When one gives money to someone in trouble, it is a good idea to see just why they are in trouble. Giving financial support to someone who is still engaged in self-destructive behavior is a frustrating waste of time and money.
Many of us have experience with this on a personal level. We are now getting a chance to see this being done at a national level with the auto industry bailout requests.
The big three American automakers have become uncompetitive. There is some evidence to the effect that government supported union activity helped bring about this state of affairs. There is also some evidence to support the fact that the products from the big three are just not good enogh to compete in today's marketplace.
At The Truth About Cars, TTAC has published the results of a poll that identify the ten worst autos of 2008. This is no Consumers Reports scientific fact finding, this contains graphic descriptions of features that would doom almost any product line, even if there were not competition.
HUMMER H2 - I secretly like the H2. It fits with my theory that all SUVs need to look like Patton could’ve used ‘em to invade Sicily. Problem is, the poster child for “Drill Baby, Drill!” is anything but. It’s a Chevy Tahoe in a fat suit.
Read the article and see if you agree. If you think the article was hard on automakers, wait until you read the comments. (Put down your coffee first.)
It seems as if there is a rising tide of resentment toward companies which have defied consumer choice and are now seeking help after years of mismanagement. See an example after the jump.
Balls on David. The whole thing makes me want to puke. The big banks are still handing out massive bonuses using our tax dollars!
PS: I don't think Ford took any money though, makes me want to go buy one.
Posted by: Mike Brown | Dec 20, 2008 at 01:19 PM
Chrysler and GM were not having any trouble selling product as recently as 2006, so I absolutely don't buy the argument that their current crisis is due largely to mismanagement. It's true that they were too heavily invested in larger vehicles at the worst possible time. But prior to Hurricane Katrina, fuel prices were very low, and SUV sales were very, very high. I say, buy them some time, and give them a chance to set a new direction. None of us will benefit from reduced competition in the market. At least car companies MAKE THINGS, in contrast to banks, who produce paperwork. If we become just a nation banks and service companies, we're screwed.
Sean
Posted by: Sean Pecor | Dec 27, 2008 at 11:25 AM