U.S. automaker bailout package dies in Senate
- Thread starter Praxius
- Start date
we should just quit buying American made products
Statements such as that will get the unions werewolves parked outside your door8O
People have to look at the cost vs. value (quality, service, etc) of products and then make their decision. If a Ford product cost $60,000 and has a 95% service/quality rating vs a Nissan with a cost of $40,000 and a 98% rating. It makes sense to buy the Nissan.
If that's the trend, then companies such as Chrysler or GM will fold. That's the market. Companies produce and sell products people want and it really should be immaterial where they come from
Bush is not going to let his buddies at the big three go without a paycheck anymore than he did with the mortgage and investment banking houses. He'll bend over backwards to get them a bridge loan which will probably help in the short term. But unless the economy changes and picks up all that is being accomplished is the prolonging of their demise. People react in strange ways when the pressure is on. The Congress is looking for a good excuse to give away money but some their own aren't buying the stories being revealed at the witness table under oath. I was hopeful that a new administration would dig in and get this all straightened out. Now it may be a lot larger of a problem than it was in September 2008. They really have their work cut out for them.
LOL, what an idiotic post. The big three produce vehicles which people want. Fuel prices and athe slide in the economy have slowed that down.Why would anyone want to buy a product where the revenue is going outside the country, ie Asia?? It is NOT inmaterial. The money needs to be kept here. Wake up...
I don't discriminate except for quality. I'm not going to be blackmailed by some false sence of nationalism.
so.... buying a car at half the price and better quality is not a patriotic thing to do???
I'll forego my patriotism in that instance
curious... I was talking about economic reality and you reply with union activism.
The big 3 themselves have admitted time and again that they blew it by producing products people didn't want. Do I listen to you, Rs or them. I'll go with the latter, it makes much more sense
Back in the 60's the UAW proposed a pension plan where the companies would put money in an employee/union run fund where the employees would invest the money to support their pensions. The car companies balked at the idea - not because of the cost but because the employees would have a large fund that they could use as an economic weapon at negotiations. They said - we will give you a pension plan but we will fund it and manage it. So now the UAW pension is bust and the Teache's pension fund - The Public Service funds are buying up companies worth billions - Who screwed up?
It is almost impossible for a new car company to be formed - Remember Bricklin - Delorean - Smart people - Good - forward thinking vehicles - run out of capital - The Tucker - technologically advanced - died a quick death - ran out of capital - Saturn - still hanging in there - not making any money - Tata - A world car under $10,000 - built in low wage India - can't find a home for it's car plant - needs a dealer network - plan is gone to dust - no capital available.
It takes a lot of infrastructure to sell vehicles - GM and the big 3 aready have it - collectively they still outsell any single foreign automaker - Worth saving but not at any cost
Now if our politicians and the Big 3 CEO's would play on the strengths of the Big 3 these loans may be more palatable to the general public - It is much easier to get people fired up over fear than it is common sense. Remember CEO's and politicians livelihood rely completely on those who can vote them out. Pension funds have done more to wreck our manufacturing base than that $2/hr Chinese sweat shop worker. CEO's are hamstrung by their fudiciary responsibility to ensure the corporation maximizes returns to the investors - Corporations are an entity not much different than us human life forms. Survival is their mantra, and like us humans sometimes they die.
One of a piece of the puzzle for the auto industries survival would be to sell off or "re-finance" their fixed assets. Plants. equipment, land, etc
Although this is the worst possible time to do this economically, it will be much worse if they are sold off in a liquidation sale
I still say, Chrysler is probably finished and the industry will contract to Ford and GM
Interesting. i'm watching the news on TV right now, and it says that garages and electronics shops are benefitting from the recession, along with phone, cable and thrift stores. People don't want to buy new cars, want to stay home to watch TV, businessmen would rather teleconference than travel, and people shift to cheaper shops. so retrain people for these jobs. garages are now busy. why keep autoworkers at Gm when no one wants to buy while garages are looking for people. Not fair tothe growing industry being denied the new workers it needs.
garages and electronics shops are benefitting from the recession, along with phone, cable and thrift stores. People don't want to buy new cars, want to stay home to watch TV, businessmen would rather teleconference than travel, and people shift to cheaper shops. so retrain people for these jobs.
The problem is a "line" worker at GM ($30+/hr and massive benefits) will not take a job in any of those industries when they are paid 95% of their salary to sit around in the UAW "job" room for 2 years.
In order for the auto industry to survive, they may have to tear up the union agreement and start from "scratch" using the Nissan, Honda, Kia employment model as the baseline
Regardless-Germany had the VW. 3liters oil, air cooled engine, no heater, unibody,independent suspension,easy to repair, each egine cylinder could be repaired individualy,engine top RPM-3200--
Where is the Canacar
--for Canadians that don't need a 2010 look
--that uses the same parts for 5 years unless modification is needed
--builds a Cancar Canvan Cantruck
--make it a reliable easy to repair car----little Cancars and they all look the same
NAW give them billions to keep building what people don't buy
Where is the Canacar
--for Canadians that don't need a 2010 look
--that uses the same parts for 5 years unless modification is needed
--builds a Cancar Canvan Cantruck
--make it a reliable easy to repair car----little Cancars and they all look the same
NAW give them billions to keep building what people don't buy
The only people who can afford to buy North American are the ones still working for N.A. companies and I think a lot of them spend their money where they get the biggest bang for the buck.
"Statements such as that will get the unions werewolves parked outside your door:shock: "- I think with the number of people who feel as I do, there's probably not quite enough Union people to cover all doors. Anyway, they need to get used to the idea that if you don't produce you don't get paid.