Why GM could have succeeded if it really wanted to, and why it should fail.

There are past successes at GM.  The relative success of GM’s Europe and Asian subsidiaries shows that.  One such article from three years ago shows that GM, given the correct direction, can indeed make small efficient vehicles that people want to buy.
http://www.iht.com/articles/2005/08/08/business/van.php
Unfortunately, it chose to continue researching, developing, producing, and selling behemoth guzzlers that no […]

More on Size vs. Profitability. How GM may be BIG but profit-less.

http://www.thetruthaboutcars.com/gm-is-a-joke/
Fantastic.  Even small companies are taking potshots at GM’s profitability.  Avon’s market capitalization is greater than GM’s now.  Even Amway, if it were a public company, given corporate profits of $1B and a 8x P:E ratio, would also be worth more than GM. 
GM is on the ropes, and it’s rapidly falling market value as a […]

Will a GM bailout involve Chinese dollars?

GM has now become a near-penny stock.  GM’s business model is broken, and it could be argued that the unions were overly successful in sucking all the blood out of its employer, GM.  The secret to every good parasite is that you’re not supposed to kill your very kind host!!!  Not much point being Tommy […]

The bankruptcy of GM discussed, three years ago in BusinessWeek.

The internet is amazing.  Look at what we found online today!  An article from the December 12, 2005 issue of BusinessWeek magazine.  It discusses the at-the-time unbelievable scenario of a Chapter 11 filing from GM (GM).  Well, here we are in late 2008 and that day has come.  The article is timely for a re-run.
http://www.businessweek.com/magazine/content/05_50/b3963114.htm

GM and Ford selling off assets to raise cash. Good cash to throw after a bad core business.

http://edition.cnn.com/2008/BUSINESS/11/18/mazda.ford.sale/index.html?eref=edition_business
So Ford has sold off its ownership of Jaguar earlier this year, after owning it since 1987.  What a money pit–think of all the tens of Billions of dollars lost on that venture, the past two decades.  Ford’s investments in Mazda and Volvo have been more successful, but with its cash reserves quickly dwindling, Ford […]

Should the US automakers be allowed to go to zero?

Hot off the presses.  Taxpayers’ money being thrown after mis-managed, unsound businesses being run by idiot management.  ie, GM, Ford, and Chrysler.  Now?  The latest is a stalement in the US Congress:
http://www.google.com/hostednews/ap/article/
ALeqM5gfg3wahhWYeWNcAwtQuN9xWH0Z9QD94GU19G1
Making cars is a cut-throat business.  Profit margins are slim, and product lead-up times run into the years, so strategic decision-making is a necessity.  […]

Size isn’t everything. In fact, it’s irrelevant. GM. Big. Getting smaller. Going broke. And almost bankrupt.

By the way, Mr. IBOFB:
Further to my above comment that size is irrelevant, and my previous comment that the key metrics to look at are:   market share gains, profitability, and cash-flow.
Do keep in mind that for the calendar year-ending Dec31/2007, GM was still (by a narrow margin) the largest automaker in the WORLD!!!   Most units […]

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