GM Dying in the US - GM ups job cuts to 30,000 jobs as it shuts plants, facilities
- Thread starter Marc
- Start date
Q
qualeety
it makes a perfect sense to me
it seems so easy to stop selling cars at a lose but if you don't move the inventory, there is a great cost associate with it...it is much better to lose -2300 per vehicle than not selling....think about this.....if you shut the factory down, you still have to pay all uaw employees...which could be greater than -2300.
it seems so easy to stop selling cars at a lose but if you don't move the inventory, there is a great cost associate with it...it is much better to lose -2300 per vehicle than not selling....think about this.....if you shut the factory down, you still have to pay all uaw employees...which could be greater than -2300.
Q
qualeety
hmmmm
you are missing the point, randy...this is not about making money but it is about survival!!!......i think it is easy to roll our eyes at -2300 per vehicle but the truth is...the system gm created is unsustainable...
stop selling costs more than selling at lose....it is a vicicious cycle that gm is in...and eventually gm will pay the piper (who know when that will be) but for now, they are willing to take the loss by selling since they have no choice (until they go through the bogus restruction they announced)...and gm will make money again when things are good again.
if you got better ideas, am more than willing to listen
Randy said:
you are missing the point, randy...this is not about making money but it is about survival!!!......i think it is easy to roll our eyes at -2300 per vehicle but the truth is...the system gm created is unsustainable...
stop selling costs more than selling at lose....it is a vicicious cycle that gm is in...and eventually gm will pay the piper (who know when that will be) but for now, they are willing to take the loss by selling since they have no choice (until they go through the bogus restruction they announced)...and gm will make money again when things are good again.
if you got better ideas, am more than willing to listen
Going, going....gone?
Folks,
For an interesting read, I recommend “Profit Beyond Measure”. You’ll find pretty quickly that Toyota has been beating the Big 3 in combined profit for the past 30 years. Marc, do you still have the copy I sent you?
I’m with Marc on this one: GM is done! A government loan to try and duplicate the intervention done with Chrysler comes at a much different economic climate not to mention the other interesting points made by the other contributors. It will only prolong the inevitable, in my opinion. Keeping Wagoner in place is of little difference: the damage done to them is decades old. GM lacks the leadership and management philosophy to do them any good. I can’t imagine that they could do anything now to save themselves. What a tremendous collapse it will be!
Consider this: Toyota possesses the ability to buy the Big 3 and assume all of their collective debt. What competition are the Big 3 really providing?
Simply stated: bad management ruins the day…again!
Regards,
Kevin
Folks,
For an interesting read, I recommend “Profit Beyond Measure”. You’ll find pretty quickly that Toyota has been beating the Big 3 in combined profit for the past 30 years. Marc, do you still have the copy I sent you?
I’m with Marc on this one: GM is done! A government loan to try and duplicate the intervention done with Chrysler comes at a much different economic climate not to mention the other interesting points made by the other contributors. It will only prolong the inevitable, in my opinion. Keeping Wagoner in place is of little difference: the damage done to them is decades old. GM lacks the leadership and management philosophy to do them any good. I can’t imagine that they could do anything now to save themselves. What a tremendous collapse it will be!
Consider this: Toyota possesses the ability to buy the Big 3 and assume all of their collective debt. What competition are the Big 3 really providing?
Simply stated: bad management ruins the day…again!
Regards,
Kevin
W
wmarhel
ddhartma said:
The edge towards "high-performance" actually goes to the Japanese. The biggest hits with the "tuner" crowd are Honda's Civic, Mitsubishi's Lancer, and Subaru's Impreza. In many cases, people are pumping thousands of dollars, in some cases it is just the price of a chip (a couple of hundred dollars at most) to further modify their vehicles. The results can be a huge increase in horsepower, with only marginal loss of fuel efficiency.
Many of the Japanese models are now in excess of 200hp, with some of the models >280hp. I think it comes back to a perception, and in some cases a reality, that the Japanese models are more versatile and better built.
The past three months I've been doing quite a bit of traveling. For rental cars I've had:
Pontiac Grand Prix - Poor fuel economy and poor ride
Ford Taurus - Sloppy steering and extremely soft suspension
Subaru Outback - Nice Ride and a good feel for the road (except it is a station wagon)
Toyota Camry - Very nice ride and great fuel economy.
From a simple driving perspective at just around 400 miles per trip, I felt much more relaxed after the drive with the Camry and Subary because of the better seat ergonomics.
Manufacturers can make all kinds of excuses for not being successful, but at the end of the day, people have to want the product.
Wayne
D
Don Palmer
Society at large remains asleep at the wheel
Kevin, It's good to see you contributing again. Your post is on target. Society at large
remains asleep at the wheel, so management continues to ruin the day.
Kevin Mader said:
Kevin, It's good to see you contributing again. Your post is on target. Society at large
remains asleep at the wheel, so management continues to ruin the day.
Randy
Super Moderator
It's not a vicious cycle, it's a dead end street and it started to be paved when greed and pride overtook ingenuity, resoursefulness, and diligence.
The US auto industry, it's suppliers and workers have been in self destruct since the end of WW2 and it's finally started a meltdown that will make Chernobyl seem like a fizzled firecracker.
Look at the stupidasz planning of GM. Gas prices out of sight, diminished fuel reserves, GHG vs auto emissions ratio and so on and what do we plan to do? LETS BUILD BIGGER SUV'S to drink more gasoline (or diesel).
Where is the long term, strategic planning of the unions, manufacturers (excluding the Japanese) and suppliers that could help guarantee continued existance? NADA--Nowhere. At least not beyond the existing horizon that those of us outside the industry can see.
If this wasn't so serious I'd laugh my fanny off
and scream "C'mon Japanese, show us how to do it". Remember to give thanks to Doug McArthur because this is the realization of his plan.
The #1 best thing that could be done in the US auto industry would be to pull the chain and flush, then start over by thinking with your brain instead of talking through your asz.
Am I upset? You betcha!! I have friends in the industry (some of them are you folks here) and it hurts to see friends hurt or fixin' to be. You guys do what you can, but it's the leaders of all the groups that nedd to haved a Louisville Slugger taken to them, not you
The US auto industry, it's suppliers and workers have been in self destruct since the end of WW2 and it's finally started a meltdown that will make Chernobyl seem like a fizzled firecracker.
Look at the stupidasz planning of GM. Gas prices out of sight, diminished fuel reserves, GHG vs auto emissions ratio and so on and what do we plan to do? LETS BUILD BIGGER SUV'S to drink more gasoline (or diesel).
Where is the long term, strategic planning of the unions, manufacturers (excluding the Japanese) and suppliers that could help guarantee continued existance? NADA--Nowhere. At least not beyond the existing horizon that those of us outside the industry can see.
If this wasn't so serious I'd laugh my fanny off
and scream "C'mon Japanese, show us how to do it". Remember to give thanks to Doug McArthur because this is the realization of his plan.The #1 best thing that could be done in the US auto industry would be to pull the chain and flush, then start over by thinking with your brain instead of talking through your asz.
Am I upset? You betcha!! I have friends in the industry (some of them are you folks here) and it hurts to see friends hurt or fixin' to be. You guys do what you can, but it's the leaders of all the groups that nedd to haved a Louisville Slugger taken to them, not you
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D
David Hartman
Randy said:Where is the long term, strategic planning of the unions, manufacturers (excluding the Japanese) and suppliers that could help guarantee continued existance? NADA--Nowhere...
If this wasn't so serious I'd laugh my fanny off
Randy,
Don't forget China! The world has been teaching them how to design and manufacture products (electronics, cars, etc.) for at least the past 10 years. With their human resources and lower wages they could very quickly become the next economic supper power.
Dubya's attempts at pushing China to the free market way of life is not a bad approach towards leading them to become a more democratic nation; but the cost to the world may be great in loss of industry.
How's the old saying go: If you give a man a fish, you feed him for a day. If you teach him how to fish, you feed him for life.
The world has been in the process of teaching China how to fish in the world market for years.
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