The REAL problem with bailing out US automakers - Just my opinion

My opinion | Me

[wolf78]

Cars should cost $2000-3000 like they used to, and they would if they didn't have all these 'improvements' like fuel injection, automatic transmission, and CD players.

Well, there's one car that actually deserves to be called a car for $6.000 (more if you want airbags), which - adjusted for inflation - is actually less than the $2000-3000 some decades ago. It's called the Logan, it has a Renault 4-cylinder engine (gasoline or diesel) and it's made by Dacia in Romania:



also available as a stylish station wagon / minivan:

[Brilliant]

They can compete overseas. They can’t compete here. But if the only way we can have an auto industry that is profitable is by allowing foreign auto companies do business here, then it’s Congress’s fault, not that of the auto companies.

[Brilliant]

Tell your son to buy a Ford next time. I’ve owned both GM and Ford. Ford is a lot better than GM.

[FFranco]

This is a G-d given opportunity to end the UAW. The government should give the bailout money only on the condition that the UAW no longer represents any auto workers. Get rid of the UAW and US auto makers can be competitive again. Get rid of all unions and America can become competitive again.

[millerph]

Tell your son to buy a Ford next time. I’ve owned both GM and Ford. Ford is a lot better than GM.

Remember the comercials where Ford said they had improved quality 81%? That was in the early 80’s. My dad had a 1980 Mustang and even if quality had been improved 81% it still would have been a POS. I know they are better now, but those experiences are hard to get over.

[Brilliant]

I’ve owned Fords. I’ve owned Toyotas. These days, the quality is not all that different. The reason Ford has a huge loss and Toyota has only a small one is that Toyota pays about 1/2 what Ford does for labor. It’s as simple as that.

[millerph]

I agree on the second part. On the first part I’m still not convinced, but even if true, it’s hard to get back customers which were burned in the past.

[Brilliant]

“it’s hard to get back customers which were burned in the past.”

That is true, but it is very doable to fix their problems if you can get their labor costs down to competitive levels. Keep in mind that despite the constant dribble about GM producing cars that people don’t want to buy, the fact is that GM sells more vehicles than any other car company in the world. The issue is not so much getting sales as it is getting costs down to a level where they can make a profit at their current level of sales.