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DaimlerChrysler : Massive US losses, job cuts.

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General interest discussions, not necessarily related to depletion.

Re: DaimlerChrysler : Massive US losses, job cuts.

Unread postby Kingcoal » Thu 15 Feb 2007, 10:35:42

$this->bbcode_second_pass_quote('smiley', 'I') don't understand it either. I mean they can make these cars, so why not sell them.


Right now, there is a world wide glut of automobile manufacturing capacity, or at least that's what I hear from a friend in Detroit. In other words, it's a buyers market. The buyers go to where they get the best value which right now is Japan. The new Honda Civic has won awards and you are seeing them all over the roads around here. For people who like small cars, which is a growing segment now, the Civic has it all. It's built in factories in the US to boot.

I believe that Toyota is the biggest employer of autoworkers in the US right now. Toyota and Honda have it all sewn up. The "big three" should just fold up shop.
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Re: DaimlerChrysler : Massive US losses, job cuts.

Unread postby Zardoz » Thu 15 Feb 2007, 11:36:57

$this->bbcode_second_pass_quote('MrMambo', 'I')f I was CEO of Deimler Chrystler I would probably try to liquidate the bleeding Chrystler part of the organization...

Auto merger at end of the road? - DaimlerChrysler may consider parting ways with its U.S. unit.

$this->bbcode_second_pass_quote('', 'I')t was the biggest marriage in the history of the auto business. But now, a divorce between Daimler and Chrysler could be looming.

DaimlerChrysler Chairman Dieter Zetsche didn't mince words about a possible breakup Wednesday, saying the German company's executives "do not exclude any option" as they wrestle with ways to stop U.S.-based Chrysler Group from denting the profit of its luxury-car parent.
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Re: DaimlerChrysler : Massive US losses, job cuts.

Unread postby Pablo2079 » Thu 15 Feb 2007, 11:39:08

The Big 2.5 need to understand that there is a market for nice A and B class cars in NA. They mistakenly thought that people got small cars because they couldn't afford their larger offerings. Up until now, their NA participation in the a and b segments has amounted to importing other vehicle manufacturer's small/lame cars and slapping their name on it (Ford Festiva, Geo Metro, Dodge Colt). I think they're FINALLY getting it. People in NA will pay a higher price for a well appointed small/efficient car.

I don't think Honda and Toyota are great marketing minds or especially good car manufacturers. They made it in North America initially because they DIDN'T change their cars much for this market. The Big 2.5 still seem to think they have to have completely different offerings for each market (Europe, Asia, Australia, North/South America). The Ford Focus in Europe has more in common with the Mazda 3 than it does with the Focus in the US. The Ford Ranger Pickup in Southern Asia is completely different than the Ford Ranger in the US. Once they cut down their worldwide platforms, they should see better results..... they just don't have much time.
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Re: DaimlerChrysler : Massive US losses, job cuts.

Unread postby TreebeardsUncle » Fri 16 Feb 2007, 00:16:08

Hi.
The best thing that can possibly happen is for General Morons, Terd Motors, and Crock o' Shyte to go out of business as quickly as possible. The auto-makers won't make electric cars since they don't break down enough often enough to please them. The next move after oil runs low will be bio-fuels. Will that work? No. Then it will be coal gasification. After that fails, expect things to get intersting. The first signs of PO in the US will be a massive rise in homelessness and indebtedness.
Lates.
g
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Re: DaimlerChrysler : Massive US losses, job cuts.

Unread postby oil4u » Fri 16 Feb 2007, 01:17:57

Jerome Corsi..love him or hate him, but this scenario does make a lot of sense. It's only a matter of time until Chinese autos arrive on the scene

By Jerome R. Corsi
Cars 'Made in China' coming to U.S.?
Taxes play role in driving Daimler-Chrysler to Beijing

http://www.worldnetdaily.com/news/artic ... E_ID=54266
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Re: DaimlerChrysler : Massive US losses, job cuts.

Unread postby Zardoz » Fri 16 Feb 2007, 01:24:32

$this->bbcode_second_pass_quote('Pablo2079', 'I') don't think Honda and Toyota are...especially good car manufacturers.

*shakes head in disbelief, shrugs*
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Re: DaimlerChrysler : Massive US losses, job cuts.

Unread postby eastbay » Fri 16 Feb 2007, 13:04:26

oil4u,

You're right. I ride a scooter most of the time. Lately it seems that most of the scooters on the road are Chinese made. Chinese scooters were unheard of just a few years ago now they're common. They now build small standard motorcycles too and my neighbor just bought one.

The point is, the Chinese are amazing in their ability to penetrate a market. Once we see a few of their cars, it will be only a matter of a short time before their cars are common... unless economics or geology intervenes and reduced demand.

A friend of mine works on the assembly line for NUMMI, in Fremony, CA, making Toyota trucks and other GM and Toyota vehicles. He earns about $100,000/yr including a little overtime. He lives in a $800,000 house in a far away suburb. I'm not sure what a Chinese assembly line worker earns, but I wouldn't be surprised it it's $1,000/yr. I advised him to begin saving as much of that as he can because a high paying assembly line job in the auto industry can't last. Of course, he thinks and acts like his job will last forever.

Like Chrysler, the other domestics will be also be under incredible financial pressure in the coming years. The days of the high paying American auto assembly line worker are numbered, that's for certain. This layoff is the tip of the iceberg.
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Re: DaimlerChrysler : Massive US losses, job cuts.

Unread postby Pablo2079 » Fri 16 Feb 2007, 13:22:19

Zardoz - Did you have a point with the shrug?

What I meant by "not being especially good" is that I don't think they are any better than the average out there.... Toyota has had a massive amount of recalls recently and their initial quality scores have been dropping. Their sludge issues have been well documented. Honda just KILLS you with all of their regular maintenance costs.

But hey, drive what you want... while gas is cheap. All the manufacturers will end up in the same place, sooner or later.
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