SUPER in-depth article, but well worth a read if you have the time: The Tragedy of General Motors

 

Even without reading it yet I can tell you if we were still under Nasser, we'd be in the same boat. We're still suffering from his reign here, cancelled platforms and motors that would of had us much further ahead, etc. At least Ford has been able to sustain innovation.

 

Here you go:

"Then there's the U.S. government, whose bailout ability has been proved often. Clearly Washington could at some point decide that a GM bankruptcy was a nightmare it couldn't face and could step in with a massive infusion of money that would buy the company time--to shrink back, perhaps, to a viable size. Beyond that, what is Washington to do? Urge its citizens to pick up a Malibu with their tax refund? Pass national health insurance with the snap of a finger?"

And I say yes to that, just add the cost to Japanese imports to pay the bills, and monies for alt-fuel research as well. Why do we care what Japanese companies think about it, we're just cheap labor and blindly loyal brainwashed buyers to them.

 

<div class='quotetop'>QUOTE(kevinb120 @ February 10, 2006, 11:28 AM) Quoted post</div><div class='quotemain'>
Here you go:

"Then there's the U.S. government, whose bailout ability has been proved often. Clearly Washington could at some point decide that a GM bankruptcy was a nightmare it couldn't face and could step in with a massive infusion of money that would buy the company time--to shrink back, perhaps, to a viable size. Beyond that, what is Washington to do? Urge its citizens to pick up a Malibu with their tax refund? Pass national health insurance with the snap of a finger?"

And I say yes to that, just add the cost to Japanese imports to pay the bills, and monies for alt-fuel research as well. Why do we care what Japanese companies think about it, we're just cheap labor and blindly loyal brainwashed buyers to them.
[/b][/quote]
Well, it's America's own fault, really. Failed trade policieis that enable foreign countries (mostly Japan) to own 2 trillion of its 6 trillion dollar debt. That's the biggest reason why you'll never see tariffs added to Japanese products ever again. We already gave away the consumer electronics industry decades ago...we're starting to give away the high-tech computer sector...and the auto industry seems poised to go the same way.

The genie is out of the bottle, which means US automakers are going to have to consolidate, tighten their belts, get incredibly innovative and improve designs and quality across their lineups to have any hope of surviving. It's a tough nut to fight customer perception, Japanese brand loyalty, legacy costs, UAW issues and quality issues all at the same time...and pull it off successfully before the money runs out.

Still, I remain hopeful. But Ford and GM will no doubt have to swallow some bitter medicine to make it happen.

 

Excellent article. I hope GM survives, and Ford too, for that matter. Better that they swallow some bitter medecine than the hemlock they've been sipping for years.

 

<span style="font-size:12pt;line-height:100%">GM needs all those brands according to Sales VP</span>

"GM's VP of North American vehicle sales, Mark LaNeve, said today that GM needs to keep all of its North American brands, including Saab and Hummer.

LaNeve suggested that GM would instead focus on turning around its struggling brands, including Pontiac, Buick and Saab."

I hope they put LaNeve's remarks on GM's epitaph, because that's all I need to hear to know that the company is finished. [img]style_emoticons/<#EMO_DIR#>/nonono.gif[/img]

 

Agreed.