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Are the American people to blame for the decline of the US Auto industry?
GM as an example has sales up and is the leader in sales in China, Latin America! Sales are up in Europe but down so bad in th USA that the whole company is at risk! Why don't Americans, worried about the Economy, buy USA products instead of imports. This would create far more jobs and actualy help our economy. Please Look at this SEC filing from GM!
http://www.marketwatch.com/tools/quotes/secarticle...
Proud vet
Quality!----I drive a Buick PA! I went 11,000 miles before the first tuneup! At 114,000 I had my first problem, burned out lights on the dash board! Never took it back for warrany work at all, just routine scheduled Maintenance! I get 30 MPG on the Highway. I drove My previous Park Ave 140,000 miles same thing, until somone rearended me on a bridge! I traded it in and got this one.
So Tell me what is the quality issue? My car is 7 years old and looks and drives like new and has never been in a garage!
Sorry, that was 111,000 miles before first tune up!
30 Answers
- Sean BrockLv 51 decade agoFavorite Answer
The problem with the American manufacturers is of their own making.
European and Japanese ARE higher quality (no matter how hi-qual the Americans are).
Korean are qual and cheaper than comparible American products.
Chinese (not speaking of cars) are just plane cheap.
_________
The reason why their sales are up in China and Latin America - NO UNION!!!!!!!!!!!!!!
Same for Europe probably.
The reason for American inferiority:
Overpriced
Union
Conglomerated Companies (TOO LARGE)
The Sollution of American Motor industry.
Reduce tariffs to imports
Demonopolise the Big Three (GM makes chasses/frames, Pontiac - not owned by GM - builds off those frames to make their products they sell, and the same with Cadillac, Buick, Oldsmobile (Yeah, I'll buy it), Saturn, Holden, GMC, Chevrolet, etc.) - GM, Daimler-Chrysler, Ford sells off all its companies to other owners.
Get rid of National and Industry-wide Unions reduce them to company wide and job specific - GMC Welders Union of Midwest City, OK (not in business any more but I remember it) instead UAW-GM.
Why this will work?
Tariffs - competition
Demonopolise - competition, and reduce of Job loss - If Pontiac goes out of business only Pontiac employees and buyers are affected instead of Pontiac leading to all of GM going out of business.
The reason American cars are so expensive is because the cost of production (their employees) are far more than they are worth. The Unions are FAR TOO BIG and really don't represent their constituents very well - They won't budge even though it will cost them all their jobs.
BUYING AMERICAN PRODUCTS IS NOT THE ANSWER ESPECIALLY WHEN IT IS MORE EFFICIENT FOR OTHERS TO MAKE IT. THE REAL AMERICAN PRODUCT IS REALLY ONLY INGENUITY AND ENTERPRISE AND IT DOES NOT MATTER WHAT PRODUCTS WE HAVE WE CAN PRODUCE THEM AND SELL THEM. IF OUR NATION RUNS DRY OF ALL NATURAL RESOURCES WE COULD STILL BE THE WEALTHIEST NATION IN THE WORLD.
- Anonymous1 decade ago
Unions are a big deal - the labor rates are astronomical and in many cases they hold back technology.
For instance, if a machine is built that replaces human labor they install the machine but continue to pay people who's jobs were eliminated - that's just stupid.
The hold on the unions caused a slow emergence into quality that standardizes cars. Today the quality is very good but they arrived at the quality point way too late. Japan's quality was brought to them by an american who spent years in Detroit and was rejected so he left for Japan who listened, caught up, and we've been playing catchup ever since.
The other issues were dumb marketing. They continued to build these massive SUVs and staked the entire industry on it. Personally I like SUVs and trucks but they clearly saw that at some point the gas would make them almost impossible to sell; yet the went full steam forward knowing the coming doom.
I think that there problems remain with them, not the public. The public will buy what they will buy, that should influence the markets to produce what they want to buy and 10 mpg vehicles was the wrong choice for this decade.
Source(s): Manufacturing Engineer - 1 decade ago
UNIONS!
The same quality product costs much more from GM.
The same quality worker costs GM 3 times what the market dictates.
Why not just have honest supply and demand dictate what people are paid, and what auto's should cost? Why support some above all others who you make poorer as a result of the meddling and bring down the whole economy with the stupid situation created just so democrats can buy voting blocks?
No company can work out with such an idiotic government as Michigan keeps electing. Lets do some Darwin here and stop supporting losers! The whole economy will win if we do.
Why am I going to buy from a company who charges me to much so they can pay some lazy chump 3 times more to do 3 times less than the average worker in the US, for a job a chimp could almost take care of?
- 5 years ago
Deflation? Deflation was a concern about 2 years ago. Now there greater focus on reducing unemployment and a little inflation might be a issue in the years to come. We have some issues we need to work through, but they are all manageable. We will likely have slow growth for the next five years, but considering how bad things could have been after 2008, we are doing alright.
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- Silver FoxLv 41 decade ago
Listen, the answer is so obvious. American AUTOMAKERS are to blame for the decline of the US auto industry. I've said this for years and it's come to pass. When a country produces **** vehicles they will outsold by competitors who make quality vehicles.
I've owned Toyotas since 1984 and will continue to buy Toyotas until I'm put in the ground. Why? Because I won't spend the same amount of hard-earned money on a piece of garbage from Detroit that will rack up God knows how many dollars in needed repairs and eventually die on the side of the road.
- Jeff SLv 71 decade ago
Actually it's the republicans who are most at fault.Back in the late 70's early 80's when autoworkers started asking for limits on imports the republicans cried "protectionism" and "unfair "competition.
Also look where all the foreign assembly plants are located.....in red states.Then look at how the senators from those states were ready to filibuster to keep the government from making the loans to those companies.
The collapse of the big 3 would mean an immediate market gain of millions of units per year for those companies building vehicles being made in their states.
- Doctor WhoLv 61 decade ago
Not really, unless you mean the American car company owners who put excessive profit ahead of trying to be competitive with the foreign car makers, and the American Auto Workers Unions who also had a hand in the non-competitive price of US cars. It is no wonder that the Rich drive European made cars, only the upper middle-class drive US made cars and everybody else drives what they can afford (Asian-made new cars or used cars).
- 1 decade ago
No. The auto makers are. The all knew over 10 years ago they had to retool their factories but chose not to. Fat cats rolling in the truck/SUV dollars. They failed to read the tea leaves and they pay good money to those that are supposed to do just that. Greed is what brought them down. And the labor unions. They should file BK which will force a restructure.
- Anonymous1 decade ago
Well obviously it would be more enticing if the American cars were better quality. You can't expect somebody to buy a worse product. It's not the people, it's the company. Give us a reason to buy the cars in the first place instead of making so much worse. Worse in value, parts, and stability.
- ATJLv 61 decade ago
This is not G.M first bail out in the 80's they beg and got it but landed up laying off many people and the unions used the money for there needs and retirees. So I believe they did it to themselves by not restructuring the company and making cars that are efficient I believe they need to claim bankruptcy and start all over.