There is no conceivable scenario that promises a turnaround at GM.

[KlatooBNikto]

GM's business model is dead.With the fixed costs inherent at GM's bloated corporate structure, it needs enormous volumes of sales just to break even. Those sales are hard to come by when your products are not attractive to consumers.The only way you can get these uglyass cars out of their dealer lots is to give the buyer an enormous rebate.At those discounted prices, GM might as well go broke.This is essentially what is happening to GM.

[mike_c]

1. do you predict more corporate welfare to bail them out...?

Or will they be allowed to go bankrupt, shift the burden of corporate debts onto their workers ala UAL, and eek out a few more unprofitable years before they go belly up? Somehow, I suspect the latter, with the demise occurring in concert with MANY major U.S. corporations suffering the same fate-- too many to permit any sort of tax-payer funded bail out.

[benburch]

2. I predict their total collapse. Ford too.

The United Auto Workers are too dangerous to those in power.

[KlatooBNikto]

4. I think your prediction will be proven true. This will be the crowning

achievemnt of successive GM's worthless managements that have basically been asleep at the wheel and could not see the tsunami heading toward them.Unfortunately for all the loyal GM workers, they will bear a disproportionate share of the pain when Rick Waggoner, Bob Lutz and the rest of the incompetent gang will walk out with their pockets bulging with their ill-gotten gains.

[kaygore]

3. Why the hell didn't they listen???

My heart goes out to GM workers; however, GM's corporate management who are paid zillions of dollars for getting GM into this mess deserve to have every penny taken from them and put them in charge of wiping the floors at some prison.

Just because our illegal and corrupt government gave tax breaks for huge SUVs didn't mean that the American people wanted the gas guzzling monsters.

Why hasn't Detroit been the leader in high gas mileage cars? Why was my 1987 Toyota stolen from in front of the house but no one wants my brother's later model Taurus that sit there unlocked with the keys in it?

American cars rarely hold their value. They appeal to the penis and not to the pocketbook. I could go on and on about how Detroit keeps missing the boat.

I would love to buy American cars but I am too poor. I have to have a car that gets good gas mileage and will drive for a couple of 100 thousand miles without giving me any trouble.

This would be a good time for the American car manufacturers to put Americans first and demand universal health coverage. Then, they should take the $1500 that that would save them on each car (along with cutting executive's salaries by 75%) and put it into R&D and quality.

[screembloodymurder]

8. Because hydrogen is the answer and

hybrid is just a bridge technology. Too bad GM won't make it over that bridge. Idiots.

[KlatooBNikto]

10. That is such a stupid attitude.To give you a personal example, my

wife and I got rid of two gasoline powered cars two weeks ago and replaced them with one Lexus RX400h Hybrid.Not only did we save money on our investment, we have calculated that in city driving we get close to 45 miles per gallon.This is not a toy car by any means.It has a 265 HP engine and is capable of running on battery alone if the speed is kept below 35 MPH.

It is an exceptionally well designed car, a car that could not possibly have come from the blind management at GM or Ford. Toyota has such lead in Hybrid technology even those who wish to produce it have to buy compoenents and technical knowhow from Toyota.

One more sad episode in the total unraveling of our auto industry.

[kaygore]

12. I know it's a bridge

I also know that there are problems, but where is the leadership to solve the problems.

Companies like GM look ahead by quarters. Real leaders would tell the stock holders that short term pain would position the company for long term gain. But the CEOs and their lackeys only want to get their money and move on, leaving the mess.

I think that CEO compensation should first be lowered. But then it should be held in stock that can't be cashed in for many years AFTER the CEO leaves. Then his or her compensation will depend on how well the company fares over time from the decisions the CEO made.

Same with the board.

And, for that matter, to hell with cars. The country should stop the billions going to Iraq and invest in mass transit!

[Bluebear]

5. How about they default on all their pensions?

Some republican "activist judge" declares all their pension obligations null and void?

[patricia92243]

6. What scares me is that the whole USA economy is to the point "No Conceivab

Scenerio" that can turn us around.

We lost our slim chance when George became prez. I can't see a Democratic Prez being able to turn it around now.

GM is just the start. Very, very scared.

[KlatooBNikto]

7. You are right.Our corporations are going under one by one for various

reasons. Outsourcing all their jobs is their way to restore profitability.When that fails, wars will be the only option left.You can already see that.

[OrlandoGator]

9. Their business model was "sell ugly unreliable inefficient cars"...

I'm perplexed as to how it possibly could have failed.

[KlatooBNikto]

11. It falied because even the dumb American public woke up to find that

the Germans and Japanese could build cars better with long lasting value.You know, the last car I had was a Toyota Camry that never game a problem until I traded it in for my Hybrid which is one smooth car itself.

It runs so smooth even my kids are on the bandwagon trying to get the Prius.

How could our auto industry have been so dumb for so long?

[kaygore]

15. Because the CEOs care only for their short term gain

There is nothing that justifies the obscene compensation packages that company executives are getting. So, what we get are people who care only for their own gain and not for the long term health of the company or the country.

When I was younger, a doctor who was a friend of the family and a major health advocate in the community noted that he would not have been able to get into medical school at that time because he hadn't been a very good student and he didn't test well. However, the doctors coming out, by and large, could not relate to patients and their problems and were often in the profession for the money and not for the passion of helping people.

This doctor was a recognized master of his profession. That he said that really got my attention.

That's what's happening now with CEOs and other high level executives. They have gone into the field for the money and not for the passion of making the best products and of changing the world for the better with the products that they make.

And we reward them with obscene salaries and all kinds of perks for this!

We would be better off paying less and giving fewer perks and getting people in the job who have a passion for the company and the products!

[KlatooBNikto]

17. Do you realize that Toyota's CEO who runs the most successful car

company in the world, gets paid less than GM or Ford's CEOs? and the differential between his salary and those of his workers is also not as large as at GM/Ford?What does that tell you?

[kaygore]

19. My point exactly

Thank you!

[sarcasmo]

13. GM will do just as United is doing the Pension will be gone.

[KlatooBNikto]

14. At the same time, people at GM will have their health insurance severely

cut back.With all the concessions, GM will still go broke because it simply does not know how to make a good quality automobile that people want.And it does not know how to compete in the marketplace except when it had a monopoly.

GM is dead.Let us hope somebody picks it up at ten cents on the dollar and gets to work making good quality American cars.

[kaygore]

16. Bet they don't cut CEO or executive pay or perks

[ThoughtCriminal]

18. They just need more bonuses for Sr. Execs!

Yeah, that'll fix it :sarcasm:!
:nopity: