I'm really having trouble deciding whether I would vote for a bail-out or no. The effects of a bankruptcy of any of the big three would be tremendous, and we're not only talking about economic effects, but also millions of jobs lost, along with double digits unemployment rates. Keep in mind that's only if one of the three goes (GM probably, but Chrysler isn't far behind).
Ford's CEO said they don't need money, but they still came to the hill to nod at GM's and Chrysler's bail-out plan, for the effect on Ford if any of these two went would be tremendous.
On the other hand, why give a bail-out to them? Do they deserve them? Haven't they been making crap cars for, what now, the last 20 years (or more)? Haven't they had no Insight (!) whatsoever to stop producing gas-guzzling SUV's and begin the production of what the people want, small cars?
Let's assume they get a bail-out, how much will it give them? Maybe, 30G$? That's not so much considering GM is spending at least 3G$ every month. Besides, will they be able to fix everything they need to in order to get some profits? Let's see the list, they need:
- Small, more fuel efficient and Eco-friendly car (the latter of the two the Prius isn't);
- A better product quality;
- No more SUV's
Besides, even if they achieve all these things, they still have to account in the story that they have the Union on their backs, fat checks to give to their CEO's, CFO's and what-not, and that it will takes years, if not decades before people trust them and their products again. Just look at Ford. It is said that Ford's product are now almost on match with Asian products on the matter of quality, and they have the only good small american car (the Focus), but does that really help them?
Something else that bugs me, there's so many products these corporations sell abroad that they should have been selling in NA for at least 5 years, and that they will never sell here, or wait until 2010 to do so. For instance, the european focus, which is much better than the american one (better looks, better chassis, better quality, etc) will be sold here in 2010, but why haven't they sold it in NA the moment they designed it? Because "it didn't fit the NA regulations"? or because "it wasn't what NA people wanted"? That's bull-shit. Something else that should have been sold in NA for ten years, the KA. Although I agree it is rather a woman's car, Ford still doesn't have something smaller than the Focus to offer in the US.