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Automotive News & Views Can GM make Cadillac the standard of the world Again?
6098 messages, Last post on Aug 14, 2009 at 4:43 PM
You are in the Automotive News & Views Forum. Your Hosts are steve_ & claires
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Replying to: kernick (Nov 12, 2008 10:59 am) In theory, yes as the other 4 restaurants will just call Sysco and order up more food to make. But with such small profit margins, it's possible that if Honda's CV joint supplier is the same as GM's, and they can't afford to retool to make Honda Cv joints to meet their extra demand, or can't retool fast enough, then maybe Honda imports CV joints from a factory that supplies them for their foreign markets, and that is all it takes for that US supplier to go belly up.
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Replying to: cooterbfd (Nov 12, 2008 2:36 pm) Per the experts if GM or Ford shut down the whole US industry shuts down for a year. Personally that seems a bit long. I think the companies that build the same vehicles overseas are looking right now on how they would import the needed parts. But it would take time to get all the parts needed. Longest lead time would be parts only used in US. |
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I'm not sure how you'll grow to be a "standard" when you discount a new 08 STS by about $10,000 and when I drive it away the trade in value is already $10,000 less than what I paid for it, even after the huge discount. I'm glad they wanted to give me low KBB less the cost of tires for my trade because I walked away from the deal. I believe they may have a chance as the ultimate used car value though. |
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Replying to: lemko (Nov 12, 2008 7:15 am) Why Lemko! I never thought I'd hear you actually admit that GM interiors of the past we cruddy! Which they were, IMO...... 
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Replying to: nvbanker (Nov 13, 2008 11:48 am) I don't think GM interiors started getting crappy until maybe the late 1960s with the increased use of plastics. Mid-sixties Pontiacs have beautiful interiors and a clearly a step up from Chevrolets. What happened? However, I think they've finally realized the error of their ways. I wasn't entirely happy with the interior of my 1994 DeVille. My 2002 Cadillac Seville STS had a much nicer and better quality interior, the interior of my 2007 Cadillac DTS Performance is really nice, if not quite as nice as a Lexus or Benz, and the interior of the 2009 CTS I recently drove was nicer still. |
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Replying to: lemko (Nov 13, 2008 12:03 pm) Interesting question. I wonder if they figured that cutting back on the parts quality of the drivetrain would kill them on warranty claims but they could cut back on interior quality because fake stitches wouldn't cause a breakdown on the road. False economy if true - plenty of people complain about VW reliability but their interiors sell a lot of cars.
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Replying to: steve_ (Nov 13, 2008 12:22 pm)
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Replying to: lemko (Nov 13, 2008 12:47 pm) Man, you said a mouthful there, lemko! 
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Replying to: lemko (Nov 13, 2008 12:47 pm) Regards, OW |
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Replying to: cooterbfd (Nov 12, 2008 2:36 pm) Maybe someone can hand them a document concerning the USS Yorktown (fleet aircraft carrier) repair between the Battle of Coral Sea and Midway in 1942. The ship was nearly sunk at Coral Sea with large holes in the flight decks, towed into Pearl, spent only 24 hours there - refueling, rearming, and replaced planes/crews, and joined the Midway battle 2,000 miles away several days later. Or maybe another good read would be how the Russians in 1941-42 picked up entire factories, moved them hundreds of miles east, and had them producing shortly thereafter. I guess in either case they didn't use union rules!  ... then maybe Honda imports CV joints from a factory that supplies them for their foreign markets, and that is all it takes for that US supplier to go belly up. Maybe. But since the owner of the parts supplier gets $0 if he closes the doors and Honda does not get its parts, the more likely business scenario is that Honda buys the parts supplier for very cheap money getting a bargain, and the former owner gets something rather than $0. And any factories that any of the Big3 own that make good products and are profitable are unlikely to be shuttered for the same reason. If GM were to close tomorrow, plants that make things like the Vette/XLR will be bought and will restart very shortly, albeit with new management/workers/owners possible. The computer industry went thru a huge shakeout 15-20 years ago, poorly managed companies with poor products were replaced, suppliers shifted to new manufacturers.
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