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Old 11-15-2008, 12:07 PM
wingkey1 wingkey1 is offline
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Not sure --- Maybe the US Auto Industry?

Just where this might fit, but "ole guy" Mr. T. suggests perhaps it has a place and being the obedient soul that we are/is, the following is a "cut and paste" from the Sprint Cup Forum:

*****************************
Here goes:

Watched many things occur in the competition for my $$ in the automotive industry over the years. Some/many caught the eye and spurred the comment/observation of the wider audience - things like the fuel mileage thing, the negative aspects of worker organization, etc.



Two (three actually) things noticed here early on in the "off shore" incursion:

Competition
GM = Chevrolet, Oldsmobile, Pontiac, Cadillac, Buick, GMC, etc.

Chrysler = Chrysler, Dodge, Plymouth, etc.

Ford = Ford, Mercury, Edsel, etc.

Honda = Honda

Toyota = Toyota

Within the "on shore" mess, each brand had it's competing model, and they were all in competition not only internally for the same marketshare, but against the other of the "Big Blind Three".

Recipe for disaster.

Built to order

The Big Blind Three - "build" your desired configuration with you salesperson, wait 6 - 10 weeks for it to arrive

The off shores - study the "build" desires of the buyers, manufacture vehicles that are "standard" in the most commonly desired/ordered configuration

Warranty
The Big Blind Three - address issues after the sale/shipment via the dealer network. Customer were appreciative of the post sales support.

The off shores - make it right before it ships. Customer became amazed that nothing needed to be "fixed" during the warranty period.
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Old 11-15-2008, 05:50 PM
Bob Tanner Bob Tanner is offline
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Re: Not sure --- Maybe the US Auto Industry?

Quote:
Originally Posted by wingkey1 View Post
Just where this might fit, but "ole guy" Mr. T. suggests perhaps it has a place and being the obedient soul that we are/is, the following is a "cut and paste" from the Sprint Cup Forum:

*****************************
Here goes:

Watched many things occur in the competition for my $$ in the automotive industry over the years. Some/many caught the eye and spurred the comment/observation of the wider audience - things like the fuel mileage thing, the negative aspects of worker organization, etc.

Two (three actually) things noticed here early on in the "off shore" incursion:

Competition
GM = Chevrolet, Oldsmobile, Pontiac, Cadillac, Buick, GMC, etc.

Chrysler = Chrysler, Dodge, Plymouth, etc.

Ford = Ford, Mercury, Edsel, etc.

Honda = Honda

Toyota = Toyota

Within the "on shore" mess, each brand had it's competing model, and they were all in competition not only internally for the same marketshare, but against the other of the "Big Blind Three".

Recipe for disaster.

Built to order

The Big Blind Three - "build" your desired configuration with you salesperson, wait 6 - 10 weeks for it to arrive

The off shores - study the "build" desires of the buyers, manufacture vehicles that are "standard" in the most commonly desired/ordered configuration

Warranty
The Big Blind Three - address issues after the sale/shipment via the dealer network. Customer were appreciative of the post sales support.

The off shores - make it right before it ships. Customer became amazed that nothing needed to be "fixed" during the warranty period.
All good points, Wing. Of course the major reason the "Blind Three" (I like that term, think I'll adopt it) were so diversified was that they had sixty-plus years of merging with and buying outright, other car makers. We have always been a brand-conscious and loyal group here and doing away with a recognized brand, even though it had a new owner was just something which wasn't done quickly. Add to this the fact that American auto makers felt "price niches" had to be filled by an entirely different brand. (Look how long it took GM to do away with the redundant Lasalle and just call it a Cadillac - 13 years, to be exact)

Then, throw in the fact that in the 50's and 60's the US car makers were experiencing a massive boom, with no competition from outsiders. They thought it would never end. So, based on this nearsighted vision they made really insane agreements with the labour unions. Fringe benefits which have made net profit almost impossible. Paying someone to do a job requiring only average manual dexterity as much, or even more, than someone with a skilled trade. Then paying them 1-1/2 to 3 times that inflated amount if they are asked to perform their assigned task after they've worked 40 hours or (perish the thought) work on a weekend!
Then' like our government, the auto makers cave into special interest. For example, this new Chevrolet Volt... I have posted in another thread a report from GM where they admit that, even though they are expending the bulk of their development budget toward developing the volt, it will never be a profitable venture. They will lose money with every one sold!? I have always lived under the assumption that if you have a business which doesn't make a profit, you don't have a business; you have a hobby!

So what we have is not a bailout of the auto industry business. We have a bailout of the labour unions and a bailout of a hobby operated by GM!

Sorry. I don't see any justification in taking money from me (in the form of taxes) and frittering it away on someones hobby.
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Old 11-15-2008, 11:11 PM
jks812 jks812 is offline
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Re: Not sure --- Maybe the US Auto Industry?

I say let them do like we have to do, sink or swim. Maybe if all these company execs would quit getting these multi million dollar bonuses they wouldn't be in the mess they are in.
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Old 11-16-2008, 12:17 PM
Bob Tanner Bob Tanner is offline
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Re: Not sure --- Maybe the US Auto Industry?

Quote:
Originally Posted by jks812 View Post
I say let them do like we have to do, sink or swim. Maybe if all these company execs would quit getting these multi million dollar bonuses they wouldn't be in the mess they are in.
I seen "The Blind Three" failing (if, indeed they do. Possibly, as Mark Twain said, 'the reports of their impending death are greatly exaggerated?'") as a sign that our wonderful capitalism system we have thrived under for so many years is working as it should. Businesses that are run poorly and inefficiently, which become unprofitable, fall by the wayside and another business which is run better and does make a profit takes its place.

For example let's say that in your neighborhood one homeowner, who has always been an asset to the area, starts drinking heavily and begins using a lot of drugs. He quits taking care of his house, lets the grass grow out of control the paint begins to chip and peel and the house becomes a dump. He just generally deflates the value of your and your other neighbor's property.

He then has the audacity to come to you and your other neighbors and demand that YOU pay all the cost of his rehabilitation PLUS catch up all of his delinquent debts?

Wouldn't you and your neighbors want this dysfunctional clown completely out of your neighborhood and out of your lives? Would a happy day in your life be when this guy is gone and a moving van pulls up to the house, a nice new family moves in and they start by mowing the grass, painting the house and becoming a valuable part of your little community?

That's my metaphor for the "Blind Three" problem.
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