http://www.coyoteblog.com/coyote_blog/2006/04/more_trouble_th.html Dispatches from a Small Business Sun, 12 Feb 2012 09:39:47 +0000 hourly 1 http://wordpress.org/?v=3.2.1 http://www.coyoteblog.com/coyote_blog/2006/04/more_trouble_th.html/comment-page-1#comment-3222 Doug G. Tue, 04 Apr 2006 18:47:52 +0000 http://coyote-blog.com/wordpress/2006/04/more_trouble_th.html#comment-3222 <p>GM's problems are numerous and very difficult to correct. They have lots of pension obligations that they can't easily get out of. They have allowed negotiations with unions to trump sound business decision making. They keep thousands of people on the payroll who either sit in a room all day doing nothing or go out and do community work that does not contribute to the company in any meaningful way (Google "GM workers idling" for Forbes article). They have been bad at marketing. They make unreliable vehicles compared to foreign brands. They make fuel-inefficient vehicles. They are investing/wasting a lot of money in ethanol-powered cars. There is a culture of entitlement among their employees.</p> GM’s problems are numerous and very difficult to correct. They have lots of pension obligations that they can’t easily get out of. They have allowed negotiations with unions to trump sound business decision making. They keep thousands of people on the payroll who either sit in a room all day doing nothing or go out and do community work that does not contribute to the company in any meaningful way (Google “GM workers idling” for Forbes article). They have been bad at marketing. They make unreliable vehicles compared to foreign brands. They make fuel-inefficient vehicles. They are investing/wasting a lot of money in ethanol-powered cars. There is a culture of entitlement among their employees.

]]> http://www.coyoteblog.com/coyote_blog/2006/04/more_trouble_th.html/comment-page-1#comment-3221 Ryan Cupples Tue, 04 Apr 2006 05:25:18 +0000 http://coyote-blog.com/wordpress/2006/04/more_trouble_th.html#comment-3221 <p>I am confused. It says that projected earnings are $14 billion, but that it was sold for $7.4 billion?</p> I am confused. It says that projected earnings are $14 billion, but that it was sold for $7.4 billion?

]]> http://www.coyoteblog.com/coyote_blog/2006/04/more_trouble_th.html/comment-page-1#comment-3220 nick d Mon, 03 Apr 2006 20:18:29 +0000 http://coyote-blog.com/wordpress/2006/04/more_trouble_th.html#comment-3220 <p>If they just sold it for $14B, and GM's market cap is ~$11.5B, that implies a -$2.5B in value of assets. I would say GM is very, very ripe for a hostile takeover and corporate raid. The new owner would then turn around and sell off everything he could to get his cash back out of the organization. Who knows, maybe toyota or honda will be buying up the michigan factories soon.</p> If they just sold it for $14B, and GM’s market cap is ~$11.5B, that implies a -$2.5B in value of assets. I would say GM is very, very ripe for a hostile takeover and corporate raid. The new owner would then turn around and sell off everything he could to get his cash back out of the organization. Who knows, maybe toyota or honda will be buying up the michigan factories soon.

]]> http://www.coyoteblog.com/coyote_blog/2006/04/more_trouble_th.html/comment-page-1#comment-3219 nick d Mon, 03 Apr 2006 20:18:00 +0000 http://coyote-blog.com/wordpress/2006/04/more_trouble_th.html#comment-3219 <p>If they just sold it for $14B, and GM's market cap is ~$11.5B, that implies a -$2.5B in value of assets. I would say GM is very, very ripe for a hostile takeover and corporate raid. The new owner would then turn around and sell off everything he could to get his cash back out of the organization. Who knows, maybe toyota or honda will be buying up the michigan factories soon.</p> If they just sold it for $14B, and GM’s market cap is ~$11.5B, that implies a -$2.5B in value of assets. I would say GM is very, very ripe for a hostile takeover and corporate raid. The new owner would then turn around and sell off everything he could to get his cash back out of the organization. Who knows, maybe toyota or honda will be buying up the michigan factories soon.

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