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Old 10-02-2009, 10:16 AM
 
4,010 posts, read 8,926,101 times
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UAW is in Ford and it isn't having trouble. I place the blame on GM's failures on management.
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Old 10-02-2009, 10:50 AM
 
Location: East Lansing, MI
8,723 posts, read 7,930,882 times
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GM should have done a brand consolidation LONG before they started doing it. They had overlapping/competing models from different marques within the GM family for decades. This adds to overhead without really providing increased revenue. I mean, really, were they people that bought an Oldsmobile Alero that wouldn't have bought a Pontiac Grand Am, had the Grand Am been the only choice?

THAT is one of the major reasons why GM is struggling, IMO. Though, lumbollo makes a good point, GM's management made more mistakes than simply not consolidating/streamlining brands.
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Old 10-02-2009, 10:54 AM
 
Location: CLT native
4,280 posts, read 10,035,328 times
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I must spread the love around before being able to rep uber_bwnage again...
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Old 10-02-2009, 10:55 AM
 
Location: CLT native
4,280 posts, read 10,035,328 times
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Reminds me of a quote I read recently:

"Here's a company that doesn't like it's dealers, doesn't like its workers, doesn't like its customers, you people don't even like each other!"
-Ross Perot to the board in 1986 (before he was bought out)
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Old 10-02-2009, 11:15 AM
 
716 posts, read 1,358,010 times
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Quote:
Originally Posted by uber_bwnage View Post
The point is...
If GM was allowed to run its business, in the best interest of the business and not the best interest of the union, it would never have needed a bailout and would not be on the verge of failure.

The UAW ran GM into the ground. $40/hr wages for $10/hr work, Cadillac healthcare plans, big pension plans, etc...all because of union greed. Just look at the steel industry. The only purpose of bailouts and government intervention is to keep those voting union members happy. Bad move from a business perspective,great move from a political perspective. Go figure.

GM will fail. Its only a matter of time. Uncle Sam can't stop the bleeding forever, and when GM finally dies, it will be a perfect example of "how capitalism failed". Bizarro world is the new reality.

So thank you union folks...enjoy your new careers at McDonald's.

Well said
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Old 10-02-2009, 01:05 PM
 
4,010 posts, read 8,926,101 times
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The UAW isn't responsible for GM's failure as a car company. I remember reading this some time ago. Have a read about the history Chevy Vega.

Chevrolet Vega - Wikipedia, the free encyclopedia
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Old 10-02-2009, 07:41 PM
 
277 posts, read 580,033 times
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Quote:
Originally Posted by lumbollo View Post
The UAW isn't responsible for GM's failure as a car company. I remember reading this some time ago. Have a read about the history Chevy Vega.
Overall, GM mismanagement + UAW selfishness created a losing combination.

UAW most certainly didn't appreciate the Saturn concept. See link below for reference.


Paul Ingrassia: GM and the UAW Share the Blame for Saturn's Demise - WSJ.com
(http://http//online.wsj.com/article/SB10001424052748704471504574447122719252350.html?m od=googlenews_wsj - broken link)
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Old 10-03-2009, 07:45 AM
 
4,222 posts, read 6,711,313 times
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Why buy American crap when Japanese and Korean cars are still on the market?
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Old 10-03-2009, 09:07 AM
 
Location: East Lansing, MI
8,723 posts, read 7,930,882 times
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Uh, probably because not all American cars are crap?
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Old 10-03-2009, 09:18 AM
 
Location: livin' the good life
2,147 posts, read 3,660,180 times
Reputation: 1238
Quote:
Originally Posted by uber_bwnage View Post
The point is...
If GM was allowed to run its business, in the best interest of the business and not the best interest of the union, it would never have needed a bailout and would not be on the verge of failure.

The UAW ran GM into the ground. $40/hr wages for $10/hr work, Cadillac healthcare plans, big pension plans, etc...all because of union greed. Just look at the steel industry. The only purpose of bailouts and government intervention is to keep those voting union members happy. Bad move from a business perspective,great move from a political perspective. Go figure.

GM will fail. Its only a matter of time. Uncle Sam can't stop the bleeding forever, and when GM finally dies, it will be a perfect example of "how capitalism failed". Bizarro world is the new reality.

So thank you union folks...enjoy your new careers at McDonald's.
I also agree that GM should have not been bailed out. In the early 2000s almost 50 steel mills went bankrupt in the US. These companies shed their legacy costs(actually Pension Guarantee took over pensions) and many of the mills were purchased, consolidated and totally different business model. Less management, more realistic wages, controlled inventory...basically they don't produce steel unless their are orders, this keeps steel prices at a price that is profitable. The steel companies now are leaner and compete with the world market and export a good amount of steel. In the past the steel companies had up and down cycles. Their problem is they did not sock away enough money to get through the down cycles. The current business model allows them to succeed through up/down cycles. I do a great amount of business with these steel companies and they are great customers....they weren't good customers 10 yrs ago.
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