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No doubt they had problems. My point was that they weren't necessarily "this company should be liquidated" problems, they were "this company needs to restructu
by parasubvert 13y ago
No doubt they had problems.
My point was that they weren't necessarily "this company should be liquidated" problems, they were "this company needs to restructure its debt obligations and rethink its strategy" problems.
GM retains its position as the world's #2 car maker by volume, behind Toyota, and is profitable again. It's going to die some day, but probably has a lot of life (and thus economic contribution) left in it. Sometimes governments step in to prevent the "creative destruction" of the market to destroy its own citizenry. The open question is where the limit should be.
- flomo 13y agoGM almost went under in the 1990s as well, it was a long time coming. The modern GM that survived has only superficial resemblance to the GM of old, which not only had 50% domestic auto marketshare, but also built everything from trains to refrigerators to satellites. The company that went bankrupt was the one left holding the "legacy costs" bag.