long_on_oil

Friday Options Update: C, GM, F, GE, CHK, AEM

Honda and Toyota succeeded based on one word... Quality...quality quality. Deming, the American quality genius, is the person that single handedly gave the Japanese car companies the edge over the Big 3, the rest is history.
You can call it mismanagement, poor design or whatever you want but the bottom line was the quality of the product. One thing is for sure the foreign cars did not have the looks of the American made but they did have better quality and as a result the owners did not have to spend valuable time at dealerships waiting for their cars to be repaired.

Friday Options Update: C, GM, F, GE, CHK, AEM

You have some good ideas but overall your suggestions would lead to bankruptcy. Toyota and Honda would eat GM's lunch if they implemented your plan of reducing models and cutting advertising and dealerships.
What about pickup trucks? Country boys demand their Chevy and Ford trucks.
It is clear by watching the hearings that it is the management of these companies that needs to be overhauled. With the exception of Ford, I wouldn't hire any of them to run a hot dog stand, let alone a car company.
The failure of any company is always tied to the management of the company and these companies are doomed without replacing the management.
I was impressed with the head of Ford, other than him, fire the rest.
You can blame the Unions but it was management that gave into their demands. The Unions are like a spoiled child, they cry and pout until they get their way. I would be like Reagan, present the Unions with a decent contract that will insure the survival of the company and if they refused it, fire them all or relocate the plant.
So my solution is:
1. Replace management
2. Make a product that customers demand including quality and style.
3. Take care of the employees without giving them a contract that will make the company non competitive.