NationStates Jolt Archive

Ford Motor Company has managed to lose 1.6 billion dollars so far this year, and is poised to lose more.


Its easy to be the #1 and #2 automaker if you're willing lose a lot of money, but not for long.


What are opinions on the future of GM and Ford?

Will the cars ever overcome their reputations for poor quality? Poor aesthetic design? Will they ever become fuel efficient?

Will "american car" come to mean a toyota built in the US?

Ford and GM have grown complacent in terms of their [now former] market dominance, so they no longer strive to be innovative and stay one step ahead of the competition.

Well thats what happens when you make shitty cars whose efficiency averages about 20 MPG.

I really prefer European cars, or Japanese ones

at least they dont make you stop every 30km to re-fuel

Given that a sizeable chunk of Hondas and Toyotas are indeed built in the US, and many Fords and GMs are built in Mexico....

Ford has the oldest lineup of vehicles of any automaker. It's most recent redesign or new model was 2003, and it's oldest is 1998. American automakers have coasted far too long on the SUV/pickup market and have had their genitals handed to them by everyone from Acura to Kia with regard to styling, fuel economy, reliability and damn near everything else. They drastically cut prices a year ago with the whole "Employee Discount" crap that meant you were a complete moron if you didn't buy a car then because prices were only going to go up.

And don't get me started with the Chevy ads which claim "we have 9 models that get 30 or better mpg!" Yeah, on LONG FREEWAY TRIPS, and their best model gets 35 TOPS (Aveo).

It's the American obsession with horsepower, size and other ridiculous automotive crap that sets my teeth on edge. It's transportation, not a personal statement -- not with gas over $3 a gallon. Get over yourself and get out of the Hummer, assholes.

Aren't all US car-makers owned by companies from other countries anyway?

It's looking possible that Renault/Nissan might buy a substantial share of GM.

The man in charge of them is known for completely turning round their fortunes, and for not being afraid of cutting off swathes of beuracracy.

Living in Michigan I read this stuff on the front page of the newspapers every day. I almost wish they'd just go ahead and get bought by Toyota or Honda so they can start making a profit and stop dragging Michigan's economy down the shitter with them.

Aren't all US car-makers owned by companies from other countries anyway?
I think only Chrysler at the moment. There's interest in Ford.

I don't know what Ford is doing wrong in America; the models it sells in Europe are fantastic, and all are class leaders. Not to mention all the great cars it's producing through its other companies like Land Rover, Aston Martin and Jaguar.

I think only Chrysler at the moment. There's interest in Ford.

Well, Chrysler is officially a partner with Daimler-Benz, but yea in reality it was more or less a takeover by Daimler.

Will "american car" come to mean a toyota built in the US?
Probably the best way.

I mean, think about it. Superior product in terms of quality, styling, efficiency, economy and so on, and assembled by US workers. It's a win-win.

And one of the defining characteristics of a properly-functioning competitive market is that some companies fail.

Aren't all US car-makers owned by companies from other countries anyway?
All of the ones buildingcrs in America are.

Will "american car" come to mean a toyota built in the US?

i thought that they decided that was too expensive because the workforce down south was functionally illiterate and healthcare costs too much

I don't know what Ford is doing wrong in America; the models it sells in Europe are fantastic, and all are class leaders. Not to mention all the great cars it's producing through its other companies like Land Rover, Aston Martin and Jaguar.
That's because it is mostly producing saloon cars to European specs. It's a whole different product range. What American man would be seen dead in a Fiesta?

Well, Chrysler is officially a partner with Daimler-Benz, but yea in reality it was more or less a takeover by Daimler.
Initially it was a partnership, but as Chrysler kept digging itself into the ground Daimler-Benz had to take control or be dragged along with it.

Superior product in terms of quality, styling, efficiency, economy and so on

those things are all downright unamerican

With the way things are going, Toyota and Honda will be the largest American automakers before long.
Although I don't think it's sales alone that are driving GM and Ford down. I know GM for certain, if they stripped away to just GMC, Chevy, and Saturn they would have nothing but high-selling brands.
Ford's problem with sales is people waited for gas prices to go out of control before they started conserving gas like they should have been all along, and Ford makes very few cars that have both high mileage and high quality.
As for both of them, their choice to go union certainly didn't help. According to unions the best thing for jobs is to become a huge enough financial burden to drive a company out of business so it can't afford to be around to give people jobs.

My last car was a Mercury Sable; I liked it and all up until it started playing silly buggers with me and breaking down every week.

My shiny new car is a Hyundai Sonata. For the price, and with a 10 yr powertrain and upgraded to 10 yr bumper to bumper warranty, how can I lose?

It's comfy, it's got plenty of power, it's a six and has better mileage than my last car.

Wish it came hybridized, but oh well.

http://photos1.blogger.com/hello/299/5329/400/drivers%20side%202.jpg

GM and Ford will bounce back sooner or later. They need to cut back on SUV production and focus on more fuel efficient vehicles.

I own a BMW X3 3.0i. It's a great little SUV that isn't too expensive. Plus the warranty is pretty good and it hasn't broken down like my previous American car.

I liked it and all up until it started playing silly buggers with me and breaking down every week.
You have been hanging around Brits too long... :eek:

You have been hanging around Brits too long... :eek:


;) Is there such a thing?

GM and Ford need to revitalize their R&D, cut down on labor and benefit costs, and consolidate their product lines if they want to get back in the game. They've been pushing product lines that consist of too many badge-engineered, unattractive and average quality vehicles with poor mileage. Although the quality issues are generally a thing of the past, GM and Ford need to overcome their negative image if they want to revitalize sales.

Also, they need to put cash in to improving the mileage of their SUVs because they are the most profitable segment of GM/Ford and yet are the most vulnerable to rising gas prices. Making SUVs with poor mileage was and continues to be self-defeating; during the 90's, these companies made a fortune on SUVs due to cheap gas, but it was those same SUVs who had a role in driving up the price of gas and reducing demand for them. If GM/Ford could boost mileage to 30-40 MPG for an Explorer/Tahoe and into the 25-30 range for larger ones like the Suburban or Expedition these companies would make a fortune, regain huge market share, and generate massive profits to bolster their stock prices.

In a further twist of irony, Toyota and the other Asian automakers are the American cars. Many of the cars made by GM and Ford don't have enough US parts content to qualify as domestic automobiles; when you buy a vehicle from these companies it's almost a given that a good chunk of its parts come either from Canada, Mexico, or China. The only reason Ford and GM will go bankrupt is if they fail to cut costs and provide the products desired by their consumers; it's no one's fault but their own that they are in their current mess.