Where Are The Customer's Jets?

private-jets

A stockbroker named Fred Schwed wrote a book in 1955 called “Where Are The Customer’s Yachts?”, which leads me to the tale this morning of the Big Three auto execs flying into Washington on their private jets to plead their case of poverty to the U.S. Congress. Democrats and the new Obama Administration have to be very mindful that there is very little sympathy abroad for either the managers of the car companies or the head of the UAW, Ron Gettelfinger who recently told the Wall Street Journal, “This industry is in a crisis situation not of its own making.” GM and Ford are equally clueless, spending millions of their precious cash lobbying lawmakers.

So far this year, G.M. has spent $10 million on lobbying, out of $95 million in the past 10 years, placing it at No. 16 on the site’s “top spenders” list. Ford, which ranks No. 19 on the list, has spent $5.7 million this year, out of $80.6 million the last decade.

There is only one way that the government should provide any aid for these braindead companies–in the bankruptcy process. GM has over 7000 dealers in the US, while Toyota services the country with fewer than 1500. The only way this radical restructuring of closing plants and dealerships can happen is in Chapter 11. The government may have to guarantee some of the pension obligations as part of the restructuring. As I have said before, the Pontiac, Buick, Hummer and GMC brands have to die for the two iconic brands Chevy and Cadillac to survive, with maybe Saturn positioned as the Eco-friendly Hybrid label.

It would be a mistake of monumental proportions for the Obama administration to begin its term as the advocate of corporate welfare. If Pelosi doesn’t realize how politically poisonous this is, she will soon.

0 Responses to “Where Are The Customer's Jets?”


  1. Ryan

    I couldn’t agree more. GM needs to be in Chapter 11 to do the restructuring that must be done for the company to remain viable. They have so many brands with so many redundant products it’s ridiculous.
    Saturn would make a great Eco-friendly brand because at this point it has NO identity. It’s own commercials prove that.
    Ford is in much better shape with some pretty good products headed down the pipeline.
    Chrysler has trash for cars and that doesn’t look to change.

  2. Ryan

    I couldn’t agree more. GM needs to be in Chapter 11 to do the restructuring that must be done for the company to remain viable. They have so many brands with so many redundant products it’s ridiculous.
    Saturn would make a great Eco-friendly brand because at this point it has NO identity. It’s own commercials prove that.
    Ford is in much better shape with some pretty good products headed down the pipeline.
    Chrysler has trash for cars and that doesn’t look to change.

  3. Rick Turner

    Saturn lost it’s way. They started off great; I drive a ’95, and while it’s not an inspiring car (as was my ’72 MGB, damn it’s recalcitrant soul), it’s very reliable transportation and it gets great mileage for what it is. The new Saturns should be better, and they’re not, and that’s screwed up. A plug in hybrid wagon or even a hybrid mini pickup truck would be great under the Saturn brand name.

  4. Rick Turner

    Saturn lost it’s way. They started off great; I drive a ’95, and while it’s not an inspiring car (as was my ’72 MGB, damn it’s recalcitrant soul), it’s very reliable transportation and it gets great mileage for what it is. The new Saturns should be better, and they’re not, and that’s screwed up. A plug in hybrid wagon or even a hybrid mini pickup truck would be great under the Saturn brand name.

  5. Dan

    Hondas are cheap and they last forever.

    I’d be happy to buy a GM or Ford or Chrysler if it was cheap and lasted forever. Instead they’re about as expensive, maybe more expensive, than a Honda, and the fall apart at 100,000 miles. Even today. More than three decades after the Japanese imports started kicking Detroit’s ass.

    So yes, bankruptcy is the answer. Not of its own making? That union chief needs to pull his head out. You’d think that his own rank and file would be concerned enough about seeing their jobs disappear permanently to correct him.

    I have two degrees and I’ve been building ever-more advanced career skills for the past 25 years now, and it has been a ceaseless and frequently dispiriting struggle. My reward has been seeing my overall real income decline gradually over the past decade.

    Some guy working on an assembly line had better get it through his head that union membership will no longer protect his guarantee of ever-rising income in exchange for doing the same semi-skilled labor he started doing in 1983.

  6. Dan

    Hondas are cheap and they last forever.

    I’d be happy to buy a GM or Ford or Chrysler if it was cheap and lasted forever. Instead they’re about as expensive, maybe more expensive, than a Honda, and the fall apart at 100,000 miles. Even today. More than three decades after the Japanese imports started kicking Detroit’s ass.

    So yes, bankruptcy is the answer. Not of its own making? That union chief needs to pull his head out. You’d think that his own rank and file would be concerned enough about seeing their jobs disappear permanently to correct him.

    I have two degrees and I’ve been building ever-more advanced career skills for the past 25 years now, and it has been a ceaseless and frequently dispiriting struggle. My reward has been seeing my overall real income decline gradually over the past decade.

    Some guy working on an assembly line had better get it through his head that union membership will no longer protect his guarantee of ever-rising income in exchange for doing the same semi-skilled labor he started doing in 1983.

  7. Greg G

    I loved my Chevy Corsica until (among other expensive fixes) the dashboard dimmer knob broke off in my hand (oh the punishing life of a dimmer knob). That was the day I turned my back on North American cars.

    The big 3 have to continue to exist if for no other reason than we need someone to manufacture really crappy electric cars as competition for the no-doubt-soon-to-be-year-after-year-award-winning Japanese electric cars.

  8. Greg G

    I loved my Chevy Corsica until (among other expensive fixes) the dashboard dimmer knob broke off in my hand (oh the punishing life of a dimmer knob). That was the day I turned my back on North American cars.

    The big 3 have to continue to exist if for no other reason than we need someone to manufacture really crappy electric cars as competition for the no-doubt-soon-to-be-year-after-year-award-winning Japanese electric cars.

  9. Greg G

    I loved my Chevy Corsica until (among other expensive fixes) the dashboard dimmer knob broke off in my hand (oh the punishing life of a dimmer knob). That was the day I turned my back on North American cars.

    The big 3 have to continue to exist if for no other reason than we need someone to manufacture really crappy electric cars as competition for the no-doubt-soon-to-be-year-after-year-award-winning Japanese electric cars.

  10. Daniel

    They (Big Three spokespeople) keep saying that massive unemployment will be the result if they don’t get bailed out. I’d rather see the government give bailout money to all the future unemployed autoworkers than give a penny to these poorly run companies.

  11. Daniel

    They (Big Three spokespeople) keep saying that massive unemployment will be the result if they don’t get bailed out. I’d rather see the government give bailout money to all the future unemployed autoworkers than give a penny to these poorly run companies.

  12. Amber in Albuquerque

    I just said on another blog that I think the minimum wage needs to be raised to $10/hour across the board before another cent of taxpayer money is spent bailing out some corporation that has spent the last god knows how many years putting exec. compensation and perqs and lobbying and advertising (selling too much stuff to people who can’t afford even what they need) ahead of the needs of its workforce.

  13. Amber in Albuquerque

    I just said on another blog that I think the minimum wage needs to be raised to $10/hour across the board before another cent of taxpayer money is spent bailing out some corporation that has spent the last god knows how many years putting exec. compensation and perqs and lobbying and advertising (selling too much stuff to people who can’t afford even what they need) ahead of the needs of its workforce.

  14. Amber in Albuquerque

    Indeed, these are the same companies who routinely and unrepentantly cut jobs to increase profits for their (for the most part 1% type) shareholders.

  15. Amber in Albuquerque

    Indeed, these are the same companies who routinely and unrepentantly cut jobs to increase profits for their (for the most part 1% type) shareholders.

  16. Amber in Albuquerque

    Indeed, these are the same companies who routinely and unrepentantly cut jobs to increase profits for their (for the most part 1% type) shareholders.

  17. Ken Ballweg

    Ah Rick, a ’72 ‘B: that would be lights by Lucus (aka The Lord of Darkness), dual SU carbs (proving it’s possible to run rich on two, while starving the other two cylinders as a matter of course because the oil drained out of one dash pot), and then the overdrive unit. While I helped friends with Morris Garage products, my personal UK Garage Ornament was a ’51 Jag Mark V which led to one of my more famous quotes to a SF mechanic I was talking to by long distance: “Really, you say to get the master cylinder out I really should pull the motor? Humm, that must be what I was doing wrong.”

    British post war engineering “Not just a hobby, it’s a lifestyle.”. Makes the UAW look civil in retrospect

  18. Ken Ballweg

    Ah Rick, a ’72 ‘B: that would be lights by Lucus (aka The Lord of Darkness), dual SU carbs (proving it’s possible to run rich on two, while starving the other two cylinders as a matter of course because the oil drained out of one dash pot), and then the overdrive unit. While I helped friends with Morris Garage products, my personal UK Garage Ornament was a ’51 Jag Mark V which led to one of my more famous quotes to a SF mechanic I was talking to by long distance: “Really, you say to get the master cylinder out I really should pull the motor? Humm, that must be what I was doing wrong.”

    British post war engineering “Not just a hobby, it’s a lifestyle.”. Makes the UAW look civil in retrospect

  19. Adam

    I almost feel sorry for the poor executives who had to board the turboprop King Air in the photograph. How humiliating to not have a “proper” jet!

  20. Adam

    I almost feel sorry for the poor executives who had to board the turboprop King Air in the photograph. How humiliating to not have a “proper” jet!

  21. len

    Meanwhile, Mr. Obama gave a righteous speech to the governors on global warming saying essentially, America is no longer a country in denial. We’re on the move.

    Good news.

  22. len

    Meanwhile, Mr. Obama gave a righteous speech to the governors on global warming saying essentially, America is no longer a country in denial. We’re on the move.

    Good news.

  23. len

    Meanwhile, Mr. Obama gave a righteous speech to the governors on global warming saying essentially, America is no longer a country in denial. We’re on the move.

    Good news.

  24. KevinH

    Jon,

    You’re spot on. Saturn definitely should positioned as GM’s “Eco-friendly Hybrid.” A smart marketing person can probably tie it back to
    Saturn’s EV1
    which came online in California in 1996. The only challenge they’ll have is how to spin out why GM decided to kill the car entirely by 2006! LOL.

  25. KevinH

    Jon,

    You’re spot on. Saturn definitely should positioned as GM’s “Eco-friendly Hybrid.” A smart marketing person can probably tie it back to
    Saturn’s EV1
    which came online in California in 1996. The only challenge they’ll have is how to spin out why GM decided to kill the car entirely by 2006! LOL.

  26. KevinH

    Jon,

    You’re spot on. Saturn definitely should positioned as GM’s “Eco-friendly Hybrid.” A smart marketing person can probably tie it back to
    Saturn’s EV1
    which came online in California in 1996. The only challenge they’ll have is how to spin out why GM decided to kill the car entirely by 2006! LOL.

  27. Patrick

    @ Ken

    “British post war engineering?” How did that differ from British pre-war engineering? I had a ’70 MGB-GT (engine blew at about 5,000 miles at approximately 15 mph) and a ’62 Jag Mark II. Both, quite often, as you said, “garage ornaments.” Interestingly, in the 1950′s, “Uncle” Tom McCahill, auto writer for Mechanix Illustrated, advised “Never, ever, buy a Jag with automatic transmission.” I did. He was right. But it was a beautiful car, and the leather and walnut interior made it almost worth the pain.

  28. Patrick

    @ Ken

    “British post war engineering?” How did that differ from British pre-war engineering? I had a ’70 MGB-GT (engine blew at about 5,000 miles at approximately 15 mph) and a ’62 Jag Mark II. Both, quite often, as you said, “garage ornaments.” Interestingly, in the 1950′s, “Uncle” Tom McCahill, auto writer for Mechanix Illustrated, advised “Never, ever, buy a Jag with automatic transmission.” I did. He was right. But it was a beautiful car, and the leather and walnut interior made it almost worth the pain.

  29. Ken Ballweg

    Patrick,

    If I remember, pre war came with the mechanic attached. When they started exporting was when they forgot that extra bit.

  30. Ken Ballweg

    Patrick,

    If I remember, pre war came with the mechanic attached. When they started exporting was when they forgot that extra bit.

  31. Ken Ballweg

    Patrick,

    If I remember, pre war came with the mechanic attached. When they started exporting was when they forgot that extra bit.

  32. Rick Turner

    The one thing my “B” did was always run. The speedo, heater, dash lights, and various other bits and pieces may not have worked, and I may have had a special dowel for banging the fuel pump into starting up, and I may have had another just right for thwacking the starter to get the solenoid to do it’s job, the the car always ran. I had the engine “done” by a great mechanic, and the car was too fast for it’s suspension…at 115 it started to lift off the road and that really scared the shit out of me…not feeling the road through the steering wheel anymore. That was then; now I want a sensible plug-in hybrid.

  33. Rick Turner

    The one thing my “B” did was always run. The speedo, heater, dash lights, and various other bits and pieces may not have worked, and I may have had a special dowel for banging the fuel pump into starting up, and I may have had another just right for thwacking the starter to get the solenoid to do it’s job, the the car always ran. I had the engine “done” by a great mechanic, and the car was too fast for it’s suspension…at 115 it started to lift off the road and that really scared the shit out of me…not feeling the road through the steering wheel anymore. That was then; now I want a sensible plug-in hybrid.

  34. Rick Turner

    The one thing my “B” did was always run. The speedo, heater, dash lights, and various other bits and pieces may not have worked, and I may have had a special dowel for banging the fuel pump into starting up, and I may have had another just right for thwacking the starter to get the solenoid to do it’s job, the the car always ran. I had the engine “done” by a great mechanic, and the car was too fast for it’s suspension…at 115 it started to lift off the road and that really scared the shit out of me…not feeling the road through the steering wheel anymore. That was then; now I want a sensible plug-in hybrid.

  35. Rachel

    Patrick, my aunt had a Jaguar MkII when I was a kid. Loveliest car I ever rode in – all those funny little switches and dials, and the smell of leather. I have very, very fond memories of many trips in that car, since my father never missed an excuse to borrow it whenever possible.

    An early boyfriend, however, had an MGB, which was easily the least reliable vehicle I ever encountered. I loved the wind in the hair part. The problem was I never got to feel any wind, because the car hardly ever moved.

    As for bankruptcy, there is one problem with Chapter 11 in the current climate. Traditionally such restructurings are financed with “first out” debt. Without loans to facilitate the restructuring, the most likely result will be a break up, and the flow on effects to supplier while this happens will be devastating.

    The best result would be for the Government to let the big auto makers fail, but guarantee restructuring finance under competitive terms. That would preserve continuity of business without rewarding tragic mismanagement.

  36. Rachel

    Patrick, my aunt had a Jaguar MkII when I was a kid. Loveliest car I ever rode in – all those funny little switches and dials, and the smell of leather. I have very, very fond memories of many trips in that car, since my father never missed an excuse to borrow it whenever possible.

    An early boyfriend, however, had an MGB, which was easily the least reliable vehicle I ever encountered. I loved the wind in the hair part. The problem was I never got to feel any wind, because the car hardly ever moved.

    As for bankruptcy, there is one problem with Chapter 11 in the current climate. Traditionally such restructurings are financed with “first out” debt. Without loans to facilitate the restructuring, the most likely result will be a break up, and the flow on effects to supplier while this happens will be devastating.

    The best result would be for the Government to let the big auto makers fail, but guarantee restructuring finance under competitive terms. That would preserve continuity of business without rewarding tragic mismanagement.

  37. Jon Taplin

    Rachel – That’s exactly what I meant by government aid within the Chapter 11 process. “DIP” financing from the Feds.

  38. Jon Taplin

    Rachel – That’s exactly what I meant by government aid within the Chapter 11 process. “DIP” financing from the Feds.

  39. douglas newhouse

    I am not a big government guy–but the economy is to fragile to deal with a bankruptcy of the auto companies right know–they should bail them out and kick the problem down the road untill the economy is stronger–think of it as a stimulus package!

  40. douglas newhouse

    I am not a big government guy–but the economy is to fragile to deal with a bankruptcy of the auto companies right know–they should bail them out and kick the problem down the road untill the economy is stronger–think of it as a stimulus package!

  41. douglas newhouse

    I am not a big government guy–but the economy is to fragile to deal with a bankruptcy of the auto companies right know–they should bail them out and kick the problem down the road untill the economy is stronger–think of it as a stimulus package!

  42. Davaudian

    It’s the department of redundancy department by those companies. They could however merge, dump the union constraints, modernize their plants, and keep 2 or 3 pet projects each (Ford’s F150 ,Chevy ‘Vette , Cadillac CTS, Chrysler Van, etc) that they are best at and only take new money for the cars of the future like a Saturn Hybrid a VW style Scirroco ,the Mini Cooper type done by Chrysler. I drive a new Audi TT and it’s all the sport car anyone needs. If they take that money and then not change their lineup that’s not selling, , that 25B will be gone in 2 years. They could make great cars again, but smart cars not muscle cars.

  43. Davaudian

    It’s the department of redundancy department by those companies. They could however merge, dump the union constraints, modernize their plants, and keep 2 or 3 pet projects each (Ford’s F150 ,Chevy ‘Vette , Cadillac CTS, Chrysler Van, etc) that they are best at and only take new money for the cars of the future like a Saturn Hybrid a VW style Scirroco ,the Mini Cooper type done by Chrysler. I drive a new Audi TT and it’s all the sport car anyone needs. If they take that money and then not change their lineup that’s not selling, , that 25B will be gone in 2 years. They could make great cars again, but smart cars not muscle cars.

  44. Davaudian

    It’s the department of redundancy department by those companies. They could however merge, dump the union constraints, modernize their plants, and keep 2 or 3 pet projects each (Ford’s F150 ,Chevy ‘Vette , Cadillac CTS, Chrysler Van, etc) that they are best at and only take new money for the cars of the future like a Saturn Hybrid a VW style Scirroco ,the Mini Cooper type done by Chrysler. I drive a new Audi TT and it’s all the sport car anyone needs. If they take that money and then not change their lineup that’s not selling, , that 25B will be gone in 2 years. They could make great cars again, but smart cars not muscle cars.

  45. Rick Turner

    One of the problems with Detroit is the change for the sake of change syndrome. Remember the rise of VW? One small incremental change at a time…those bugs really evolved over a long time period as they tried to fine tune the formula and make the cars better and better. Detroit became like a fashion show where it’s all bling and flash and adrenalin…if not coke. Too many people jacked upon hype.

    Detroit doesn’t want to know about consumers like me. I could care less about power windows, power door locks, power mirrors, personalized zone climate controls, etc. Me? I just want another car that will go 15 years or so and at least 150,000 miles. If my next car lasts that long, it will probably be my last one or near to it. Hell, for her last car, my mom tried to buy one without a radio because she couldn’t stand to listen to it while driving. She couldn’t get one without, so she had them pull the fuse to it.

    How about cars as transportation, not as fashion accessories? Doesn’t mean they can’t look good…

  46. Rick Turner

    One of the problems with Detroit is the change for the sake of change syndrome. Remember the rise of VW? One small incremental change at a time…those bugs really evolved over a long time period as they tried to fine tune the formula and make the cars better and better. Detroit became like a fashion show where it’s all bling and flash and adrenalin…if not coke. Too many people jacked upon hype.

    Detroit doesn’t want to know about consumers like me. I could care less about power windows, power door locks, power mirrors, personalized zone climate controls, etc. Me? I just want another car that will go 15 years or so and at least 150,000 miles. If my next car lasts that long, it will probably be my last one or near to it. Hell, for her last car, my mom tried to buy one without a radio because she couldn’t stand to listen to it while driving. She couldn’t get one without, so she had them pull the fuse to it.

    How about cars as transportation, not as fashion accessories? Doesn’t mean they can’t look good…

  47. Davaudian

    Yeah Rick, they are constantly in a yearly fashion show and going through massive upgrade costs for really, no good reason. They should build them like a jeep….get it right and give it about 7 years before a revamp.

  48. Davaudian

    Yeah Rick, they are constantly in a yearly fashion show and going through massive upgrade costs for really, no good reason. They should build them like a jeep….get it right and give it about 7 years before a revamp.

  49. Patrick

    I have not investigated this, but from a cursory examination of recent British and European movies and TV shows over the last few years, there seem to be a lot of really nice-looking cars, that must get decent fuel economy and meet the needs of the Brits and Europeans. Many, maybe most nowadays, are powered by clean diesel engines, and there is not a single SUV to be seen. When I was stationed in England in the ’60s there were many British and European cars that were highly attractive to our younger airmen and officers, almost none of which were available in the US. (My earlier remarks about post-war British engineering aside). Some of the companies producing these cars are now owned by Detroit. It doesn’t seem too much of a stretch to have the Detroit big-daddies import the European models, clap on appropriate emission controls and bumpers, and sell them to Americans.

    I have not bought an American-made car since my 1966 Mustang, and do not intend to do so until Consumer Reports can assure me of the same level of reliability and cost-effectiveness that I get from Toyotas now. And I most emphatically do not support any sort of bail-out for Detroit auto makers. It’s like handing out hundred-dollar bills to your ne’er-do-well brother in law. You just know it’s not going to work out.

  50. Patrick

    I have not investigated this, but from a cursory examination of recent British and European movies and TV shows over the last few years, there seem to be a lot of really nice-looking cars, that must get decent fuel economy and meet the needs of the Brits and Europeans. Many, maybe most nowadays, are powered by clean diesel engines, and there is not a single SUV to be seen. When I was stationed in England in the ’60s there were many British and European cars that were highly attractive to our younger airmen and officers, almost none of which were available in the US. (My earlier remarks about post-war British engineering aside). Some of the companies producing these cars are now owned by Detroit. It doesn’t seem too much of a stretch to have the Detroit big-daddies import the European models, clap on appropriate emission controls and bumpers, and sell them to Americans.

    I have not bought an American-made car since my 1966 Mustang, and do not intend to do so until Consumer Reports can assure me of the same level of reliability and cost-effectiveness that I get from Toyotas now. And I most emphatically do not support any sort of bail-out for Detroit auto makers. It’s like handing out hundred-dollar bills to your ne’er-do-well brother in law. You just know it’s not going to work out.

  51. Patrick

    I have not investigated this, but from a cursory examination of recent British and European movies and TV shows over the last few years, there seem to be a lot of really nice-looking cars, that must get decent fuel economy and meet the needs of the Brits and Europeans. Many, maybe most nowadays, are powered by clean diesel engines, and there is not a single SUV to be seen. When I was stationed in England in the ’60s there were many British and European cars that were highly attractive to our younger airmen and officers, almost none of which were available in the US. (My earlier remarks about post-war British engineering aside). Some of the companies producing these cars are now owned by Detroit. It doesn’t seem too much of a stretch to have the Detroit big-daddies import the European models, clap on appropriate emission controls and bumpers, and sell them to Americans.

    I have not bought an American-made car since my 1966 Mustang, and do not intend to do so until Consumer Reports can assure me of the same level of reliability and cost-effectiveness that I get from Toyotas now. And I most emphatically do not support any sort of bail-out for Detroit auto makers. It’s like handing out hundred-dollar bills to your ne’er-do-well brother in law. You just know it’s not going to work out.

  52. Amber in Albuquerque

    I also think the ‘fashion show’ mentality contributes to the problem. It implies a certain level of “buy it whether you need it or not” and the result is 7,000 dealerships instead of 1500. Too many choices, changing too often in the name of continuous “growth”.

    I suspect that the automakers would argue that this is what’s necessary to increase their profits. Well, this and making unreliable cars that can only be serviced at the dealer to create another revenue stream. And creating cars that are crap after five years so even if you are a person that keeps a car until it dies (me and my boyfriend, Rick Turner…but I like my power windows) you are almost forced into making a change.

    Add to that financing and lease plans that ensure that a huge segment of the population will never actually pay for their new cars, but will continue to trade them in for newer models and you have (IMO) Detroit’s “business plan”. Works well until people realize they don’t have any real money to spend on cars (at least not if they want to eat).

  53. Amber in Albuquerque

    I also think the ‘fashion show’ mentality contributes to the problem. It implies a certain level of “buy it whether you need it or not” and the result is 7,000 dealerships instead of 1500. Too many choices, changing too often in the name of continuous “growth”.

    I suspect that the automakers would argue that this is what’s necessary to increase their profits. Well, this and making unreliable cars that can only be serviced at the dealer to create another revenue stream. And creating cars that are crap after five years so even if you are a person that keeps a car until it dies (me and my boyfriend, Rick Turner…but I like my power windows) you are almost forced into making a change.

    Add to that financing and lease plans that ensure that a huge segment of the population will never actually pay for their new cars, but will continue to trade them in for newer models and you have (IMO) Detroit’s “business plan”. Works well until people realize they don’t have any real money to spend on cars (at least not if they want to eat).

  54. Amber in Albuquerque

    I also think the ‘fashion show’ mentality contributes to the problem. It implies a certain level of “buy it whether you need it or not” and the result is 7,000 dealerships instead of 1500. Too many choices, changing too often in the name of continuous “growth”.

    I suspect that the automakers would argue that this is what’s necessary to increase their profits. Well, this and making unreliable cars that can only be serviced at the dealer to create another revenue stream. And creating cars that are crap after five years so even if you are a person that keeps a car until it dies (me and my boyfriend, Rick Turner…but I like my power windows) you are almost forced into making a change.

    Add to that financing and lease plans that ensure that a huge segment of the population will never actually pay for their new cars, but will continue to trade them in for newer models and you have (IMO) Detroit’s “business plan”. Works well until people realize they don’t have any real money to spend on cars (at least not if they want to eat).

  55. len

    Careful, Amber, you’re going Randian. Remember what made Galt leave the company?

    When buying a car, I usually trade-off style for cost, cost for lifecycle, and and lifecycle for likelihood of parts available and reputable repair shops. Somehow, that seems to favor Ford. I had a Saturn but a design defect made it too expensive to keep and the seats aren’t comfortable.

    But the look on the GM chairman’s face this morning when ABC’s Brian Ross confronted him about the corporate jet in the Senate chamber was priceless.

    We can live with their product quality. We can’t live with their arrogance in the face of their business mistakes. If they don’t present a business plan, let them fail.

    As a middle manager in a company responsible for people’s lives, I’m more than just a little tired of the ownership class gambling with them to get over the fact that at a certain age even Viagra isn’t going to help and it’s time to visit the sex toy shop if they want to keep their trophy wife out of the pool boy’s cabana. Cheap thrills are good enough.

  56. len

    Careful, Amber, you’re going Randian. Remember what made Galt leave the company?

    When buying a car, I usually trade-off style for cost, cost for lifecycle, and and lifecycle for likelihood of parts available and reputable repair shops. Somehow, that seems to favor Ford. I had a Saturn but a design defect made it too expensive to keep and the seats aren’t comfortable.

    But the look on the GM chairman’s face this morning when ABC’s Brian Ross confronted him about the corporate jet in the Senate chamber was priceless.

    We can live with their product quality. We can’t live with their arrogance in the face of their business mistakes. If they don’t present a business plan, let them fail.

    As a middle manager in a company responsible for people’s lives, I’m more than just a little tired of the ownership class gambling with them to get over the fact that at a certain age even Viagra isn’t going to help and it’s time to visit the sex toy shop if they want to keep their trophy wife out of the pool boy’s cabana. Cheap thrills are good enough.

  57. Rick Turner

    So how about a much smaller auto industry that makes better cars with fewer yearly changes that last longer? We seem to be working more and more hours in this country…for what? Another chance to buy something that won’t last…

    I seem to remember magazines like Popular Mechanics from the 1950s and ’60s touting a future with more leisure and a shorter work week. What happened?

  58. Rick Turner

    So how about a much smaller auto industry that makes better cars with fewer yearly changes that last longer? We seem to be working more and more hours in this country…for what? Another chance to buy something that won’t last…

    I seem to remember magazines like Popular Mechanics from the 1950s and ’60s touting a future with more leisure and a shorter work week. What happened?

  59. Amber in Albuquerque

    You mean make cars more like Japan does?

    Hey, I wasn’t trying to go all Randian (oooh….gives me the heebie jeebies just typing that)…I just think there’s blame to go around…Big 3 arrogance coupled with too much “there’s a sucker born every minute” and a huge chunk of the nation that never seems to get tired of being the sucker. I’m hoping this mess has been a wake up call to all those folks, but I’m not holding my breath. I’m still seeing way too many 20-somethings driving around in new $50K+ cars.

  60. Amber in Albuquerque

    You mean make cars more like Japan does?

    Hey, I wasn’t trying to go all Randian (oooh….gives me the heebie jeebies just typing that)…I just think there’s blame to go around…Big 3 arrogance coupled with too much “there’s a sucker born every minute” and a huge chunk of the nation that never seems to get tired of being the sucker. I’m hoping this mess has been a wake up call to all those folks, but I’m not holding my breath. I’m still seeing way too many 20-somethings driving around in new $50K+ cars.

  61. Amber in Albuquerque

    You mean make cars more like Japan does?

    Hey, I wasn’t trying to go all Randian (oooh….gives me the heebie jeebies just typing that)…I just think there’s blame to go around…Big 3 arrogance coupled with too much “there’s a sucker born every minute” and a huge chunk of the nation that never seems to get tired of being the sucker. I’m hoping this mess has been a wake up call to all those folks, but I’m not holding my breath. I’m still seeing way too many 20-somethings driving around in new $50K+ cars.

  62. len

    Make those and I’ll buy one. If you think the auto business is bad, try software where we can deliver it to you like bread and at the level of complexity, have to do that. Imagine having a car that had to be returned every other week to get a new speedometer because the last one used a different standard for miles per hour. When we build layered systems, that is exactly what we are doing, and the need to stay current is one reason some of the twenty somethings are driving those expensive cars. The computer industry really does have the brave new world by the squeezies.

    Meanwhile, I’ll buy good-enough and maintain it. I don’t trade them in. I drive them into the ground. It seems to be the best trade-off but I don’t need a new car to boost my ego.

    Somehow I don’t think most of us here are the problem. We tend to agree that better quality, longer lifecycle and low maintenance are the right idea. Meaning, what we should ask is why does a Mercedes Benz cost so much?

  63. len

    Make those and I’ll buy one. If you think the auto business is bad, try software where we can deliver it to you like bread and at the level of complexity, have to do that. Imagine having a car that had to be returned every other week to get a new speedometer because the last one used a different standard for miles per hour. When we build layered systems, that is exactly what we are doing, and the need to stay current is one reason some of the twenty somethings are driving those expensive cars. The computer industry really does have the brave new world by the squeezies.

    Meanwhile, I’ll buy good-enough and maintain it. I don’t trade them in. I drive them into the ground. It seems to be the best trade-off but I don’t need a new car to boost my ego.

    Somehow I don’t think most of us here are the problem. We tend to agree that better quality, longer lifecycle and low maintenance are the right idea. Meaning, what we should ask is why does a Mercedes Benz cost so much?

  64. Amber in Albuquerque

    Trust me Len, these aren’t programmers driving these cars. I know a programmer when I see one in the wild ;) .

    Good question on the Mercedes though. I couldn’t see much difference (other than price) when I bought my VW wagon (used) instead of a comparable Audi.

  65. Amber in Albuquerque

    Trust me Len, these aren’t programmers driving these cars. I know a programmer when I see one in the wild ;) .

    Good question on the Mercedes though. I couldn’t see much difference (other than price) when I bought my VW wagon (used) instead of a comparable Audi.

  66. Amber in Albuquerque

    Dang, I missed the point (I’ll blame it on the epic crisis of misplacing my coffee cup). I understand the whole ‘need to keep current’ thing that drives the 20 somethings…I’m just wondering if they (and the others who routinely succumb to this feeling even though it conflicts with their own best interests) are ever going to ‘snap’ to the fact that this particular ‘need’ is an artificial construct. I know some people never will, but those people 1) used to be a small minority and 2) used to understand that keeping current with one thing (cars, computers, TVs, whatever) meant sacrificing elsewhere. I’m just not seeing that right now.

  67. Amber in Albuquerque

    Dang, I missed the point (I’ll blame it on the epic crisis of misplacing my coffee cup). I understand the whole ‘need to keep current’ thing that drives the 20 somethings…I’m just wondering if they (and the others who routinely succumb to this feeling even though it conflicts with their own best interests) are ever going to ‘snap’ to the fact that this particular ‘need’ is an artificial construct. I know some people never will, but those people 1) used to be a small minority and 2) used to understand that keeping current with one thing (cars, computers, TVs, whatever) meant sacrificing elsewhere. I’m just not seeing that right now.

  68. len

    Here is something to ponder. I’m ethereal on the whole ‘why art lasts’ question. One commenter on my blog just sent me this URL from a fellow who writes on such topics:

    http://josephzitt.com/books/principles.php

    It’s a pretty good list, I guess.

    As to the currency issue, as long as the job and the lifestyle require it and they want the lifestyle, they will. And they should. As Dylan says,

    “How many times have you heard someone say
    If I had his money I’d do things my way
    Hmm, but little they know
    Hmm, it’s so hard to find
    One rich man in ten with a satisfied mind.”

    A personal observation: when I have dreams of times when I was still performing regularly in the clubs, they are never dreams about the bands. They are always when I was a soloist with the nylon string singing sad songs for steak eaters.

    I’d always intended to get back to that life but life said no. And that is the tradeoff, Amber. I’m racing to write as much as I can as fast as I can before I can’t and not that it matters to anyone else or has to. It seems Charlie Chaplin was right about the “did I ever get one right” demons and the incredible overwhelming urge to create at least one that will last even in the face of a fading spirit. One has to both pity and admire old Salieri. He didn’t quit. Like an old grandfather’s clock, one day he could no longer be wound. So to mix images, as the board of inquiry asked First Officer Lighttoller, “When did you leave the Titanic” he simply said, “I didn’t. It left me.”

  69. len

    Here is something to ponder. I’m ethereal on the whole ‘why art lasts’ question. One commenter on my blog just sent me this URL from a fellow who writes on such topics:

    http://josephzitt.com/books/principles.php

    It’s a pretty good list, I guess.

    As to the currency issue, as long as the job and the lifestyle require it and they want the lifestyle, they will. And they should. As Dylan says,

    “How many times have you heard someone say
    If I had his money I’d do things my way
    Hmm, but little they know
    Hmm, it’s so hard to find
    One rich man in ten with a satisfied mind.”

    A personal observation: when I have dreams of times when I was still performing regularly in the clubs, they are never dreams about the bands. They are always when I was a soloist with the nylon string singing sad songs for steak eaters.

    I’d always intended to get back to that life but life said no. And that is the tradeoff, Amber. I’m racing to write as much as I can as fast as I can before I can’t and not that it matters to anyone else or has to. It seems Charlie Chaplin was right about the “did I ever get one right” demons and the incredible overwhelming urge to create at least one that will last even in the face of a fading spirit. One has to both pity and admire old Salieri. He didn’t quit. Like an old grandfather’s clock, one day he could no longer be wound. So to mix images, as the board of inquiry asked First Officer Lighttoller, “When did you leave the Titanic” he simply said, “I didn’t. It left me.”

  70. Amber in Albuquerque

    Yeah, as long as we’re pondering “why arts last” or “why art lasts” I guess I should revisit Pirsig’s “Zen and the Art…” He had some pretty good ideas on that as well. Quality…I know it when I see (or hear, or in the yarn case, feel) it.

    And what about Salieri? Was he an artist? Obviously if he was he was not the caliber of Mozart and he made a living. Do the freakishly gifted artists have to die broke? And are those who are freakishly gifted and well remunerated always ‘sell outs’? And are those who are merely gifted, but not freakishly so, not artists? And why are the ‘mediocre’ artists (Salieri’s thoughts, not mine) so often able to make a living so much easier than the freakishly gifted (maybe something about lifestyles that lead to burning out rather than fading away). Perhaps the ‘medicore’ do a better job of placating their demons…or accept that to lead a ‘normal’ life, they must be placated or you must figure a way to make the madness work for you, rather than against you (Picasso, Dali?). And perhaps its those demons that are at the core of the gift. Let them run free and your life is a mess, but you can achieve the sublime…at great cost. Subdue them and, if you’re lucky you may achieve contentment, but never greatness, if not, a life of regret?

  71. Evan

    There’s something richly ironic, to me, about posters in this thread leaping quickly to the “change your business model” argument for the auto makers, while having such a hard time saying the same thing about “intellectual property” business models just a couple days ago.

    Having said that, I’m comfortable living in a world where Honda ends up owning the “Chevy” brand (picked up for fire sale prices) and Ford is relegated to the same status as Studebaker. We can deal with the unemployment that allowing the US auto manufacturers to sink into bankruptcy might cause, and even just the potential for one or more of the manufacturers to emerge with a viable product offering and a competitive cost is worth the risk.

    I suppose that’s easy for me to say, though, since I don’t work for one of the US auto manufacturers!

  72. Dan

    “I seem to remember magazines like Popular Mechanics from the 1950s and ’60s touting a future with more leisure and a shorter work week. What happened?”

    I just picked up a Popular Mechanics the other day and what did I see on the cover? Personal mini-aircraft that will whisk us to and from work. Golly, maybe next month they can run an article telling me how to use an old lawn mower engine to build a hover craft.

  73. len

    The musicians I know who have the greatest success in the local markets are the best politicians and have the best sense of timing regards material even if that is instinct and not planning. The best songwriters are introverts who are detached observers and voracious readers. These are very different craft.

    One can be a good songwriter and not a good entertainer or performer and vice versa. Being both requires dedication and being good at both, a bit of breathing into from the big spirit. See Dolly Parton. Nature over nurture is more successful, but there are exceptions. Joanie Anderson wanted to be a painter before she became Joni Mitchell to pay for art classes. By hard work and incredible talent, she became both but it will be interesting in a hundred years to find out if her paintings are selling as well as her records.

    My older brother told me that competent craft and the Top 40 list was all one needed to stay in the clubs. The worst thing was to be an all original act. That was 1975. In 1985, the same act was considered ‘industrial’ and by 1995, there were too few gigs that paid enough to feed the family much less keep a recording jones alive. Pay to play is too much like renting a hooker, IMO. Timing and locale play a big role even in the day of the internet.

    They don’t have to die broke but if they aren’t taking care of business, they better trust someone who will. Crazy people have a problem with that kind of trust, perhaps? Still, TCB.

    The most seriously deranged act I ever saw was in San Jose. A guy would go on stage with a guitar and start to sing a popular song (say, “Three Steps”) and play it until enough people in the audience tipped him with cash to stop. Then he would launch into the next bit of Top Forty until they did that again.

    He was making a bundle. A Boston area bass player and computer whiz sitting with me wanted to take him out back and murder him. I told him we didn’t have to. He was dead already. But he had a gig and he had a crowd. Go figure.

    As to my demons, I take them to church and drive them wild. Then they work all night for me or on me. :-)

  74. Amber in Albuquerque

    Len, I just re-read the piece you linked too. What works for music also works for dance. Will ponder more on other fine arts.



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