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Re: Ford and GM losing millions.
They should be allowed to die from an economic perspective. they have had 30 years to try and figure out how to make fun profitable small and midsize cars and they have not been able to do it. Clearly you could see the handwriting on the wall in the 90's and they did nothing to enhance their cars they just sucked up th eprofits from SUV and truck sales.
Chrysler and GM merger???? what a joke that's like 2 drunk guys stagering out of a bar saying they'll drive the other one home.
The GM Lamda platform SUV gets good reviews imagine how much better it would be if they didn't waste money coming up with 1 for each division and advertising dollars for each division. Buick,Saturn and possible Pontiac must die for GM to survive. They screwed up Saab big time but could probably hawk that to somebody to generate some cash.
for years Ford of Europe MAKES money and has award winning cars. Why haven't they imported tham here? Their cars are ugly,and boring. Drive a new Honda Accord and go drive the new midsize Ford, Ford needs huge discounts to move their product. Imagine how strong they could be if they could simply sell the car for what Honda can.
End fleet discounts. They sell their cars for squat to rental agencies and turn them every 6 months! they make basicall 0 profit on these deals. That in turn hurts the sales of their new cars to consumers because you've got a zillion low mileage clean used versions on dealer lots. They are shooting themselves in the foot with these deals
They should not get a handout a loan maybe but not a handout. Even a loan is questionable. if i was in Congress I'd be asking those guys. Ok let me drive your prototype and see how much better it is than a Camry or Accord and we'll give you the cash to retool. What??? it's not better ? it won't be available for 3 years??? Sorry no money for you!
I run a small buisness I have to watch the bottom line and be better than the competition everyday. I have to compete against guys with lower costs or else i don't eat. Nobody is giving me a loan for these tuff times so why should they get one. With a couple million in cash i could make things much more profitable. I actually have a written down honest to goodness plan that makes sense,probably alot more than theirs does. think my congress guy is coughing up some money? doubt it.
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