obvious pun) - then I'd be willing to concede that this, indeed, may be the case.

But the overriding point here is that GM's current turnaround strategy of building better products by leveraging global assets did not lead to this financial loss, 30 years of mismanagement and cranking out junk did.

My concern right now is that oil at $100 a barrel could quite realistically be the final nail in the coffin for both GM and Ford.

 

The diversifying strategy of mixing cars and mortgages worked really well didn't it? They should have saw this coming and dumped all of GMAC


Edit, why is my font so little?

 

Genetics...

 

I just don't look at it as an either or scenario. Both GM and Ford need to make cars that people want and which make money. The Mustang does it, the 300 has too for that matter. GM and Ford just have to figure out how to build a company worth of cars which can accomplish the same. Frankly that is why people like Lutz, Wagoner, and Mulally get paid the big bucks. If they can't deliver all I can say is...next.