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Automakers: Only the Best and the Strongest

Posted July 23 2008 06:54 AM by staff 
Filed under: Opinion


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Natualist Charles Darwin had it right about the theory of evolution



But it is not just for the animal species; it's for businesses, too. If you need proof, just look at the American auto industry. Pundits speculate that one, two, or all three of the Detroit Three -- General Motors, Ford, and Chrysler -- could soon be seeking bankruptcy. But the auto companies are denying it.

Pundits don’t expect that all three will go bankrupt at the same time. First, all the companies are said to have strong assets. Second, there is the federal government that will not allow an American auto company to simply go under. (Uh, huh.) Finallly, and most realistically, there are enough other auto companies in the world market who will find it lucrative to buy the American company that is in or on the verge of bankruptcy.


That doesn’t mean that the Big Three shouldn’t change. Ford can still sell Volvo and Mercury may be seeing its last days. Pundits are also saying that GM has too many brands and may need to shave some away.

Our take? No matter who survives, we expect them to be leaner and meaner. This story is far from over.




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