View Single Post
  #15  
Old 09-06-2008, 09:09 PM
barry123400 barry123400 is offline
Registered User
 
Join Date: Nov 2004
Location: Nova Scotia, Canada.
Posts: 6,510
Federal government just gave ford 80 million dollars to keep their engine plant up here in Canada open a little longer. As see it the big three are just about out of the car business if their posted losses are real. By that I mean they are not also including their stock price decline .

The so called big three are guilty of corporate mis management on a scale perhaps never before seen in north america. The true magnatude of their problems took many years to come to fruitation. It will be a wonder if even one of them survives the next five years.

They seem to simply be outclassed in todays north american markets. How are they going to deal with all the insolvent and otherwise frustrated dealers that I suspect will be starting to bail out soon.

At present their dealers service departments once a large profit centre almost appear deserted locally except for low profit warranty service. People seem to have returned to independant service outlets with a vengence after the warranty expires.

Did they really expect the customer was so stupid not to recognise gouging to support the large overhead costs that dealers were forced to absorb by the big three? I remember only a few years ago the local big three dealers were strong armed into much larger new buildings on prime real estate. They were assured they would make more money.

Things are coming home to roost like never before. If I were a big three dealer I would not trust the respective corporate head quarters to make any sound decisions. I think the big three have proven their respective abilities beyond question at this stage.

As for them really producing a good small efficient diesel for consumers in north america. I very much doubt they will. Or even try. Instead they will just hope something else occurs to make their present lines more viable all by itself.

For one I do not think that approach or stratagy is going to work. I also doubt the respective governments are going to save them as well.

As for the american built battery car. Plus good hybrid variations .It is already rumored they will be too costly for mass marketing. Of course time will tell exactly how this unfolds.
Reply With Quote