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Old 10-13-2008, 11:32 AM   #2 (permalink)
mgescuro
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Re: Crisis at Detroit Three drives industry rethink

Quote:
Originally Posted by doh View Post
Detroit only began working on redesigning that model a few years ago, and now it's probably too late, Mr. Casesa noted.

“I think these events will lead to a much smaller North American-owned auto industry,” he said. “Detroit's domination is over.”
Detroit's domination has been over for quite some time.
They just refused to realize it. Plus the union has also failed to realized it, forcing the Big 3 to remain non-competitive.

GM and Chrysler's strategy has been ineffective and outmoded. And while GM has started reversing it's strategy this decade, it's really about a decade too late. They couldn't afford any stumbles on their brand turnarounds, yet every single one has failed.

Quote:
Originally Posted by doh View Post
But the credit crisis has effectively eliminated their ability to raise money, which means GM won't be able to finance a merger with Chrysler, industry sources said.
Look for a Chapter 11 filing by one or more of the Big 3 by end of Q1 next year. That's my guess.
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