GM posts 1st sales gain in 2 years

Onceler said:
I think the concern was more for the millions of Americans whose livelihood would take a direct hit if GM failed, and the millions more who would be negatively affected in a more indirect fashion....
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A failure of GM wouldn't result in less cars being sold. Other companies would make more cars, and have to hire the workers that GM fired.
 
Southern Man said:
A failure of GM wouldn't result in less cars being sold. Other companies would make more cars, and have to hire the workers that GM fired.
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If you don't know anything about how the American economy works, why didn't you just say so at the start? We wouldn't have had to waste so much time...
 
Onceler said:
In a Gallup poll, just under half of those polled said that if a car company declares bankruptcy, it makes them less likely to buy a car from that manufacturer.
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'Excuse me, may I ask you a question?'

Certainly.

'If GM goes bankrupt would you be more likely or less likely to buy a GM car?'

Mmmm. errr. we-e-e-ell.....mmmmm......eeerrrrrrr..... more .... err no, LESS likely....am I right? Err, can I change my mind?

Certainly.

A hippopotamus is my bestest favouritest aminal!
 
Southern Man said:
A failure of GM wouldn't result in less cars being sold. Other companies would make more cars, and have to hire the workers that GM fired.
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Onceler said:
If you don't know anything about how the American economy works, why didn't you just say so at the start? We wouldn't have had to waste so much time...
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how do figure SM's statement is not correct....one doesn't even need a econ degree, let alone a class to see that it has merit...

take a small town....there are two retail stores that basically sell the same thing, say mervyns and gottschalks....those two stores are big stores for the relative small town....they go out of business, eg, bankrupt. are you saying people actually bought less clothes?

what happened in reality? others stores had an uptick in business and two new stores moved in and hired more people than worked in the previous two stores.

so i am curious how you think GM going bankrupt (ch. 7) would result in less cars being sold....
 
Yurt said:
how do figure SM's statement is not correct....one doesn't even need a econ degree, let alone a class to see that it has merit...

take a small town....there are two retail stores that basically sell the same thing, say mervyns and gottschalks....those two stores are big stores for the relative small town....they go out of business, eg, bankrupt. are you saying people actually bought less clothes?

what happened in reality? others stores had an uptick in business and two new stores moved in and hired more people than worked in the previous two stores.

so i am curious how you think GM going bankrupt (ch. 7) would result in less cars being sold....
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I don't think it would result in less cars being sold.

I do think it would result in many more Americans being negatively impacted that SM seems to have any clue about.
 
Onceler said:
If you don't know anything about how the American economy works, why didn't you just say so at the start? We wouldn't have had to waste so much time...
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It appears that you are the one lacking in basics economic education. Have you ever taken a class on it?
 
Southern Man said:
Then explain how.
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What? How a company like GM, with a quarter million employees of its own, hundreds of suppliers across the U.S., dealerships, towns that are basically built around its existence...how the failure of a company like that could have a ripple effect across the American economy that would likely affect a majority of working Americans?

Is that what you want me to explain?
 
Onceler said:
What? How a company like GM, with a quarter million employees of its own, hundreds of suppliers across the U.S., dealerships, towns that are basically built around its existence...how the failure of a company like that could have a ripple effect across the American economy that would likely affect a majority of working Americans?

Is that what you want me to explain?
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Folks would commute to Dearborn to work for Ford, or move down South and work for Toyota. They'd be buying gas, new homes, etc.
 
Southern Man said:
Folks would commute to Dearborn to work for Ford, or move down South and work for Toyota. They'd be buying gas, new homes, etc.
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Yeah - I'm sure Ford could pick up an extra quarter million employees. And I'm sure all of those suppliers who relied on GM would be just fine, too. And I'm sure all the people who work for businesses in the towns of the employees of GM & those suppliers would all fare well, too.
 
Onceler said:
Yeah - I'm sure Ford could pick up an extra quarter million employees. And I'm sure all of those suppliers who relied on GM would be just fine, too. And I'm sure all the people who work for businesses in the towns of the employees of GM & those suppliers would all fare well, too.
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You already admitted that there would be the same number of cars made. That takes employees and parts. They wouldn't all be Ford cars, but distributed among all the other car companies as well.

In fact, manufacturers that are contemplating an expansion or a new plant would have an additional incentive to make those investments.

Face facts: the only folks who would be negatively affected would be some GM execs, UAW bosses, politicians in Detroit, and some deadbeats who wouldn't move out of Detroit.

Oh, and some union slackers who haven't carried their weight in years.
 
Southern Man said:
You already admitted that there would be the same number of cars made. That takes employees and parts. They wouldn't all be Ford cars, but distributed among all the other car companies as well.

In fact, manufacturers that are contemplating an expansion or a new plant would have an additional incentive to make those investments.

Face facts: the only folks who would be negatively affected would be some GM execs, UAW bosses, politicians in Detroit, and some deadbeats who wouldn't move out of Detroit.

Oh, and some union slackers who haven't carried their weight in years.
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while mostly true....i think a few others would be hurt. overall though, quite accurate that if GM would have closed, another company, existing or otherwise, would come in, clean up and hire more people and turn a better profit.

wall street used to work that way. and so did main street. in the 50's if joe car salesman couldn't sell enough cars, do you think the government helped him out by giving him a bailout so he could continue to FAIL at his business? no.

here is the problem:

i don't think onceler considers non american companies. he thinks if any american company is going to fail, especially a big one, they should be bailed out to "save" jobs. not necessarily true. a new, better company, gasp even a furrener company, could come in and create the same, if not more jobs and a better product
 
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