It was announced today that Ford had its worst earning period in 14 years. The company had a net loss of 5.8 billion. That's an incredible amount of money and it costs workers' their jobs. Ford and GM have been on the decline in the past few years for a number of reason. Chief among these is the fact they refuse to change with the times and make more efficient cars. But this announcement from Ford should change that.
New chief executive Alan Mulally said, " We know where we are with our business and we know why we are where we are." But do they really? Ford and GM are America's home car companies. They make the cars most Americans consider classics. But they, much like America, refuse to change with the times. Ford has taken the first step. It has gone where GM has yet to tread. Of all the cars Ford makes, one is a hybrid. One out of hundreds of models is environmentally friendly. One out of many more is in line with the times. And now I hope Ford sees this is the problem.
GM is in the same position as Ford. It too looks to lose a substantial amount of money in the coming years and workers' jobs will follow. Unlike Ford, GM has no hybrid models. As of yet, GM has no plans to create any hybrid models. In fact, one of GM's biggest concerns is the re-release of the Chevy Camero for 2009. Wonder if it will get more than 10 miles to the gallon? Doubt it.
I own a GM made car. It's a Chevy cavalier and it gets around 23 miles to the gallon. I'm keeping it with the hope that by the time I have it paid off, Chevy and GM will have come to their senses and created a hybrid or alternative fuel version. But this recent news from Ford cast some doubt on that. I fear America is losing in the car industry.
Today, more and more foreign car makers are building factories in the US. And more and more Americans are buying these cars. Toyota is making the most money with its fleet of hybrid and fuel efficient autos. And with gas prices moving up and down randomly, it is no wonder. Americans are ready for a change in their gas consumption. I think the auto industry has the power to MAKE Americans stop using so much foreign oil. But American car makers have to step up to the plate. Of they don't, I fear they will go the way of other forgotten car makers.