Monday, June 1, 2009

GM and Chrysler despite bailout still on shakey ground

The Federal bailout was supposed to be a savior to the US automakers that needed it, instead of saving them it was just like chum to a shark. The country's biggest auto giant GM, is about to declare bankruptcy even after getting billions of dollars in revenue from Washington.

If this were going to happen all along, why then did the taxpayers have to give billions to this sinking ship? Where did all of the billions go? I didn't see great incentives offered, and I currently own a Chevy car. The incentives I saw went no where near they should have when a company is struggling to survive is trying it's best to stay afloat.

Where did the billions go? GM already has received almost $20 Billion dollars as of May 2009, that is a lot of money. They could have give cars away real cheap with a bailout that huge. It is just an incredible sinking ship, it should have been allowed to sink rather than have the US taxpayers keep dumping money down a bottomless pit.

Now, if GM survives it is promised billions more in taxbreaks from the Federal government. This is incredible now, I think the problems that this company had couldn't be fixed by anyone even our own government. As we already seen, $20 Billion is not enough to fix it, and now bankrupcy looms.

US consumers have spoken on this matter, they prefer to buy cars that last longer than 5 years and return a value that is still decent after they have paid for their cars. This is something that GM doesn't offer. They haven't been making quality products that the consumer has faith in. Auto manufacturers like Toyota, and Honda are making quality products and that is the real reason GM is failing. They are not offering quality, and the prices that they are charging are too much from what they 'are' offering.

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