Are the Automakers Silencing Ad Supported Media Criticism?

Automakers have always been some of the biggest marketers around. Obviously this year it’s a bit different: it’s hard to blow billions on advertising when you head to Washington - and corporate jets, mind you - and ask for a $25B bailout ("it’s a loan”). Now they’re emailing clients and getting them to do their bidding.

But this begs the question: if the media did not historically rely on the billions in advertising dollars that carmakers generally spend, would they be more harsh? I don’t know. But it’s a good question to ask.

In fact, I think they are hoping that their billions in ad spend will at least silence the critics. I would imagine “thought leaders” to come out against this, with guns blazing, but the tone from writers and journalists is actually quite calm or non-existent, it seems that it’s the unexpected who are doling out the criticism. For example, former Republican presidential candidate Mitt Romney (whose father was a politician in Michigan!) came out against any bailout. Bye-bye Michigan’s electoral votes, by the way, come 2012. But the truth is I respect him more for it: the bailout is a bad idea much like the financial bailout was a bad idea.

Meanwhile, we pause for this announcement from our sponsors:

This message has been brought to you by the Socialist States of America, bailing out one industry at a time.

Comments

[Mister Jimmy:]

Your opinion is worthy of the ash can, Ashkan.

2008 Nov 24 04:20 PM

[PeteK:]

Mr. Karbasfrooshan,
You are talking the true and realistic situation of the automakers.
There are just no way any unconditional bailout will do any good.
Politicians know that. Taxpayers know that.
The sooner to go for chapter 11 the better.

2008 Nov 24 05:01 PM

[hatterasman:]

The same Senators that are showboating this question are flying around in government paid jets. How many trillions in debt is the U.S.? Good for the Goose is good for the Gander? No one likes a hypocit. I've never sat next to a Senator on a plane. But, they're holier than thou?

2008 Nov 24 05:16 PM

[Mister Jimmy:]

Allears, have you considered the true cost to the economy of such Chapter 11 filings? It would be an astronomical and would include billions in Federal unemployment benefits, Medicaid supplements, lost property taxes to local communities, etc, etc, Limited and conditional Federal aid, based on a solid and achievable plan, will be far less costly to the taxpayer in the long run.

2008 Nov 24 06:59 PM

[CarDealer123:]

I don't think any manager at any company has a problem with accurate reporting and professional journalism, but when your company has been bashed repeatedly by pseudo-journalists jumping on the bandwagon and spreading mis-information and lies about your company, you can only ignore it for so long. The problem has gotten so bad of late that these companies - the detroit 3, have to stand up use what power they have to put a stop to it. Its one thing to report the news and another to spread rumours. Here's a quote from one of the big three news anchors - "GM has ignored the market, built gas guzzlers that nobody wants and hasn't invested in new fuel saving technology" - Nothing could be further from the truth. Just how do you get to be the worlds largest automaker building vehciles nobody wants - in 2007 some 9.4 million "nobodies" bought GM vehicles. Concerning investments in fuel saving technologies - GM spends more in research and development of fuewl saving technology than any other manufacturer world wide - bar none. As for gas guzzler's - GM and Ford and to a much lesser degree Chysler Dodge are the ONLY full line manufacturers. The only ones who build commercial trucks in the 3/4 and 1 Ton range - these vehicles contribute to the overall average corporate fuel economy. Obviously if you are Honda, who doesn't build anything that's considered a truck by cafe standards you will have the highest CAFE numbers.

So if the reporting is fair and the truth is told you won't hear any of the detroit 3 complaining or pulling their ad dollars - it is you pseudo-journalists who spread the lies and untruths that do harm to this country and it's economy. If you want to know where all the money is that GM has earned - The GM pension fund has asset values in the range of 100 BILLION dollars.

2008 Nov 25 10:19 AM