Cars That Go Boom: Detroit's Big Three & Me

[AustinTech]

I still haven't heard anyone give a reason other than charity or welfare. That is what bailing out the automakers is, it is welfare.

Can't anyone give an actual business related reason to bail them out? Something like, "they have excellent designs ready for future production, they have the best technology for more environmentally safer cars, they have a plan on how to reduce the costs of producing their cars, they are only having cash flow problems, their business model is sound...etc."

I haven't heard it cause it isn't true. And THAT is why they should go under. Hell, they've been dead in the water for years now. Their friggin cars are horrible (other than the engines). Designs? Bad. Style? Bad. Average cost to produce a car? Sky high. Why in the world would that kind of business deserve to get bailed out? The answer, they don't.

It's too bad people would lose their jobs. I feel great compassion for those individuals. But this is business, not charity. Do we keep bad businesses around based on charity? And don't give me that "blow to the economy" "we can't afford that" crap. We can't afford to keep crap companies like this around, that is what we can't afford.

Let them die, then somebody smarter and better will buy their assets and make better cars.

[The_Monkey]

I still haven't heard anyone give a reason other than charity or welfare. That is what bailing out the automakers is, it is welfare.

Can't anyone give an actual business related reason to bail them out? Something like, "they have excellent designs ready for future production, they have the best technology for more environmentally safer cars, they have a plan on how to reduce the costs of producing their cars, they are only having cash flow problems, their business model is sound...etc."

I haven't heard it cause it isn't true. And THAT is why they should go under. Hell, they've been dead in the water for years now. Their friggin cars are horrible (other than the engines). Designs? Bad. Style? Bad. Average cost to produce a car? Sky high. Why in the world would that kind of business deserve to get bailed out? The answer, they don't.

It's too bad people would lose their jobs. I feel great compassion for those individuals. But this is business, not charity. Do we keep bad businesses around based on charity? And don't give me that "blow to the economy" "we can't afford that" crap. We can't afford to keep crap companies like this around, that is what we can't afford.

Let them die, then somebody smarter and better will buy their assets and make better cars.

Actually they have good cars, that sell, right now... just not in the US... but plans are to bring them to the US. They also have plans on how to reduce production costs by migrating to global platforms, in fact it's already begun. Their recent negotiations with the UAW will also save them a metric-sh*t-ton of money as soon as those contracts take affect... people will defend the UAW and say that they aren't hurting the big 3, I'm pretty sure being forced to pay $20+ an hour more than Toyota doesn't help, neither does being burdened with billions in pension costs that other manufacturers just don't have.

In the last few years they've made a lot of moves in the right direction. You don't need to be an industry insider or anything, you've just got to pay attention to what they're actually doing.

As for someone buying up GM... Who? Who's going to buy GM? Any capital investment firm is going to look at the clusterf**k that is Chrysler and stay the hell away. None of the other automakers currently in the US or European markets would gain a damn thing from buying them. The only people who might be even be the least bit interested would be the Chinese, but they sure as hell aren't going to keep production in the US, it'll be the same thing they did with MG and Rover in Britain, buy it for the name only or move production to China.