GM on the Brink
Discussion
Reading an article in yesterdays paper about GM they are in serious trouble. If they do not get 7 billion bail out from the US treasury soon it will be curtains as they cannot meet their bills next month. Apparently they need 1 billion a month to exist. God knows whats going to happen to the Motor industry world wide
Edited by hilly10 on Sunday 9th November 15:57
Edited by hilly10 on Sunday 9th November 15:58
Airbag said:
Screw them, this is what a decade of s
tty business practises and poor decision making gets you. If you can't compete, you die, end of story. That's how capitalism works, isn't it?
No no no, capitalism AD 2008 is mutual backslapping between you and the folks that are supposed to represent the shareholders and awarding yourselves huge bonuses for it as long as you're not going bust, and let the government bail you out when you are... tty business practises and poor decision making gets you. If you can't compete, you die, end of story. That's how capitalism works, isn't it?Edited by 900T-R on Sunday 9th November 19:37
900T-R said:
Airbag said:
Screw them, this is what a decade of stty business practises and poor decision making gets you. If you can't compete, you die, end of story. That's how capitalism works, isn't it?
No no no, capitalism AD 2008 is mutual backslapping between you and the folks that are supposed to represent the shareholders and awarding youselves huge bonuses for it, as lon as you're not going bust, and let the government bail you out if you are... tty business practises and poor decision making gets you. If you can't compete, you die, end of story. That's how capitalism works, isn't it?I feel sorry for the Detroit three's workforces, but the sheer weight of their ineptitude is staggering. The Ford Focus we have over here (NA) is just terrible, so do they bring the class leading (arguably i suppose, but soooo much better than ours) Focus over here? No. They wait six years and tell us they will bring the new Fiesta over as it's been designed as a world car. Way to ditch that segment in the interim. Maybe it wouldn't have be viable to change NA production lines to accommodate (and regs or whatever etc.) that car but you get the idea none the less.
Instead we have the Flex and the Edge. What a load.
they've stopped making them! 
The Insignia is out (now I think).Airbag said:
I feel sorry for the Detroit three's workforces, but the sheer weight of their ineptitude is staggering. The Ford Focus we have over here (NA) is just terrible, so do they bring the class leading (arguably i suppose, but soooo much better than ours) Focus over here? No. They wait six years and tell us they will bring the new Fiesta over as it's been designed as a world car. Way to ditch that segment in the interim. Maybe it wouldn't have be viable to change NA production lines to accommodate (and regs or whatever etc.) that car but you get the idea none the less.
Instead we have the Flex and the Edge. What a load.
I think the main problem is the perception that in the USA no one is going to pay a decent price for a 'small' car, so something Focus-sized must be decontented to be viable in the US - after all it's going to be an 'entry level' car. It might take a bit more than just $3/dollar gasoline to change that deep-rooted perception high up Ford/GMs hierarchy. Instead we have the Flex and the Edge. What a load.
hilly10 said:
Reading an article in yesterdays paper about GM they are in serious trouble. If they do not get 7 billion bail out from the US treasury soon it will be curtains as they cannot meet their bills next month. Apparently they need 1 billion a month to exist. God knows whats going to happen to the Motor industry world wide
Mid-2009 sounds about right.GM is a profitable company, or should I say "could be". The situation is mainly to do with a liquidity problem rather than the businesses inability to meet obligations in the long-term. Typical of a cyclical industry but some of the above criticism is fair, GM needs to condense it's production arm (remember that it goes far beyond just making cars, in many ways that isn't even the biggest part of their business).
900T-R said:
Airbag said:
I feel sorry for the Detroit three's workforces, but the sheer weight of their ineptitude is staggering. The Ford Focus we have over here (NA) is just terrible, so do they bring the class leading (arguably i suppose, but soooo much better than ours) Focus over here? No. They wait six years and tell us they will bring the new Fiesta over as it's been designed as a world car. Way to ditch that segment in the interim. Maybe it wouldn't have be viable to change NA production lines to accommodate (and regs or whatever etc.) that car but you get the idea none the less.
Instead we have the Flex and the Edge. What a load.
I think the main problem is the perception that in the USA no one is going to pay a decent price for a 'small' car, so something Focus-sized must be decontented to be viable in the US - after all it's going to be an 'entry level' car. It might take a bit more than just $3/dollar gasoline to change that deep-rooted perception high up Ford/GMs hierarchy. Instead we have the Flex and the Edge. What a load.
Make something else the flagship by all means, but at least pay some attention to the other segments. Last year GM finally released the Astra as a Saturn and it was lauded my the auto press here for features that all it's European rivals have. It's pathetic.
Its the American Business Philosophy and American Purchasing Philosophy that undermine the Big 3 along with the fact that the primary friction these companies experience is not from Toyota or BMW but internal friction from the White v Blue collar faction..
THe Business Philosophy is at fault because the bean counters run things. There is no desire for excellence, mearly profit at all cost found at cutting corners and making Cheep cars.
American buying philosophy is such that we Americans will sell eachother out for a cheaper product. With no concern as to whether the shoe we I buy is made in the states or from slave labor in China or child labor in Thailand.
The internal faction fighting leads a environment where everyone want to pull as much blood from the "sacrid cow" without any real concern for the business as a whole... and the Cow bleeds to death.
Oh and the Big business government of Pres Bush told the big three to eat a big one when they asked him for help in R+D on energy efficient tech or to help bail them out...
Funny how the "Big Business" side told the 3 largest companies in the US to go "eat it"
THe Business Philosophy is at fault because the bean counters run things. There is no desire for excellence, mearly profit at all cost found at cutting corners and making Cheep cars.
American buying philosophy is such that we Americans will sell eachother out for a cheaper product. With no concern as to whether the shoe we I buy is made in the states or from slave labor in China or child labor in Thailand.
The internal faction fighting leads a environment where everyone want to pull as much blood from the "sacrid cow" without any real concern for the business as a whole... and the Cow bleeds to death.
Oh and the Big business government of Pres Bush told the big three to eat a big one when they asked him for help in R+D on energy efficient tech or to help bail them out...
Funny how the "Big Business" side told the 3 largest companies in the US to go "eat it"
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