Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Even after this cull GM will still have around 4200 dealerships with a market share of ~18% of the market. To compare Toyota has about 1200 dealerships with a market share of 16% of the market. They need to kill several thousand more dealerships in order to further cut costs plus this will mean the surviving dealerships can be much larger, more profitable, and afford much larger advertising expenditures.
Even after this cull GM will still have around 4200 dealerships with a market share of ~18% of the market. To compare Toyota has about 1200 dealerships with a market share of 16% of the market. They need to kill several thousand more dealerships in order to further cut costs plus this will mean the surviving dealerships can be much larger, more profitable, and afford much larger advertising expenditures.
Say's who ! if you don't have the official franchise fee to pay for each month,you can still stay in business doing repairs to the auto's but you are not bound by contract to purchase parts from GM so you can buy the " quality after market supplyer's parts, theirby charging less . So tell me how does the manufacturer make more "PROFIT"??? Sounds good talking untill you put it on paper. That's when you say WOOOOPS!!!! let's re-think all this . And after seeing the loality GM has for all those Dealers they arer cutting out . What business man or women would expand their business on a contract that the "GOVERNMENT let's them (GM and Chrysler) disolve at a blink of an eye ?? I don't know of any and i wa sin the business for over 34 years.
How much can/will the American citizens take before they revolt?
Problem is that many Americans (dare I say most, given the 50%+ that elected Obama) are ignorant (in the dictionary sense) and lack the understanding of the issues at hand. Politicians hand them sound bites about "change" and promise them free stuff, and they hop on the bandwagon. Most Americans don't understand the actual causes and effects at work, and they only spew back the spin they've been handed by the media, and we know where the media stand on most issues.
I've already listed, several pages back, ways in which the dealer network is subsidized by the auto makers. I do not wish to repeat posts which have already been made so please read the thread before running your mouth so.
The government SEIZED fannie and freddie in 2008. Their day to day operations are ran by government bureaucrats and the government owns79.9% of their stock
Government Seizes Fannie Mae, Freddie Mac - FOXBusiness.com (http://www.foxbusiness.com/story/markets/government-seied-fannie-mae-freddie-mac/ - broken link)
You got any more lies and false accusations up your sleeve?
AIG received an $85B line of credit, the government received warrants for 79.9% ownership until AIG can facilitate the sale of its assets, a warrant is not ownership or control, it only limited the dividends that the company were allowed to payout, but that wont stop you from pretending that it is. In addition, not ONE conservative supported that move.
Fannie and Freddie have been turned over to the FHFA, FHFA is not the federal government, and you will not find one conservative that would even support that these government sponsored companies even be in existance.
IndyMac Bank was not owned by the government, it was turned over to the FDIC to protect the individuals who had money in the bank. The FDIC is not government owned, it is an insurance organization financed by the banks.
The very same ones who ciriticize obama for taking control over GM will be the very same ones that opposed AIG obtaining this line of credit. Remember your argument, that people supported Bush but opposed Obamas "buying of equity"? I'm still waiting for you to find one.
AIG received an $85B line of credit, the government received warrants for 79.9% ownership until AIG can facilitate the sale of its assets, a warrant is not ownership or control, it only limited the dividends that the company were allowed to payout, but that wont stop you from pretending that it is. In addition, not ONE conservative supported that move.
Fannie and Freddie have been turned over to the FHFA, FHFA is not the federal government, and you will not find one conservative that would even support that these government sponsored companies even be in existance.
IndyMac Bank was not owned by the government, it was turned over to the FDIC to protect the individuals who had money in the bank. The FDIC is not government owned, it is an insurance organization financed by the banks.
The very same ones who ciriticize obama for taking control over GM will be the very same ones that opposed AIG obtaining this line of credit. Remember your argument, that people supported Bush but opposed Obamas "buying of equity"? I'm still waiting for you to find one.
The government owns AIG and FHFA is a government agency. End of story.
All you have to do is go back to September and see how all the right wingers here danced to the tune of Bush sackpipes and supported his bailout and nationalization spree. They'd watch TV and then come here to repeat his words about how the sky was falling and we would have martial law on the streets unless they got what they wanted. You are foolish to even ask me to list names of posters who supported Bush nationalization spree and now oppose Obama for doing exactly the same.
Location: Jonquil City (aka Smyrna) Georgia- by Atlanta
16,259 posts, read 24,752,651 times
Reputation: 3587
The fact is that the domestic car industry is dead for all pratical purposes. Like many big businesses before them, they were not able to change and adjust to market forces and competition. Maybe they can start over as something else- using another business model or they can be sold off in pieces. I would love to buy the Chevrolet name plate and start my own domestic brand, Chevy Motorworks or something where we would build really great good looking cars and trucks that are safe, fuel efficient and good quality cars with 6 year 100,000 mile full warranties. I can tell you that my car company would be profitable and would keep up with changes in taste and demand. And yes, while we would make good fuel efficient family cars, we would also continue to make the Corvette and Camaro as long as people want them.
The government owns AIG and FHFA is a government agency. End of story.
All you have to do is go back to September and see how all the right wingers here danced to the tune of Bush sackpipes and supported his bailout and nationalization spree. They'd watch TV and then come here to repeat his words about how the sky was falling and we would have martial law on the streets unless they got what they wanted.
I note how you didnt include FDIC into that list, and completely ignored the fact that a warrant isnt ownership. Just keep ignoring facts, and the pretend that conservatives have switched their views.
Quote:
Originally Posted by Finn_Jarber
You are foolish to even ask me to list names of posters who supported Bush nationalization spree and now oppose Obama for doing exactly the same.
You made the claim, now your not willing to back it up?
AGAIN, CONSERVATIVES did not support the AIG "Bailout". The only people that have switched sides on the bailout issue is people who opposed the Bush bailouts and now support the Obamas. No one supported the Bush bailout and oppose the Obama ones on the fact that they are the same, they arent the same. A loan is NOT ownership.. keep ignoring these fact
The fact is that the domestic car industry is dead for all pratical purposes. Like many big businesses before them, they were not able to change and adjust to market forces and competition. Maybe they can start over as something else- using another business model or they can be sold off in pieces. I would love to buy the Chevrolet name plate and start my own domestic brand, Chevy Motorworks or something where we would build really great good looking cars and trucks that are safe, fuel efficient and good quality cars with 6 year 100,000 mile full warranties. I can tell you that my car company would be profitable and would keep up with changes in taste and demand. And yes, while we would make good fuel efficient family cars, we would also continue to make the Corvette and Camaro as long as people want them.
I agree with you completely. You do realize however though that when the government begins to fiddle with private industry things like the Corvette and Camaro will have to go the way of the dinosaur? We will have no more muscle cars only fuel efficient hybrids. There will be no more SUVs, no more trucks. If you do need a truck you will have to pay a tax for driving a gas hog and you will pay dearly.
This is the price you pay when you ask the government to do what it thinks is best for you.
I note how you didnt include FDIC into that list, and completely ignored the fact that a warrant isnt ownership. Just keep ignoring facts, and the pretend that conservatives have switched their views.
You made the claim, now your not willing to back it up?
AGAIN, CONSERVATIVES did not suppor the AIG "Bailout".. keep ignoring this fact
You like repetition, don't you.
Conservetives right here on this board supported the nationalization spree, including AIG and freddie / fannie seizures, and now they pretend they have always been against them. End of story.
FDIC is nothing but a government ran corporation. Sorry.
Right now you are still defending the overnment seizures by trying to twist the facts and pretending they were not seized, while they were.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
