Should GM and Ford Merge?

[HarleyEarl]

Merger of GM and Ford?

http://www.clickondetroit.com/automotive/9531269/detail.html

[Flybrian]

If I were GM, I'd be offended that the press thinks I'd merge with just anyone, like some cheap hooker.

[HarleyEarl]

Although I recoil at the idea, if it came down to a choice, I would rather GM hook up with an American company than a foreign one.

[Flybrian]

Totally agree in the spiritual and esoteric sense, but practically, I'm not sure how good it would be for anyone. Removing emotions from the picture, there is almost complete duplication of plants, employees, offices, etc. Take all the overcapacity issues that exist in each company now and multiply it several fold. The job losses would be staggering. And I don't see any benefits that a simple technology/assembly partnership wouldn't itself allow.

This seems really pie-in-the-sky and just another "what if?" being thrown out there for fun. You may as well ask if GM and Hyundai should merge. Or GM and VW. Or GM and Mexico. Or GM and a raccoon.

[Drew Dowdell]

what good would that do, that'd be like the Titanic and the Lusitania tieing up to each other to prevent each other from sinking. Just because Ford and GM merged doesn't mean the holes wouldng still be there letting water rush in.

Edited July 18, 2006 by Oldsmoboi

[Newbiewar]

what good would that do, that'd be like the Titanic and the Lusitania tieing up to each other to prevent each other from sinking. Just because Ford and GM merged doesn't mean the holes wouldng still be there letting water rush in.

168246[/snapback]

yes... Ford is sinking, and i wouldnt want to be anywhere near it...

IIRC once a water vessel is under water by either 8 feet or 8 meters (probably meters) the downward suction of the boat, will not allow anyone to swim to the surface... so... you have to bail off of the boat before it gets 8 meters under water...

unless you have one of those fancy flotation devices or something

[Carguy]

Although I recoil at the idea, if it came down to a choice, I would rather GM hook up with an American company than a foreign one.

168243[/snapback]

AMEN!!

[NOS2006]

GM + Ford? No.

[Newbiewar]

GM + Ford? No.

168271[/snapback]

i agree... they say GM is a behemoth... then consider managing 15 brands... heh... no way...

the legacy cost would consume GM...

[-Camaro-]

That would suck... Less competition and less American companies owned by itself... It's too hard to enter this market already and we'd just be making one big company. We need more for better competition.

[Drew Dowdell]

I just got back from a trip to 2018 via my time machine and found this wikipedia article.

In the years leading to 2006, the automobile manufacturers of the U.S. were collapsing. Even after the government-funded loan to Chrysler in 1978, automakers continued to lose money. The giant General Motors Corp, went bankrupt in 2007. Under Judge John P. Fullam, the bankrupt company threatened in mid-2006 to end all operations by the end of the year if they did not receive government aid by October 1, as otherwise it would have to liquidate. Congress quickly came up with a bill to nationalize the bankrupt car makers. The Association of Automobile Manufacturers, which opposed nationalization, submitted an alternate proposal for a government-funded private company. Fullam kept the company operating into 2008, when, on January 2, after threatening a veto, President Bush signed the Automobile Manufacturer Reorganization Act of 2008 into law. The Big 3 Act, as it was called, provided interim funding to the bankrupt car makers and defined a new Consolidated Auto Corporation under the AAM's plan.

*

*this article, while obviously not true, is a cut and paste from another wikipedia article documenting the fall of another distinctly American major U.S. industry. Only the names and dates have been changed.

Edited July 18, 2006 by Oldsmoboi

[Lexcar14]

I've been saying that Ford + GM might be good. They would be a global force to be reckoned with. Even in Europe, they'd be a huge force. Globally, the merger makes sense and would be worthwhile. However, the big problems would lie in N.A. where they'd have to shutter dealers and brands.

[Newbiewar]

I've been saying that Ford + GM might be good.  They would be a global force to be reckoned with.  Even in Europe, they'd be a huge force.  Globally, the merger makes sense and would be worthwhile.  However, the big problems would lie in N.A. where they'd have to shutter dealers and brands.

168308[/snapback]

is it possible to do a temperary merger... or marketing stratagy that would allow them to push back the asian brands over then ... say 5 years, and then they would emerge seperatly again?

[Hudson]

Lee Iacocca said of the idea of Ford and Chrysler merging a quarter century ago that you don't merge two losers. I think the same applies to GM and Ford today.

Edited July 18, 2006 by Hudson

[Smart Kamala]

how do i set a darn avatar on this board? i'd like to put up a picture

[DetroitNut90]

As much as I love Ford and the idea of them and GM teaming up, I wouldn't support a merger/alliance between then at all right now. Each company's problems are enough to manage separately, let alone combined. Maybe later on, when both companies are stable and profitable.

I'd rather see Ford and GM continue developing stuff together (like the 6-speed auto) without getting tangled up in a merger/alliance.

[ellives]

"As you know any merger is a very complex deal, takes a lot of work and a lot of effort. I hadn't even thought about it and it's the first I've heard about it," said Gettelfinger.

For this guy to have said he hadn't really thought about it really shows how incompetent he is. In his position he should have thought of every possibility. Moron.

[carstar]

how about GM and ford's PAG? pag has a lots of nice goodies

[MyerShift]

Ugh, never.

GM is doing fresh, exciting stuff, and Ford is, well, treading water. Barely sustained by the Mustang, F150, and possibly Explorer.

[Sixty8panther]

NO!!!

I'd almost rather see them merge with Honda or Toyota...

so long as it's not a hostile takeover. Ideally GM would not

merge with anyone but it would start to regain market

share & they'd dump SAAB like a nasty habbit.

[FUTURE_OF_GM]

Lee Iacocca said of the idea of Ford and Chrysler merging a quarter century ago that you don't merge two losers. I think the same applies to GM and Ford today.

168379[/snapback]

Oh, how insightful!!!!!!!

I just love our "insider" contributions to the board!!!!

Anybody here still questioning what side of the fence Hudson is on?!?!?

[FUTURE_OF_GM]

Looks like the WSJ is just trying to get rid of another American auto maker (Like most of the press) Then it'll be easier for TOTAL collapse when the press forces them into bankruptcy in 5 more years.

"America's auto problem"

What tha FK?!?!?!?!?!? I guess that's how the media refers to it these days... Now that the cat is out of the bag.

They want to cut 3 divisions... Wow, the media is so arrogant as to ask for concessions in the battle as well?!?!?!