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Re: How to Save GM--radical surgery
Posted by xhawksaab (more from xhawksaab) on Sat, 15 Nov 2008 07:09:39
In Reply to: Re: How to Save GM--radical surgery, andym, Wed, 12 Nov 2008 12:04:12
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Two points:
1) Yes, it is rue that no one was FORCED to buy excessively large vehicles by marketing. However, the amount of advertising for those vehicles was significantly greater than for smaller more fuel-efficient vehicle. Why would this be? Business (including auto-makers) know that advertising creates sales, otherwise why would they do it. The profit margin on the large vehicles was a good deal greater than on smaller vehicles. So it is in their interest to sell those products with the greatest profit margin. Why have they fought higher CAFE standards? Because it would mean they would have to move toward vehicles with lower profit margins, not because they couldn't attain the standards. The short-term (quarterly report to quarterly report) thinking of most US business is part of the current problem (along with MANY others).
2) As for the drilling issue, there certainly seems to be a lot of controversy about it. I have seen reports that the amount of oil actually available domestically is not significant. Unless someone has definitive evidence that indicates these reports are wrong, I don't see the "urgency" to drill. We need to face the fact that fossil fuels are a limited resource and plan accordingly. Of course, how limited is debatable, but they ARE limited none the less.
Posts in this Thread:
- How to Save GM, OKSaabs, Wed, 12 Nov 2008 05:10:13
- GM needs to make cars that people want to buy, J, Mon, 17 Nov 2008 07:44:38
- Re: How to Save GM, Red93SEInBrklyn, Wed, 12 Nov 2008 21:41:12
- Re: How to Save GM, KevinM, Wed, 12 Nov 2008 17:19:24
- Consolidate platforms, unify US and European products, Paul H, Wed, 12 Nov 2008 15:10:07
- Re: How to Save GM, DivrDon
, Wed, 12 Nov 2008 08:43:06
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