"Dave" wrote in message
...
On Mon, 17 Nov 2008 17:24:38 -0600, Vic Smith
said:

But labor/legacy costs must also be a big factor in their
profitability.

Of course. And with their labor/legacy cost disadvantage they have to sell
more of the heavier vehicles carrying a higher margin in order to make a
profit. But the guvmint won't let them do that unless they also sell a
bunch
of econo boxes, and if they were to price those econo boxes to take
account
of their higher costs, nobody would buy them.

No doubt their basic strategy is flawed, but it's flawed in substantial
part
because current management's hands are tied by all the past gimmes given
to
their unions. Wages for people not to work! Sound a bit like income tax
cuts
for people who don't pay income taxes?


HUH?? Toyota sells high end hybrids with a nice margin. What's preventing GM
from selling decent cars??

Gimmes to unions?? These were NEGOTIATED contracts, which the unions are
willing to talk about going forward.

--
"j" ganz @@
www.sailnow.com