Monday, September 18, 2006


Just doesn't have the same ring as Principal Skinner's 'GM CHRYSLER' exclamation, but we may all be saying that in the future. The news has come out that GM and Ford are having talks regarding a possible merger.

This, if it actually happened, would be beyond huge. Ford and GM have been hemmoraging money for years now, and are fighting each other for dwindling market share. A merger between the two makes a large amount of sense, at least to this blogger.



Patrick Armstrong said...

Won't matter. stock prices may go up, but these businesses have proven they can't operate in any kind of efficient way. The money hemmorage will still be on, because the same people responsible will still be running the show.

This will do strange an unusual things to NASCAR, though I'm not sure what.

Dante said...

A merger won't happen. I could see a buyout if one continues to stagnate while one pulls ahead but a merger? The article mentions the word meger once and then goes on to talk alliance, which is significantly different. An alliance of sorts like GM has with Nissan and Renault (mentioned in the article) is much more likely. There's a lot of technology each automaker could use that the other one has. Maybe GM could make up for lost time in hybrid technology. Maybe Ford could roll out a variable displacement engine quickly.

I've owned products from both Ford and GM. I've never been extremely upset with either but they're taking their lumps in the marketplace. I will note that out of the 10 vehicles I've ever owned, there were 2 GM (both Chevrolet), 2 Ford, 2 BMW, 2 Hyundai, and 2 Jeep so they have as much representation as anyone. Our current family vehicles are Jeep and Hyundai. The previous two vehicles were Jeep and Hyundai. Our next two vehicles will probably be Jeep and Hyundai, Jeep and Jeep, or Toyota and Jeep. I'm not upset with Ford or GM but neither is exactly on my radar for future purchases.