Quote:
|
Originally Posted by Jim H
Remember, Chrysler REPAID their LOAN, ahead of schedule. Nobody gave them a handout, they borrowed money and repaid it, unlike many consumers of today who borrow up to their eyebrows, then declare bankruptcy, leaving the rest of those still employed to clean up their mess.
|
Chrysler was making military equipment for the government at the time so it was in the national interest to keep the company afloat one way or another. There were no guarantees that the loans would be repaid, but Lee Iacocca was both crafty and lucky, and managed to pull it off. There was lots of room for improvement then, and the minivan and K-cars were successful gambles.
If there is a GM bailout, there will be much bigger challenges than Chrysler had to face. They have no charismatic leadership and there are no new product areas to exploit. GM's product committees abhor innovative thinking.