Just wanted to post this here. Believe me guys, the economic consequences of a Detroit Three shutdown will be catastrophic...

http://www.youtube.com/watch?v=72cHfOKoA1c

We need help NOW.

Is anyone else worried that if GM goes bankrupt (never say never) what will happen to their warranty (I am not talking about those that leased their cars)? I hate to say this but I have been thinking for some time now, since the news became bleaker, maybe I should have waited to buy my new car.

Don't Panic! GM cannot just 'disappear' although it may well be absorbed into some other entity. At the very least you should expect the government to step in to 'protect' the consumer...

The timing sucks but the american auto industry is DUE FOR A CHANGE. Blame can be laid in many directions, I won't go there. But I will say this 'Take a closer look at how "the other guys" do it and then improve'. There has been 30 years of playing catch-up without bothering to take the lead and now it's come to this. How many F150s does america really need? Does everyone need to drive the latest styles? How many of the gadgets on your car do you REALLY need? How many SUVs ever actually leave pavement?

I think you get the idea...

It's not a "zero sum" situation. If it collapses, others will be there to fill the void - others that can operate profitably - and employ those laid off, etc.

If the void is not filled, it just means the auto industry is overproducing. GM has done this for years.

While the industry is far reaching, there is a risk of piggybacking on a corporation or industry. When times are good there's alot of milk in the nipple so to speak.

Everyone in this industry knew this day was coming, like someone said it's been catch up for many years. There choice was to hang with a sinking ship.

The timing sucks but the american auto industry is DUE FOR A CHANGE. Blame can be laid in many directions, I won't go there. But I will say this 'Take a closer look at how "the other guys" do it and then improve'. There has been 30 years of playing catch-up without bothering to take the lead and now it's come to this. How many F150s does america really need? Does everyone need to drive the latest styles? How many of the gadgets on your car do you REALLY need? How many SUVs ever actually leave pavement?

I think you get the idea...

Actually, the domestic automakers are making SUVs and trucks and what not for two reasons:

1. Extremely profitable due to union costs (unlike Focus and other small cars which are barely breaking even with profits and costs of manufacture).

2. We, the consumers, keep buying them. I still see women with one baby and two bags from Wal Mart driving a Ford Expedition to and from home every day...wouldn't an Explorer at least fill that void?

Where I live, SUVs are a must, and Cherokees and Broncos used to own the town. Half the roads have grade inclines of more than 8% and it gets icey here in the winter of Tennessee. However, a lot of people in town (plateau...not much hazardous driving or offroad need) are driving Suburbans and Expeditions like it is nothing. Do they need it? Does the American need it? Probably not, but we keep buying them.

That's capitalism...why produce a bunch of small-profit eonomical cars when you ca produce just as many large SUVs and trucks that have massive profits?

I am not defending the auto industry, they have made mistakes, but I am no putting the blame entirely on them. Greedy unions and American consumerism (changing tastes in a matter of months, not years) are their main downfalls.

Another downfall could be that many people believe that import cars are overall better and are quality cars. Not to say that American cars are not quality cars, my father had a 1988 chevy celebrity which lasted until 2002. But i believe the general consensus thinks "why should we buy an american car which will break down in a few years when i can get an acura which lasts a good 10-15 years". A few days ago on the news, the Auto industry crisis was on the news and a man by the name of Ernie Boch Jr, who owns multiple honda dealerships basically said business was booming for him. With the economy the way it is, people are looking long term and not short term so THEY believe that buying an import car will give less problems then say a ford or dodge and in terms that means spending less money on repairs. If you think about it, would an ordinary person rather buy a Ford Focus or a Toyota Corolla? A Dodge Charger or a Honda Accord? I for one believe many will choose the imports rather than domestic

Charger/accord aren't exactly in the same class...RWD performance sedan/FWD midsize sedan...and Chrysler has that market wrapped up with the Charger.

A better comparison would be the Malibu/accord...and for MANY Americans, yes, the Malibu is a better choice.

The perception that American cars have inferior quality needs to change...there was an article in the Detroit Free Press about it which completely disproved the myth that GM/Ford/Chrysler built unreliable junk. In many respects, the quality of domestic brands are either equal or greater than that of import brands.

Yes, and across the world (especially in Europe) American cars have a sense of being "indestructible." I overheard a German student at my university asking why not that many people had Fords and lots of Hondas and Toyotas. He could not understand why "Americans buy and drive junk, but they make good cars but do not buy them." Apparently BMW and Mercedes have terrible reviews in Germany, seen as unreliable, expensive, and over-priced. Volkswagen is a good car, supposedly, but this guy would rather have a Ford or "An American Chevy."

Quite frankly, the facts remain:

Toyota and Honda did, in fact, grab the reliable car market early in the '80's, but they never advanced. Ford and GM caught up with Chrysler close behind.

Right now, our domestics produce more reliable and, yet, cheaper transmissions than the foreign competitors that load theirs up with wires, plugs, and other technologically "wonderful" things that are not need.

Ford is still the strongest producer (or fund raiser) of reliable and quality frames, axles, and safety equipment within the body.

GM has been the leader of well-working and safe engines and engine components for the past fifteen years. Chrysler is not far behind, producing the best transmissions and engines that are on par with GM.

Toyota and Honda both have had reliability issues with engines, transmissions, and their structural integrity all throughout the late '90's and early turn of the century, yet their reputation got better.

I do not know why, but it makes no sense.

Yes, and across the world (especially in Europe) American cars have a sense of being "indestructible." I overheard a German student at my university asking why not that many people had Fords and lots of Hondas and Toyotas. He could not understand why "Americans buy and drive junk, but they make good cars but do not buy them." Apparently BMW and Mercedes have terrible reviews in Germany, seen as unreliable, expensive, and over-priced. Volkswagen is a good car, supposedly, but this guy would rather have a Ford or "An American Chevy."

Quite frankly, the facts remain:

Toyota and Honda did, in fact, grab the reliable car market early in the '80's, but they never advanced. Ford and GM caught up with Chrysler close behind.

Right now, our domestics produce more reliable and, yet, cheaper transmissions than the foreign competitors that load theirs up with wires, plugs, and other technologically "wonderful" things that are not need.

Ford is still the strongest producer (or fund raiser) of reliable and quality frames, axles, and safety equipment within the body.

GM has been the leader of well-working and safe engines and engine components for the past fifteen years. Chrysler is not far behind, producing the best transmissions and engines that are on par with GM.

Toyota and Honda both have had reliability issues with engines, transmissions, and their structural integrity all throughout the late '90's and early turn of the century, yet their reputation got better.

I do not know why, but it makes no sense.



One word....Marketing....

Marketing and hear-say. I went all my childhood thinking Toyotas were long-lasting vehicles, even my own dad believed it (but kept buying Ford because his dad did). I have owned two Toyotas and my dad has owned a Scion, and we have had nothing but problems.

Meanwhile, our 1989 Ranger, bought new, has had no major problems aside from alternator, plugs, and a few belts. Just hit 200k miles last month! My 2000 Toyota ECHO, bought new by a friend and I bought it at 80k, died before it hit 100k.

Also had a 94 Corolla and a 2005 xB, both of those were bought new by my mom and nothing but problems. Sold the Corolla in 96 and the xB we're stuck with, and it has major transmission issues (the year the warranty ran out, too!).

I really think hear-say is killing it, and the domestics probably did not feel like they had to market against the foreign companies up until now.