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Old 03-30-2019, 12:14 PM
 
Location: Silicon Valley
5,306 posts, read 2,351,639 times
Reputation: 8554

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Even if it were true as represented, it's a drop in the bucket. Back when GM first made a billion dollars in a year, they employed 1.2M workers. When Google first did it, they were around 30,000.



Auto is the top of the food chain in manufacturing. The giant supply chain they hold up and in the US is staggering. I truly hope they are profitable and continue to be profitable. We need the domestics to be profitable.



Consider this. If this country stopped importing oil and everyone purchased domestic cars, it would be enough to even the trade deficit. If the return of supply chain components was enough to bring other industries back (think display screens yielding a return of monitor/tv production) this country could return to its golden age.
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Old 03-30-2019, 12:33 PM
 
2,879 posts, read 1,306,826 times
Reputation: 5397
Quote:
Originally Posted by artillery77 View Post
Even if it were true as represented, it's a drop in the bucket. Back when GM first made a billion dollars in a year, they employed 1.2M workers. When Google first did it, they were around 30,000.



Auto is the top of the food chain in manufacturing. The giant supply chain they hold up and in the US is staggering. I truly hope they are profitable and continue to be profitable. We need the domestics to be profitable.



Consider this. If this country stopped importing oil and everyone purchased domestic cars, it would be enough to even the trade deficit. If the return of supply chain components was enough to bring other industries back (think display screens yielding a return of monitor/tv production) this country could return to its golden age.
Why would I buy a car from a company that doesn't make a vehicle I am interested in?

We won't stop importing oil, but we may export as much or more than we import. The imported oil is necessary for refineries that are optimized for the heavier crudes that come in from overseas. Contrary to popular belief, oil is not interchangeable. A refinery that's optimized for heavy crude doesn't do well with the light crudes the US produces these days.
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Old 03-30-2019, 12:33 PM
 
Location: NYC
17,537 posts, read 11,166,010 times
Reputation: 20984
GM is in so much debit, that a billion is nothing in terms of their pension requirements. They are like a state government, they've got so much liabilities that when the recession hits they were the 1st to go belly up when income drops.

During the recession how come Toyota, Honda did not go belly up?

The problem with today's economy is that companies are too leveraged and way too much outstanding liabilities that were deferred. Any ripple in the economy will require a bailout just to pay their bills.
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Old 03-30-2019, 12:48 PM
 
Location: Silicon Valley
5,306 posts, read 2,351,639 times
Reputation: 8554
Quote:
Originally Posted by WRM20 View Post
Why would I buy a car from a company that doesn't make a vehicle I am interested in?

Are you an American that believes in supporting America? We've got more than just GM.


Assembling a bunch of Japanese/German parts in the US is hardly a replacement.
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Old 03-30-2019, 01:41 PM
 
Location: Aurora Denveralis
8,717 posts, read 4,077,880 times
Reputation: 13397
Quote:
Originally Posted by lollydoodoo View Post
GM has a right to make money.
Sure. So do the small circle of wealthy investors that already have buckets of the stuff - and that's who owns most of the IPO.

https://www.nytimes.com/interactive/.../lyft-ipo.html
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Old 03-30-2019, 01:56 PM
 
28,703 posts, read 42,084,263 times
Reputation: 37525
Quote:
Originally Posted by easy62 View Post
But if it were Tesla everyone would be congratulating them but since it’s GM then let’s boohoo them.

Hoo boy.
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Old 03-30-2019, 02:19 PM
 
Location: Metro Detroit Michigan
5,737 posts, read 2,103,544 times
Reputation: 4919
Quote:
Originally Posted by vision33r View Post
GM is in so much debit, that a billion is nothing in terms of their pension requirements. They are like a state government, they've got so much liabilities that when the recession hits they were the 1st to go belly up when income drops.

During the recession how come Toyota, Honda did not go belly up?

The problem with today's economy is that companies are too leveraged and way too much outstanding liabilities that were deferred. Any ripple in the economy will require a bailout just to pay their bills.
This is how Toyota stays out of trouble.

https://www.theoaklandpress.com/news...5136b9c28.html
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Old 03-30-2019, 02:21 PM
 
Location: Aurora Denveralis
8,717 posts, read 4,077,880 times
Reputation: 13397
Quote:
Originally Posted by Tek_Freek View Post
Hoo boy.
I dunno, I think he has a point. That's the problem with companies that become darlings, from Apple to Google to Tesla to Uber: they can do no wrong and their corporate doo-doo piles smell like roses.

GM stopped being any kind of darling a long time ago, except with the blue chip crowd, so it's no surprise they can do nothing right.
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Old 03-30-2019, 02:28 PM
 
6,410 posts, read 3,763,020 times
Reputation: 11780
Debt isn’t necessarily GMs problem it’s their cost structure... when the next recession hits they won’t be able to scale downward that much. Hence the exit from many plants and unproductive lines right now is wise. I’d suggest they can’t shrink their footprint fast enough.
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Old 03-30-2019, 02:40 PM
 
28,703 posts, read 42,084,263 times
Reputation: 37525
Quote:
Originally Posted by Quietude View Post
I dunno, I think he has a point. That's the problem with companies that become darlings, from Apple to Google to Tesla to Uber: they can do no wrong and their corporate doo-doo piles smell like roses.

GM stopped being any kind of darling a long time ago, except with the blue chip crowd, so it's no surprise they can do nothing right.
And there is a large group that bash Tesla no matter what they do. They want them to fail so they can be proven correct. What a lousy attitude.
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