OK so now that what we used to know as General Motors no longer exists and is now know as “Government Motors.”
I found a video of what some of these cars will look like when they have met all of Barack Obama’s technical specifications.
Click on this link:
There has been some concern about the build quality and the cost of labor to assemble automobiles. One if the first things that Government Motors will do is duplicate the IKEA business model. Government Motors will offer an economic and efficient “Kit Car” that will save everyone a lot of money however, it will save no time at all in any way, shape or form. This “Kit Car” will come in several containers both big and small with complete easy to read assembly instructions. In accordance with Federal Law the “Kit Car” will come with tools to assist in the assembly of the automobile. These tools will include two screwdrivers (Philips and flat blade), an adjustable “C” wrench, a small hammer and pair of channel locks. Additional specialty tools required to assemble the car are available starting at $99.00 each at KitCarSpecieltyTool.gov. Barack Obama’s Kit car will save you money and really piss off the UAW, but oh well such is life.
Here is what is included in the “Kit Car” package starting at $9995.00 (European Model) and $39,000.00 (USA Cap and Trade exhaust emission certified version.)
Just what America wanted and needed.
Some years back General Motors, Chrysler and to some degree Ford manufactured the worst automobiles ever made in the United States.
There were many reasons for the bad quality that I do not need to rehash here. Suffice to say that the reasons were primarily the manufacturing techniques and the quality of the union mentality that the employees applied to the manufacturing of the car. But thanks to the pressures of higher quality Asian and German automobiles the big three American manufactures dramatically increased the quality of the cars they built, but fell far short in amenities and what the American car buyers really wanted.
So here are the questions and then a statement.
1. Would you buy a car from a company like Government Motors or Chrysler (Ford did not take TARP money and will survive quite well.) that has a real good chance of not existing in 5 years or less?
2. Would you buy a car that is not as safe due to paring down of materials to make cars lighter and more fuel efficient?
3. Would you buy a car that from a company that is owned and operated buy the government that is manned by really unhappy union workers that had to take a lot of cuts to keep their jobs?
It is reported today that The Obama administration will give GMAC another 7.5 billion dollars effectively giving the Treasury a 35.4% holding of the common equity of GMAC.
The Federal Government now owns approximately 50% of General Motors.
How is Government Motors ever going to be profitable enough to payback all the debit and become a free enterprise corporation again. Simple they will never be able to do that. Again Government Motors will not make cars that people want because the Obama Administration now dictates the specifications for car model built. Other manufacturers will still make less fuel efficient safer cars but The Obama Administration will tax those vehicles with vigor making them undesireable to the middle class what is left of it.
So what is my point? I do not believe that GM will ever be a big player in at least the US Market…. unless, unless the cars are built overseas with much lower labor costs. Then they will be profitable as Government Motors will be competing in a world market just like Toyota, Honda, Mitsubishi etc.
I think the Chrysler name along with all of it’s subsidiaries will go away. Here is why I think that. The Chrysler name does not have any credibility as Daimler-Benz found out the hard way. Even with some infusion of great German engineering, Daimler-Benz could not make Chrysler profitable. I imagine the Chrysler brand names will go away and maybe the car line will be called FIAT (Fix It Again Tony) or FIAT may come up with a whole new brand name and never seen before car lines. That is a possibility.
Have you noticed that Ford did not take any TARP money, did not allow the Obama Administration to run Ford Motor Company and they do not have any problems. It is true that Ford did a much much better job developing energy saving cars along with the SUVs that Ford eventually cut back on.
In the end there will be only one true American car company and they will be Ford. I’m eating crow now because in the past I have always been a Chevy man. But for me for the rest of my life it will always be a Honda or a Toyota as they have both been just flawless compared to the Chevys that I have owned in the past.