Re: Automotive News

Posted by PackardV8 On 2009/9/25 17:33:56

i think everyone will agree with BH's last paragragh and Owens statement of their "real challenge".

Historically, Gm,F and C were domestic automakers competing in the same environment. I see a big split coming in their mode of operation.

OWens comment about "real challenge" WILL apply primarily to F as F will remain a mostly domestic auto maker in a resemblance of traditioanal car companies, or at least will as compared to GM and C.

Gm will become something more like a holding company or middle man or contracting firm that will contract out the manufacturing to international production as well as marketing and sales. THis is something that Massey-Ferguson did during the late 80's and 90's and still does today.
For example, GM may design and prototype a particular model domestically but contract to any number of I'national manufaturers such as Isuzu or Subaru or ANY other company to produce the units. Much in the same way that Sears or Walmart contracts for merchandise or appliances to say Whirlpool or maytag or Amana.

Chrysler will look more like a Massey Ferguson company that is footballed around thru a variety of VC's or other business conglomerates.


All in all it has been a union or labour breaking strategy over the last 30 years and all 3hree of the companies (GM,Fand C) have succeeded very well at doing that.