RLSH700

One of the things I have heard people say for a long time is they somehow believe that if the Big Three file for bankruptcy, they will go out of business. The problem with this mentality is that plenty of companies in mature markets have filed for bankruptcy and come out of it stronger than before. Kmart has to be one of the best examples. They filed for bankruptcy then managed to purchase Sears shortly afterwards. The whole bailout from what I can see seems like it would just delay a little while putting the Gov't at further risk of going bankrupt (and that would be WAY worse than the possibility of losing the Big Three which could still happen with the bailout).

The Big Three need to be restructured and a few people need to go. Bob Nardelli demostrated to me when he proposed allowing the Gov't to have ownership that he doesn't have a vision and doesn't understand the problem. Rick Wagoner needs to go as he has had enough time to turn them around and has not. Bill Ford and pretty much everyone from the Ford family needs to go. They are about as effective and good at running their "family company" as the Busch family was at running Anheuser-Busch (thank you Adolphus for destroying that for us you selfish, spoiled brat). They need to slash the salaries at ALL levels, they need to cut back on the benefits (I've honestly never understood why they think they need all the junk they get, they can afford to pay for a lot of that junk for themselves), they need to cut back on redundant models (there is no reason why Ford needs the Flex, Taurus X, Edge, and Explorer when they pretty much are in the same size in the segment, just make the Edge and the Explorer). They need to give up on volume market (ax Chevrolet's production numbers and raise the prices on certain models for a higher profit) as there are more than 4 major players in the market and plenty that can undersell their volume divisions.

The problem I see with bailing them out is that this encourages bad behavior because "we are too big to fail and the Government Sugar Daddy will save us because we are too important to it." The reason why I say this, is we already have systems like this in our country and this is precisely the outcome. This is all based on "good intentions" which have horrible results. We need to put our foot down and learn how to say "no" because if we don't now, the media will be the next to ask for this.